Fed resolute on getting inflation down to 2%, Daly says

May 29 (Reuters) - San Francisco Federal Reserve Bank President Mary Daly on Thursday said the central bank is "resolute" on getting inflation down to the Fed's 2% goal, and the Fed's policy is in a good place to do so.

"We are making progress and importantly, we remain resolute to get the job done," Daly said at the Oakland Rotary Club. Meanwhile, the labor market and the economy is in solid shape, she said.

The remarks show Daly, like her rate-setting colleagues at the Fed, are in a holding pattern on the policy rate, which they have kept in the 4.25%-4.5% range since December as they await clarity on how President Donald Trump's policies will affect the economy.

Tax cuts and deregulation like those proposed by the Trump administration tend to add to economic growth, but the impact of his immigration crackdown as well as his aggressive tariffs remains unclear, she said.

Businesses are not stopping activity altogether but are taking fewer risks, she said. Meanwhile workers say their primary concern is still inflation, even as it has come down considerably from its peak in mid-2022.

As for Trump's demands of Fed Chair Jerome Powell that he cut rates, Daly said, it is not the first time a president has done so. But the Fed, she said, will keep its focus on doing what is best for the American people, to whom, along with Congress, it is accountable.