Fed's Daly: policy in good place, watching inflation and job market

Nov 10 (Reuters) - U.S. monetary policy is in a "good place" as the central bank watches inflation for signs of rising inflation and the labor market for evidence of further slowing, San Francisco Federal Reserve President Mary Daly said on Monday, repeating her view that policymakers need to keep an open mind on what to do at their next meeting.

"We cannot take our eyes off inflation... while I'm looking for productivity gains and seeing if they're going to continue, I'm also keeping my eye completely focused on inflation to make sure that it doesn't pick up in a way that would suggest we need to do more or we need to hold longer," Daly told Bloomberg Television.

At the same time, she said, "we don't want to make the mistake of holding on too long for rates only to find out we injured the economy."