Federal Reserve Vice Chair Philip Jefferson said it’s appropriate to keep interest rates steady until there is additional evidence that inflation will return to the central bank’s 2% target.

The recent ebbing in some key price increase indicators is encouraging but it is too soon to know whether inflation is back on a sustainable path back to 2%, Fed Vice Chair Jefferson said on Monday. "It is too early to tell whether the recent slowdown in the disinflationary process will be long lasting,

The Federal Reserve vice chair said he remains optimistic that the Fed’s higher interest rates are working their way through the U.S. economy