US Treasury Secretary Janet Yellen admitted that she was "wrong" the "path inflation would take."

The CNN interview showed an excerpt from her earlier comments when she said inflation would be a "small risk," and that she didn't anticipate it was going to be "a problem."

"I was wrong about the path inflation would take," Yellen said in a CNN interview with Wolf Blitzer that aired Tuesday night.

Yellen said the Biden administration is now focused on taking actions to reduce inflation and is trusting the Fed to do its job. "The Federal Reserve is taking the steps that it needs to take. It's up to them to decide what to do," she said.