In an interview with Time magazine, Yellen said that the Fed is unlikely to make any sudden or aggressive moves, given the lingering uncertainty in current global economic conditions.
"In such an environment, it makes sense to use a risk-management approach to identify and avoid the big mistakes," she told Time. "That's one reason I favor a cautious approach."
Since raising rates in December for the first time since 2006, the Fed has been cautious about doing so again in 2016. The bank's monetary policy committee now expects just two rate hikes this year. It had previously projected four rate hikes for the current year.
Even though the global conditions remain murky, Yellen and the Fed are determined to continue to support domestic economic growth, the publication reported.
"We are focused on Main Street, on supporting economic conditions — plentiful jobs and stable prices — that help all Americans," the Fed chair told Time.