A senior Federal Reserve official said on Sunday that while unemployment remains high, the pace of job loss has slowed and the main challenge for policy makers will be to adjust extensive securities purchases.

Forces driving the U.S. economic recovery include stronger-than-expected global growth, especially in Asia, St. Louis Federal Reserve Bank President James Bullard said in a statement describing remarks prepared for delivery to the Global Interdependence Center in Shanghai.

Other forces include recovering consumption expenditures, less stress in financial markets and stabilization in the housing sector, said Bullard, who is a voter on the Fed's interest-rate setting panel.

A copy of his remarks was made available in Washington

(Reporting by Mark Felsenthal; Editing Bernard Orr)

Unemployment