Federal Reserve Super Topic 【New News on Federal Reserve Rate Cuts】 Chicago Federal Reserve Bank President Austan Goolsbee stated that he hopes to see at least one more inflation report to confirm that current price pressures are not rising again.
Goolsbee said in an interview: “The recent inflation data is a bit complicated, and I think we need to see at least one more data point to determine whether we are still on the 'golden path.'”
He reiterated his concern expressed earlier this week about the persistently high service inflation shown in the July Consumer Price Index (CPI). However, he also pointed out that one should not overreact to single-month data, including the data released on Friday showing an increase in July import prices.
Goolsbee indicated that he wants to wait for more economic data to be released, adding that the U.S. economy “still has many strong aspects.”
He also noted: “What we need to do now is determine which price increases can be ignored—because we believe they are temporary—and which ones require a policy response. If we continue to see inflation reports similar to the two we’ve had this month, I would confidently think that 'the dust has settled in the market.'”