On Thursday, Chicago Federal Reserve Bank Austan Goolsbee said he sees a series of interest-rate cuts over the next year to year and a half, noting that inflation is now near the Fed’s 2% goal and the economy is about at full employment, and the Fed’s goal is to freeze those conditions in place.
“Over a 12-18 month period, I think we are going to gradually, whatever word you want to use, move to a steady state” on the policy rate, Goolsbee said in a CNBC interview.
He noted a broad agreement among policymakers that rates need to drop a “fair amount” over that time period. Near-term, he said, there are likely to be more meetings where policy decisions will be close calls, as last month’s was, as central bankers sift through sometimes conflicting data.
(Source: Reuters)
Jennifer Tacker is a staff writer at ABBO News. She holds a B.A. from the University of Waterloo and a B.Ed from Western University. Jennifer has been active in the stock market and crypto sector for a decade. She specializes in technical analysis and trading strategies.
