Fed’s Goolsbee sees risks that inflation could tick back up

Federal Reserve Bank of Chicago President Austan Goolsbee spoke in a radio interview, Headlines via Reuters:

• Uncertainties likely mean Fed needs to be a little more careful, prudent on cutting rates
• There are risks that inflation could tick back up
• If fiscal choices affect prices or employment, we have to think it through
• We’ve seen strong growth, strong consumer
• There are concerns about inflation
• Would be hard to tell difference if rising prices is a sign of overheating, or a one-time effect of tariffs
• Might have to slow pace of rate cuts amid uncertainty

The Fed has paused its rate cutting cycle and from what we hear from officials that pause is set to continue for many more meetings.

This article was written by Eamonn Sheridan at www.forexlive.com.