Austan Goolsbee identifies inflation as the primary concern for the Federal Reserve
Chicago Federal Reserve President Austan Goolsbee stated that inflation remains the primary focus for monetary-policy makers. Speaking at the Jackson Hole Symposium, Austan Goolsbee agreed with Fed Chair Kevin Warsh that while recent readings have been more benign, the economy is not yet out of the woods regarding price increases. Austan Goolsbee noted that inflation driven by overheated demand is difficult to address and has persisted longer than expected. He also warned that tariffs and war-related price increases are complicating the inflation outlook. While the economy remains broadly stable, Austan Goolsbee expressed concern that inflation is not yet under control. Regarding policy, Austan Goolsbee indicated he was comfortable with holding interest rates steady at the July FOMC meeting. He also stated that he did not believe the Federal Reserve and the Treasury were working at cross purposes.
Sources
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