Austan Goolsbee, President of the Federal Reserve Bank of Chicago.
Photo courtesy: Federal Reserve.

(Seoul=Yonhap Infomax) Sung Jin Kim – Austan Goolsbee, President of the Federal Reserve Bank of Chicago, has reiterated his cautious stance on further interest rate cuts.


Speaking at an event in Indianapolis on the 20th (local time), Goolsbee said inflation appears to be "somewhat stalled, and in fact, seems to be warning that it is moving in the wrong direction," adding, "This makes me somewhat uneasy."


He noted, "The underlying economy is quite strong, and eventually, I think we will return to a situation where 'rates can fall significantly.' However, in the short term, I am somewhat uncomfortable with too much front-loaded rate cutting."


Goolsbee, who served as Chair of the White House Council of Economic Advisers (CEA) during the first Obama administration, was previously considered the most dovish member within the Federal Reserve until former President Donald Trump initiated a tariff war.


Goolsbee voted in favor of rate cuts at both the September and October Federal Open Market Committee (FOMC) meetings, but since the October FOMC, he has distanced himself from further cuts.


sjkim@yna.co.kr


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