Federal Reserve 2025 voting member Goolsbee: Expects the FOMC's rate cuts in 2025 to be lower than previously estimated

U.S. Chicago Federal Reserve President Goolsbee (with FOMC voting rights in 2025): I once believed that U.S. inflation is still on track to return to the 2% target.

I hope that the U.S. PCE inflation data indicates that the previous signs of stubborn inflation are just bumps on the path to achieving the 2% inflation target.

I hope to see more inflation data like the latest PCE.

(At the FOMC monetary policy meeting on December 17-18) I believe that the interest rate path in 2025 will not decline significantly.

I agree with the view that "Federal Reserve policy is restrictive and still far from neutral levels."

I also acknowledge the view that "the degree of restrictiveness of the Federal Reserve's current policy has decreased."

The policy rate will continue to decline, and the policy rate can continue to go down in the next 12-18 months.

The policy rate will be further lowered in 2025, and the magnitude of the rate cut "will be prudent."

(The uncertainty of the incoming President Trump) increases the difficulty of making predictions