Chicago Fed Pres. Goolsbee is speaking and says:
CPI data this week was very good. If we got a lot of months like May CPI data, we would be feeling very goodMy feeling was reliefWe got to see some more progressWe are going to get a lot of data between now and September, December meetings
Goolsbee is thought to be a dove. He is a 2025 voting member
More from Goolsbee:
In the near to medium term what will determine if rates go back to normal is if inflation is on its path to 2%That has a 2% inflation goal and it must keep that promiseWe are going to get to 2% inflationIf we get it to 2% I am fine with then having a discussion on changing the target but not until then.Dynamics now look a lot more like the regular business cycleif we get more months like we just saw on inflation, Fed can cut rates.Pain is rising in various parts of the economyif we keep making progress on inflation, and the rates can come down, we may avoid recessionA stronger dollar would affect export/import balance and affect US employment and inflation
This article was written by Greg Michalowski at www.forexlive.com.
