Central Banks

Fed’s Goolsbee Sees Several Rate Cuts If Inflation Falls

President and CEO of the Federal Reserve Bank of Chicago Austan Goolsbee

Photographer: David Paul Morris/Bloomberg

Federal Reserve Bank of Chicago President Austan Goolsbee said Tuesday there is potential for more interest rate cuts this year, if inflation continues to return towards the central bank’s 2% target.

Warning that services inflation remains elevated, Goolsbee said if price hikes linked to tariffs are a one-off, it could allow policymakers room to move.