Chicago Federal Reserve President Austan Goolsbee stated on Thursday that inflation is still trending in the wrong direction, despite acknowledging a few positive developments in the data.
His comments, delivered in a live interview, underscore the central bank's cautious posture as policymakers weigh whether the disinflation process is durable enough to justify further easing.
Goolsbee's remarks align with a broader hawkish tilt among regional Fed officials.
Minneapolis Federal Reserve President Neel Kashkari also emphasized on Thursday that curbing inflation remains the central bank's top priority, even as he described the labor market as 'in decent shape.' The synchronized messaging from multiple governors suggests the Federal Open Market Committee is unlikely to rush into rate cuts until price pressures subside more decisively.
The comments come amid ongoing debate over the pace of monetary policy normalization.
While some data points have shown improvement, the persistence of inflationary pressures in certain sectors has kept policymakers on guard.