Federal Reserve's Goolsbee stated that he expects the Federal Reserve to continue cutting interest rates, aiming to neither restrict nor stimulate economic activity.
Goolsbee said, "Unless there is convincing evidence of an overheated economy, I see no reason not to continue lowering the federal funds rate." "The pace of rate cuts depends on prospects and conditions. But in my view, we are on a clear path that will lead to lower interest rates, closer to neutral rates." He said his forecast for the neutral rate was close to officials' median estimate - 2.9% as predicted in September. Goolsbee noted that overall inflation has often been below expectations over recent months but hasn't significantly exceeded the 2% target.