Forex – The Fed needs to cut interest rates to keep the labor market healthy and that multiple cuts will be necessary, Chicago Fed President Austan Goolsbee said on Friday.
“Every month inflation is coming in low, we just tightened, and when the labor market is so cold, do you want to tighten? I think that raises some important questions, not just for this meeting, but for the next few months. How do we make sure things don’t get worse, I think that’s the critical challenge for the Fed,” Goolsbee told CNBC.
Goolsbee also said he foresees a series of rate cuts in the coming cycle, adding, “In past cycles, when things slowed down, conditions called for multiple moves, not just one.”
