
Federal Reserve's Goolsbee: The neutral interest rate is 100-125 basis points lower than the current rate

Chicago Federal Reserve President Goolsbee stated that the Federal Reserve's inflation target remains at 2% and believes that current policies are moderately restrictive. He pointed out that the neutral interest rate is 100-125 basis points lower than the current rate
President of the Federal Reserve Bank of Chicago Goolsbee (2025 FOMC voting member): The Federal Reserve's inflation target remains at 2%, and it must return to this target. I believe the Federal Reserve's policy is moderately restrictive. The neutral interest rate is 100-125 basis points lower than the current rate.
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