Goolsby: Uneasy about the December rate cut, wary of the risk of "temporary inflation"
TL;DR
Fed's Goolsby is uneasy about a December rate cut, warning that inflation has stalled and the Fed may be moving in the wrong direction. Policymakers worry about cutting rates too much with inflation still above the 2% target.
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According to ChainCatcher, citing Jinshi, Federal Reserve's Goolsby hinted that he is uneasy about another rate cut at the December meeting. He stated that the decline in inflation "appears to have stalled" and warned that the Fed may be heading in the wrong direction. A growing number of policymakers are concerned about cutting rates too much while inflation remains high. The Consumer Price Index rose 3% in September, still above the Fed's 2% target. Goolsby noted that despite the strong economy, he is uneasy about a large rate cut ahead of schedule.