Fed’s Goolsbee Says Rates to Be a Lot Lower Over Next Year (2)

Federal Reserve Bank of Chicago Austan Goolsbee said as long as inflation continues down toward the central bank’s 2% goal, interest rates will be “a lot” lower over the next 12-18 months.

But Goolsbee agreed with Fed Chair Jerome Powell, noting policymakers are not in a hurry to lower borrowing costs.

“As long we keep making progress toward the 2% inflation goal, over the next 12 to 18 months rates will be a lot lower than where they are now,” Goolsbee said on CNBC Friday.

The Chicago Fed chief said it makes sense to slow rate cuts at some ...