Fed's Goolsbee hopes neutral can be in sight by late next year
Chicago Federal Reserve president Austan Goolsbee said that economic conditions will determine how fast the Federal Reserve cuts rates from here, but added he hopes the Fed will be homing in on a stopping point by the end of next year. "I'm hopeful that conditions continue to evolve such that we can get in close to the range" where monetary policy is having a neutral impact on the economy, Goolsbee said in comments to reporters. While he would not specify his estimate of neutral, he said that a level around 3%, well below the current 4.5% to 4.75% rate and roughly the median that Fed officials projected as a stopping point at their September meeting, "doesn't seem crazy to me."