Fed's Goolsbee (2027 voter) says he is open to new ways of thinking about inflation
Fed Governor Goolsbee's remarks indicate a recognition of the complexities around inflation management and suggest that current frameworks may need reevaluation.
Arm (ARM) Q4 2026 (USD): Adj. EPS 0.60 (exp. 0.58), Revenue 1.49bln (exp. 1.47bln)
US Treasury Bessent is to meet with Japanese PM Takaichi, Finance Minister Katayama and BoJ Governor Ueda for 3 days, starting Monday 11th, to discuss the weak yen, Nikkei reports
Fed's Goolsbee (2027 voter) says he is open to new ways of thinking about inflation
US FX WRAP: Dollar weighed by reports US & Iran near deal; CAD & NOK lag on lower oil prices
Iran's Major General Rezaei says our focus is not on negotiations, but on becoming stronger, and if war breaks out again, being able to inflict the most damage on the enemy, SNN reports
Open the platform and use it. The whole workspace is free to try, with no signup and no card. When you want the headlines arriving live instead of on a delay, Newsquawk Pro is £24.99 for 7 days.
- Overhauling the Fed's inflation framework is 'not an easy space'.
- Kevin warsh has some fresh ideas worth thinking about.
- Fed should incorporate all the data it can, but he doesn't think there is a silver bullet for the inflation problem.
- He would be on the lookout for 'underheating' demand if low consumer confidence translates into falling consumer spending.
- US might be approaching an era of labour scarcity due to a combination of population aging and limited immigration.
- The longer oil prices remain high, the greater the chance people start factoring higher inflation into expectations, which would be 'extremely problematic' for the Fed.
- Labor market is stable but not great; gains in payrolls are not good measure of slack at this point.
- Fed needs to watch for behaviours today that seem premised on a 'bounty' to come, such as spending out of wealth effects or overheating local markets based on data-center investment-.
- Labor market seems pretty stable while inflation has been over Fed's target for five years and progress on that front has stopped.
- US productivity gains have proved somewhat durable, but implication for interest rates is more subtle.
- Anything that indicated the US is going the wrong way on inflation on a persistent basis would require a rethink about the right monetary policy path.
- Every policy option is always on the table, and the world should know that.
- Not surprised to see evidence of supply chain problems developing given length of U.S.-Iran conflict.
- Evidence of more persistent inflation might come from sustained price increases in core services, wealth-driven spending among more affluent households, and wage hikes in occupations tied to artificial Intelligence investment
- It is clear from public statements that there are different world views at the Fed about path of inflation, nature of job market
His concerns about demand underheating and the potential for high oil prices to impact inflation expectations underline a cautious stance, implying that monetary policy may soon need to adapt to evolving economic conditions. This reflects a divergence of views within the Fed, raising the possibility of varied approaches to future interest rate decisions.
Related headlines
- NY Fed SCE (Aug): Inflation expectations: One-year 3.6% (prev. 3.6%), 3-year 3.2% (prev. 3.3%), 5-year 3% (prev. 3%). 18 hours ago
- FedEx (FDX) is to sell EUR denominated 4- and 8-year notes1 hour ago
- [MARKET ANALYSIS] T-note futures are little changed after yesterday's indecisive mood and with key inflation data due later this week6 hours ago
- US Market Wrap: Stocks fall and crude gains amid escalating geopolitics 12 hours ago
- US FX WRAP: Dollar little changed as markets await US CPI/PPI13 hours ago
- RBI may conduct USD/INR buy-sell swap operations this month, traders suggest1 hour ago
- [MARKET ANALYSIS] DXY is little changed ahead of inflation data later in the week and despite the US announcing an import ban on some Canadian goods as trade war escalates5 hours ago
- PBoC sets USD/CNY mid-point at 6.7709 vs Exp. 6.7042 (prev. 6.7804)7 hours ago
- PBoC is expected to set USD/CNY mid-point at 6.7042 (prev. 6.7804)8 hours ago
- PRE-MARKET AUSTRALIAN, JAPANESE AND SOUTH KOREAN STOCKS NEWS: Samsung Electronics (005930 KS)** - Co. opened an AI chip R&D hub in Yokohama to collaborate with Japanese companies on advanced semiconductor packaging9 hours ago
- TREASURY WRAP: T-NOTE FUTURES (Z6) SETTLE 5 TICKS LOWER AT 107-1013 hours ago
- [MARKET ANALYSIS] Oil prices are underpinned after US and Iran conducted a fresh round of retaliatory strikes6 hours ago
- US senior Trump administration official says President Trump approved series of proclamations on Canada trade measures, with ban on dairy, most alcohol and motorcycle imports from Canada under Section 338 with restrictions effective in about 3 weeks9 hours ago
- US President Trump says directing the GSA, working with the USTR, to take all necessary steps to remove Canadian-origin products from GSA’s Multiple Award Schedules unless Canada restores full and fair reciprocity for American farmers and companies12 hours ago
- US President Trump reiterates that Iran will never have a nuclear weapon; says blockade against Iran has been effective18 hours ago
- PRE-MARKET TAIWAN AND SINGAPORE STOCKS NEWS: TSMC (2330 TT) plans to adopt ASML’s high-NA EUV lithography equipment for high-volume manufacturing from 20308 hours ago
- US Secretary of State Rubio says that President Trump has a desire to reach an agreement with Colombia on tariffs10 hours ago
- CRUDE WRAP: WTI (V6) SETTLES USD 1.55 HIGHER AT USD 93.03/BBL14 hours ago
- US Secretary of State Rubio hoping to wrap up solid trade deals with Colombia, Ecuador, and Peru during visits18 hours ago
- US Consumer Credit Change (Jul) 18.06B vs. Exp. 11.7B (Prev. 14.56B)14 hours ago
The whole workspace, free to try.
Try it free