Federal Reserve official Austan Goolsbee said the central bank is keeping all options open ahead of its next interest-rate meeting, including another rate hike or a pause.
Goolsbee said the Fed should not react strongly to just one month of economic data, emphasizing the need to assess broader inflation trends.
He added that policymakers are looking for clearer evidence that inflation is moving back toward the Fed’s 2% target.
Goolsbee said the U.S. labor market remains relatively steady, making inflation the more important factor in determining the Fed’s next policy move.
His comments reinforce the view that the Fed remains data dependent, with upcoming inflation and economic reports likely to influence the next rate decision.
