Fed/Goolsbee: It may take time to see the impact of rate hikes

Goolsbee said in an interview with CNBC that the future data will determine the rate decision to be taken at the meeting on May 3rd.

“But I have to say that we’ve had a lot of interest rate hikes so far, it may take time to see the impact of these increases on the system,” said the Chicago Fed President, who has voting rights in the FOMC this year.

Stating that the latest data show that inflation has decreased, the Fed official said, “The latest data indicate that we are on the right track.” said. Goolsbee also drew attention to the possibility of a recession in the USA, “looking at the conditions in the world and in the USA, we can say that a recession is on the table.” made the warning.

Stating that the possible credit crunch after the bankruptcy of Silicon Valley Bank last month should be closely monitored, Goolsbee added that the tightening credit conditions may contribute to the Fed’s target to reduce inflation.