Austan Goolsbee, President of the Federal Reserve Bank of Chicago: Last week's PCE inflation data is "bad news" for the Federal Reserve, which means the Fed needs to remain cautious on rate cuts until inflation starts to ease.
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We must obtain some assurances that we are returning to the 2% inflation target. Even in the services sector, inflation is rising, and these industries were largely supposed to be immune from tariffs and the oil price increases caused by the US-backed war in Iraq. The current inflation structure "does not look good."
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