Exploring the Pace of Rate Cuts

In a recent interview with CNBC, Austan Goolsbee, President of the Federal Reserve Bank of Chicago, expressed openness to the idea of slowing down the momentum of rate cuts. Goolsbee emphasized the importance of cautiously navigating towards neutral rates, suggesting a balanced approach to monetary policy adjustments.

Economic Outlook and Employment

Goolsbee highlighted the current state of the economy, describing it as being on an "excellent path." He pointed out that the market has largely achieved full employment, indicating a stable economic environment that could support a more measured approach to rate adjustments.

Bitcoin Reserves: A Legal Constraint

When questioned about the potential inclusion of Bitcoin in the Federal Reserve's balance sheet, Goolsbee clarified that legal restrictions prevent the Fed from adding such assets. This statement underscores the regulatory boundaries within which the Federal Reserve operates, especially concerning digital currencies.