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Goolsbee Reiterates Wouldn’t Rule Out March Cut

FED
  • Contrary to Chair Powell's latest guidance, Chicago Fed’s Goolsbee (’25 voter) repeats he doesn’t want to rule out a March cut whilst he won’t speculate on the potential for 50bp cuts in an appearance on Bloomberg TV.
  • He needs to see more data showing inflation progress but adds that have seen a decidedly tighter lending market over last year.
  • Echoing post-payrolls remarks which noted supply side strength, he says strong jobs data doesn’t necessarily mean overheating.
  • The inverted yield curve is not a reliable recession sign now.

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