Chicago Federal Reserve Bank president Austan Goolsbee said on Tuesday that he believes that interest rates in the U.S. are restrictive now. However, he warned that restrictive rates for too long are a problem. "If you just hold the rates where they are while inflation comes down, you are tightening," the official noted.
Goolsbee also highlighted that the Fed policymakers are putting emphasis on jobs reports and price data, and admitted that there are some warning signs in the U.S. jobs market.
Regarding price pressures, the official said he sees that inflation is on a path to 2%. "We hit a bump in the road in January but now we’ve gotten a string of improved inflation readings," he noted.