🗣️Fed's Goolsbee:

•The Fed should understand why the 10-year yield is rising and monitor long yields.

•Rates may need to be cut next year.

•Core PCE is still too high.

•If there is disagreement on the neutral rate, it would make sense to start slowing the pace of rate cuts.

•As long as inflation continues to fall, interest rates will be much lower than they are now.

Unless conditions change, I feel good about a neutral path of 12-18 months.

•Current Fed policy remains restrictive.

•I don't think rates will go back to pre-pandemic levels.