Fed Goolsbee: All interest rate options are under consideration

On May 9, Chicago Fed President Goolsbee said that all current interest rate options are under consideration, not just interest rate cuts. At the end of April, the Federal Reserve kept interest rates unchanged. Three officials opposed the wording in the statement that suggested that interest rates might be cut next, arguing that the possibility of raising interest rates should be preserved. Goolsbee's comments reflect a shift by Fed policymakers-no longer considering a near-term interest rate cut, largely because energy price shocks triggered by the war in Iran have driven up inflation. He reiterated that both interest rate cuts and interest rates were under consideration, and was anxious about inflation, believing that there was also price pressure in addition to energy shocks.