Goolsbee Warns Fed May Need More Hikes to Reach Inflation Goal

Austan Goolsbee, CEO of the Federal Reserve's Chicago branch, has warned that the central bank's plans for one additional rate hike may not be enough to achieve its target of 2% inflation.

Goolsbee's comments come as the Fed is weighing its next move in response to persistent price pressures. The current supply shocks are already contributing to inflation, but Goolsbee suggests that demand-side factors could also play a significant role.

In other words, if demand continues to outpace supply, further rate hikes may be necessary to keep inflation in check.