Goolsbee: "Service prices are not coming down"… Worried about economic overheating

Chicago Fed President Austan Goolsbee said the latest U.S. government inflation report was "somewhat concerning," noting that service-sector prices are not cooling and that the pressure does not appear confined to energy costs, tariffs, or AI-related categories. He said underlying inflation trends have not improved and that the U.S. faces a real, persistent price problem that must be addressed. Goolsbee flagged his main worry as broad economic overheating driving those price pressures. The comments matter as a signal on the Federal Reserve's rate path, with attention now on whether upcoming inflation data show service costs easing.