Chicago Fed President: The Fed must maintain stability in stock market volatility and policy changes.

Chicago Fed President Austan Goolsbee said on Wednesday that the Federal Reserve should not react to stock market fluctuations or policy statements, and that the current economic data remains stable. Goolsbee said in an interview, "It must be remembered that the Fed's role is to maintain stability, not react to stock market fluctuations or policy statements. And the data we continue to receive at least shows that everything is relatively stable." Goolsbee stated that due to the uncertain macroeconomic environment, consumers and businesses may reduce spending and investment plans. He mentioned that there was a moment last month when there was "a lot of dust in the air", but did not provide further details. President Trump announced on April 2nd that he would impose large-scale "reciprocal tariffs" on trading partners, which disrupted the stock market, although he later suspended most of the tariff plans. Goolsbee said, "We are still awaiting economic data." He pointed out that in the events that happened in April, "you may be in a kind of paralysis, but it will still take some time for this to be reflected in the data." Goolsbee added that there is currently "a lot of noise", but "if we can overcome these, I think there is still a strong foundation of economic data." He also said, "When short-term fluctuations are so severe, it is not realistic to expect businesses or central banks to draw conclusions about long-term affairs. This is a very difficult environment."