It would be reasonable for the Federal Reserve to slow down the rate at which it cuts interest rates as it gets closer to a neutral monetary policy.

The President of the Federal Reserve Bank of Chicago, Austan Goolsbee, emphasized the importance of considering economic conditions over time rather than making quick decisions based on short-term observations. Goolsbee stated that determining what constitutes a neutral versus a restrictive policy requires a thorough understanding of ongoing economic behaviors, which cannot be accurately assessed within a two-week timeframe.

Goolsbee's remarks indicate a cautious approach as the Fed determines its monetary policy strategy in the current economic environment.