The head of the Chicago Fed warned that steps to fight inflation would be painful for the US economy.

The head of the Chicago Fed warned that steps to fight inflation would be painful for the US economy.

The U.S. Federal Reserve cannot ignore the pro-inflationary impact of repeated and persistent supply-side shocks and must respond to them with measures that could hurt the economy, Chicago Fed President Austin Goolsby said. "Supply-side shocks have become more frequent, stronger and longer lasting," Goolsby said in a text prepared for his speech at the London event.