In an interview with CNBC on Monday, Chicago Federal Reserve (Fed) President Austan Goolsbee said that they have seen significant improvement in inflation, per Reuters.

Goolsbee noted that he was confused with the market reaction to the Fed policy announcements last week and added that they do no precommit what they are going to do at future meetings.

"If we keep getting improvements on supply side and improvements in labor force participation, then the economy doesn't have to weaken for inflation to come down," Goolsbee said.

Market reaction

The US Dollar Index continues to fluctuate in its daily range at around 102.50 following these comments.