Chicago Federal Reserve Bank President Austan Goolsbee said Thursday the U.S. economy looks like it is back on track to 2% inflation after a bump up earlier this year, a view that suggests he is gaining confidence that the time will soon be ripe to cut interest rates.

"My view is, this is what the path to 2% looks like," Goolsbee told reporters in a group interview at the bank.

A government report earlier on Thursday showing consumer prices unexpectedly dipped in June from May was "excellent" news and along with May's reading suggested stronger-than-expected inflation readings in January were just a "bump in the road," he said.

The report also showed a long-awaited easing in shelter inflation was "profoundly encouraging," he added.

Goolsbee declined to say whether he would push for a rate cut when the Fed next meets to decide on policy on July 30-31.

However, he did say that for the Fed to hold the policy rate steady in the 5.25%-5.5% range, as it has done since last July, effectively means the Fed is increasingly putting the brakes on the economy.

"By not moving, we are tightening ... and it's starting from a level of restrictiveness that is as high as it's been in decades," Goolsbee said. "The reason to be as restrictive as that and the reason to tighten in real terms would be if you thought the economy was overheating. This is not in my view what an overheating economy looks like."