Federal Reserve Governor Milan: It is possible to cut rates by 50 basis points consecutively in a very short period of time.

Jinse Finance reported that Federal Reserve Governor Milan stated that if interest rates are not lowered quickly, the Federal Reserve will face the risk of economic damage. He believes that the current policy interest rate of the Federal Reserve is between 4% and 4.25%, which is highly restrictive and far above his estimate of the so-called "neutral" level. Milan said, "That is why it is so important to start adjusting interest rates sooner rather than later." "When monetary policy is in a restrictive stance, the economy is more vulnerable to downside shocks. In my view, there is really no need to take that risk." He said, "My view is that we can cut rates by 50 basis points consecutively in a very short period of time, then readjust monetary policy, and once we reach our target, act more cautiously."