Federal Reserve Governor Milan once again calls for a significant rate cut in December

BlockBeats News, November 11, Federal Reserve Governor Milan stated on Monday that given the softening labor market and declining inflation, the Fed should cut interest rates by 50 basis points in December. He believes that a 25 basis point rate cut is the "minimum" appropriate action.

Milan pointed out: "We have received new inflation data, and the results are better than expected, which means that compared to the September FOMC meeting, it is reasonable to adopt a more dovish policy stance. At that time, most policymakers believed that there should be a total of three rate cuts by the end of the year, each by 25 basis points."

The Federal Reserve had already cut rates by 25 basis points each in September and October. However, Milan emphasized that the unemployment rate is rising, "because the policy is too tight. Therefore, we must adjust the policy and continue to gradually lower rates to prevent this tightening from putting greater pressure on the economy, which would further push up the unemployment rate." (Golden Ten Data)