Former Obama administration economist: Federal Reserve may only lower benchmark interest rates once this year

Odaily Planet Daily News: Jason Furman, a former senior economist in the Obama administration and current professor at Harvard University, believes that if the labor market remains healthy, the Federal Reserve may only lower its benchmark interest rate once this year. Jason Furman said that the Federal Reserve has entered a new stage of "needing reasons" to cut interest rates. Last year, the Fed believed that "everything is good, so it may be worth cutting interest rates." However, if the labor market remains healthy, considering concerns about the inflation outlook and uncertainty about whether interest rates are already in the best position to slow down demand, a 25 basis point rate cut this year may be the most likely thing to happen. However, Jason Furman added that if the situation changes and the unemployment rate starts to rise, "the Federal Reserve will intervene" and relax policies. (Golden Ten)