Summary
- U.S. Treasury Secretary Scott Bessent stated there is a high possibility that the Fed will cut interest rates by 50bp in September.
- Secretary Bessent emphasized that current interest rates need to be 150bp~175bp lower.
- He noted that as recent U.S. employment growth figures have been significantly revised downward, additional data will be important for the rate cut decision.
There has been a claim that the U.S. Federal Reserve (Fed) is likely to cut interest rates by 50bp in September.
According to Walter Bloomberg on the 13th (local time), U.S. Treasury Secretary Scott Bessent stated, "Rate cuts may start as early as September. There is a significant possibility of a 50bp reduction." He added, "Currently, interest rates should be 150bp~175bp lower."
He also commented, "If the data had been accurate, the Fed might have moved to cut rates even sooner," stating, "We want reliable data." Previously, the U.S. Bureau of Labor Statistics significantly revised down employment growth for May and June, showing a reduction of about 258,000 jobs compared to the initial figures.
Additionally, regarding concerns raised by some about the potential suspension of employment report releases, he expressed his disagreement with such worries.
Son Min
sonmin@bloomingbit.ioHello I’m Son Min, a journalist at BloomingBit
