St. Louis Fed President Bullard: The Fed should gradually lower interest rates

PANews reported on September 28th that the Financial Times disclosed that Musallam, the president of the St. Louis Fed, stated that after cutting interest rates by 50 basis points earlier this month, which is larger than usual, the Fed should resume the "gradual" approach to rate cuts. Musallam said that the U.S. economy may respond "very positively" to a looser financial environment, stimulating demand and prolonging the time needed for the Fed to lower the inflation rate to 2%. Musallam said, "For me, this is about easing off the brakes at this stage, it's about gradually reducing policy constraints." According to forecasts released at this month's meeting, he is one of the officials expected to cut rates by more than 25 basis points for the remainder of the year.