According to BlockBeats, on August 23, former Federal Reserve economist Claudia Sahm stated in an interview that there are strong arguments for a 50 basis points rate cut. She believes this move would help the Federal Reserve 'recalibrate' and stabilize the unemployment rate, which has become excessively low.Sahm emphasized that the Federal Reserve's mission is to achieve full employment. She noted that the goal should not be to avoid a recession at all costs but to seek the least possible weakening of the labor market to bring inflation down to target levels. In her view, the balance has now shifted.Sahm also mentioned that a more significant rate cut would reassure those who believed that the policy should have started easing in July, indicating that the Federal Reserve is back on track.
