Should the Federal Reserve cut rates aggressively?


“The danger of pushing rates too low or even going negative, when the US economy is not in dire straits yet may leave the Fed with less ammunition when recession really hits and deepens, ” said Socio Economic Research Center executive director Lee Heng Guie.

With the cutting of interest rates worldwide, should the US Federal Reserve do so more aggressively as sought by President Donald Trump?

Within rapid intervals with different reasons cited, Trump had initially asked the Fed to cut the Fed funds rate, currently at 2.25%, by one percentage point or 100 basis points over a fairly short period of time.

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