Pressure on Powell: Treasury secy calls for 150bps rate cuts

Treasury Secretary Scott Bessent urged the Federal Reserve to initiate interest-rate cuts, advocating for a 1.5 percentage point reduction from the current benchmark. Bessent suggested a 50 basis-point cut in September, believing revised labor market data might have prompted earlier cuts in June and July. His remarks break from the tradition of treasury secretaries avoiding specific recommendations on Fed policy.

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