Central Banks
Fed’s Neel Kashkari Expects Two Quarter-Point Cuts Before Year’s End
- Minneapolis Fed chief says risks now tilted to labor market
- Says he penciled in two more quarter-point cuts this year
Neel Kashkari
Photographer: Victor J. Blue/BloombergThis article is for subscribers only.
Federal Reserve Bank of Minneapolis President Neel Kashkari said he expects to lower interest rates by smaller, quarter-point moves at each of the central bank’s two remaining meetings this year.
“After 50 basis points, we’re still in a net tight position so I was comfortable taking a larger first step,” Kashkari said on CNBC Monday. “As we go forward, I expect, on balance, we will probably take smaller steps unless the data changes materially.”