Former Obama administration economist: The Fed may only cut the Benchmark Interest Rate once this year.

Odaily Planet Daily Former senior economist of the Obama administration and current Harvard professor Jason Furman believes that if the labor market remains healthy, the Federal Reserve may only lower the Benchmark Interest Rate once this year. Jason Furman said that the Federal Reserve has entered a new stage where there is a 'need' for interest rate cuts. Last year, the Federal Reserve believed that 'everything was fine, so why not cut interest rates', but if the labor market remains healthy, considering concerns about inflation prospects and uncertainty about whether the interest rate is already at the optimal position to slow down demand, a 25 basis point rate cut this year is the most likely to happen. However, Jason Furman added that if the situation changes and the unemployment rate begins to rise, "the Fed will intervene" and ease policy. (FXStreet)