Former Dallas Fed President Suggests Potential Rate Cuts

According to Odaily, former Dallas Federal Reserve President Robert Kaplan indicated in an interview with Goldman Sachs' research monthly 'Top of Mind' that the Federal Reserve might be lagging behind the curve, but only for one or two meetings. Kaplan believes that the Fed should begin cutting interest rates soon. He is closely monitoring data, including the August employment report set to be released on Friday. Kaplan mentioned that a 'relatively robust' report would likely prompt the Fed to cut rates by 25 basis points. However, if the employment data and other economic indicators fall short of expectations, the Fed might consider a 50 basis point rate cut.