Federal Reserve's Mossalaam urged caution in cutting interest rates, predicting a significant economic rebound in the first quarter of next year.

Federal Reserve Chairman Mohamed Mussaleem stated that he expects the U.S. economy to rebound strongly early next year, highlighting the need for officials to be cautious about further interest rate cuts. He cited factors such as fiscal support, the effects of existing rate cuts, and deregulation. Mussaleem reiterated his view that current Fed policy is close to a level where it can no longer exert downward pressure on inflation. "We must proceed with caution, which is very important because I believe there is limited room for further rate cuts, otherwise monetary policy will become overly accommodative." After two rate cuts this year, Fed officials are divided on how much further cuts are needed. Fed Chairman Jerome Powell stated last month that a December rate cut was not a certainty. Several officials who have spoken since the central bank's October meeting have also pushed for a pause in rate cuts in December, emphasizing the need to curb inflation above target. (Jinshi)