Federal Reserve Governor Milan reiterated her call for a significant interest rate cut in December.

Federal Reserve Governor Milan said on Monday that the Fed should cut interest rates by 50 basis points in December, given the softening labor market and declining inflation. He believes a 25-basis-point cut is the "minimum" appropriate measure. Milan noted, "We received new inflation data that was better than expected, meaning a more dovish policy stance is reasonable compared to the September FOMC meeting, when most policymakers believed that three 25-basis-point cuts should be made by the end of the year." The Fed has already cut rates by 25 basis points in both September and October. However, Milan emphasized that unemployment is rising, "because policy has been too tight. Therefore, we must adjust policy and continue to gradually lower rates to prevent this tightening from putting further pressure on the economy and pushing up unemployment." (Jinshi)