"Federal Reserve megaphone": There are risks in cutting interest rates, and low interest rates cannot guarantee a soft landing for the United States

Fed Chairman Powell's move to cut interest rates by 50 basis points last week was seen as a "show of strength." Nick Timiraos, a Wall Street Journal reporter who is known as the Fed's mouthpiece, said that whether the Fed's rate cut can achieve a soft landing for the economy depends not only on how much weakness there is within the U.S. economy, but also on whether lower borrowing costs can stimulate new investment and spending to offset any economic slowdown. Timiraos believes that there is a risk that the Fed's current easing cycle may face similar challenges in terms of transmission to the broader economy as the Fed's recent rate hike cycle. The Fed cut its short-term benchmark interest rate by 50 basis points last week to a range of 4.75% to 5%. Most officials expect another 50 basis point cut by the end of December, which would bring the benchmark rate down to a range of 4.25% to 4.5%. (Jinshi)