Fed Governor Stephen Miran has continued to voice his support for another rate cut at the December Federal Open Market Committee (FOMC) meeting, saying it would “still be a reasonable action.” That comes amid ADP’s October private payrolls increasing by 42,000, higher than the estimate of 30,000 and marking the first monthly rise since July.
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“You continue to see moderating wages and you continue to see indications that labor demand may not be as strong as we’d like it to be from a cyclical perspective,” Miran said in an interview with Yahoo Finance on Wednesday.
Miran Supports a Quick Path to Neutral Rates
He added that he wants to achieve a neutral policy stance, or a rate that doesn’t stimulate or restrict economic growth, more quickly than any other Fed member. In addition, Miran cautioned that an excessively high rate could lead to “unnecessary risks.”
The Fed lowered interest rates by 25 bps last week to a range between 3.75% and 4.00%. Miran was the only voting official to advocate for a 50 bps reduction for a second time in a row.
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