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Fed Governor Stephen Miran Urges Rapid, Large Rate Cuts to Reach Neutral

His push intensifies the policy divide as the mid-December decision approaches.

Overview

  • Stephen Miran said monetary policy is holding the economy back and nudging unemployment higher.
  • He advocated a series of 50-basis-point reductions, arguing recent data supports faster easing.
  • Miran described most recent inflation excess as a housing-driven mirage, not a lasting problem.
  • He called for mortgage-rate relief, citing tight housing financial conditions as a key pressure point.
  • The Fed funds rate stands at 3.75%–4.00% after two cuts this fall, and FOMC members remain split over the next move in December.