According to BlockBeats, on July 3, Wall Street Journal reporter Nick Timiraos stated that U.S. Treasury Secretary Basant suggested the Federal Reserve cut interest rates before September. Basant believes that if the standard for rate cuts is that tariffs do not lead to inflation, the Federal Reserve can implement rate cuts ahead of schedule.
Basant pointed out that the Federal Reserve's prediction of rising inflation is incorrect, but he agrees with the view of weakening economic growth. He believes that the forecast of slowing economic growth should prompt the Federal Reserve to resume rate cuts. Basant had previously stated that he would not comment on future monetary policy.