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Agency: The Federal Reserve should cut interest rates as soon as possible to avoid being unable to keep up with the situation

According to online reports, Eckhard Schulte, Chairman of MainSky Asset Management Board, said that U.S. interest rates are still very restrictive and he believes that the Federal Reserve may not be able to keep up with the situation. "The Federal Reserve should cut interest rates as soon as possible." He said that while tariffs may lead to higher inflation, it will be a one-time impact. The Federal Reserve may not cut interest rates in June. "However, this carries the risk that it will fall behind the curve because of the way it overreacts." This potential policy mistake represents the highest risk of a U.S. recession right now. The current money market prices the Federal Reserve will cut interest rates by 25 basis points in September.

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