Wall Street Economists See Compelling Case for Fed to Cut Now

A growing number of Wall Street economists are cautioning the Federal Reserve is waiting too long to reverse course after raising interest rates to a two-decade high.

Tame inflation data in each of the last three months, combined with slowing US economic growth and a rising unemployment rate, are leading to calls for the central bank to cut rates at its upcoming policy meeting two weeks from now.

Such a move seems highly unlikely. Fed Chair Jerome Powell, at an event Monday in Washington, said he wasn’t going to give any guidance on timing for rate cuts, and most of his colleagues on the policy-setting Federal Open Market Committee still seem unconvinced of the need for urgency.