Should the Federal Reserve listen to its elders and cut rates now, before September?

Last week Jeremy Seigel was lambasted for screaming for a 75bp Federal Reserve emergency rate cut.

• About that 75 basis point emergency cut...

As you'll see from that linked post, he did pull his head in. I'm not sure what the point of screaming for such a panic move was. unless it was the publicity.

Moving on. Cooler heads have nevertheless argued for rate cuts before the September meeting.

• Former NY Fed President Bill Dudley says an immediate rate cut is in order but is 'very unlikely'

And, Alan Blinder also. Blinder is a professor of economics and public affairs at Princeton and served as vice chairman of the Federal Reserve from 1994-96:

• the American jobs machine has slowed
• While the stars look to be aligning for a September rate cut, why wait?

Blinder called for a July rate cut in this Wall Street Journal (gated) piece.

-

I think the chance of a cut prior to September is close to zero. But ... Federal Reserve Chair Powell speaks at the Jackson Hole Aug 22-24 conference if he wants to surprise us.