U.S. Treasury Secretary Janet Yellen: We may now enter a series of interest rate cuts, and the Federal Reserve should cut rates by 150 to 175 basis points

On Wednesday, U.S. Treasury Secretary Becerra stated in a media interview that the country may soon enter a series of interest rate cuts:

If the data is accurate, the Federal Reserve may start cutting rates earlier, and I am optimistic about the Fed's September meeting, with a high likelihood of a 50 basis point cut in September.

We may now enter a series of rate cuts, and regardless of the model used, the Fed's rates should be 150 to 175 basis points lower than the current level.

Regarding the candidates for the Federal Reserve, Becerra mentioned that Trump has a very open attitude when selecting candidates for the Fed chair.

I do not expect Stephen Miran to remain at the Fed after January next year.

We are examining a list of current Fed members, and we are also considering candidates from the private sector for the Fed.

We are casting a wide net for Fed candidates, with 10 or 11 individuals under consideration; Trump previously considered Yellen and John Taylor.

Specifically, among the candidates are three previously undisclosed names, including Jefferies Chief Market Strategist David Zervos, former Fed Governor Larry Lindsey, and BlackRock Global Fixed Income Chief Investment Officer Rick Rieder.

The previous list of eight candidates includes Federal Reserve Vice Chair for Supervision Michelle Bowman, Fed Governor Chris Waller, and Fed Vice Chair Philip Jefferson. Officials also confirmed that candidates include Bush administration economic advisor Mark Sobel, Dallas Fed President Lorie Logan, and former St. Louis Fed President James Bullard.

Regarding the trend and future development of U.S. Treasury bonds, Becerra stated that the entire yield curve in the U.S. could shift downward:

The 10-year U.S. Treasury yield reflects the credibility of the U.S. Treasury and the Fed; the yield on the 10-year Treasury is declining, while yields in other countries are rising, and Japan needs to control its inflation issues.

We are supplementing fiscal cash by issuing short-term Treasury bills, and our approach to Treasury issuance is changing; we will continue to monitor progress.

In addition, Becerra reiterated his push for a single stock trading ban bill, stating that the current proposal regarding the stock trading ban is not yet "perfect," and related trading restrictions have been extended to the Treasury