JPMorgan Asset Management Kelly: the Fed should cut rates by 25 basis points to avoid market panic

David Kelly, global chief strategist at JPMorgan Asset Management, said the Federal Reserve should have cut interest rates by 25 basis points on Wednesday, instead of the 50 basis points called for by some market participants, in order to avoid investors panicking about the state of the U.S. economy. He said the Fed was wrong to keep rates high for so long. “But when they cut rates, they need to be gentle because they don't want people to think they're panicking,” Kelly added.