Inflation might actually fall too far, the Fed governor says, opening the door wider for more half-point interest-rate cuts.

Federal Reserve Governor Michelle Bowman explained her dissent from the central bank's decision to cut interest rates by 50 basis points, saying she would have preferred a smaller cut.

Federal Reserve Chair Jerome Powell is known for providing clear signals about the central bank’s next interest rate move in order to avoid roiling markets. But Wall Street was mostly clueless this week when it came to predicting how big a rate cut the Fed would deliver on Wednesday.

Federal Reserve Governor Christopher Waller said favorable inflation data, and not worries about the labor market, are what convinced him to support policymakers’ decision to lower interest rates by a half percentage point this week.

One Bank of America strategist thinks the Federal Reserve’s decision to cut interest-rates by 50 basis points this week will ultimately end in tears for investors.

After an all-out fight against inflation over the past two years, the Federal Reserve recently voted to lower interest rates by a half percentage point. The Sept. 18 move by the central bank was bolder than many investors expected.