Wall Street veteran Ed Yardeni stated that the Federal Reserve's loose mmf policy for 2024 may have already come to an end, as Friday's strong employment report highlighted the resilience of the world's largest economy.

The founder of Yardeni Research Inc. mentioned that while the rebound in oil prices and China's efforts to restart its economy may lead to further relaxation of policies, it could trigger inflation.

Ed Yardeni, the founder of Yardeni Research.

He also expressed that the Federal Reserve's 0.5 percentage point rate cut in September, usually implemented to address economic downturns or market crashes, was unnecessary because the economy was running at high levels and the s&p 500 index was hovering near records.

"They don't need to do more," Yardeni wrote in an email response to questions, "I think some Fed officials may already regret doing so much."

Former US Treasury Secretary Lawrence Summers also stated earlier on Friday that the Fed's decision to significantly cut interest rates last month was a mistake.

Recommended reading: Lawrence Summers refers to the Fed's 50 basis point rate cut in September as a "mistake."

The non-farm data of the day also prompted economists at Bank of America and JPMorgan to lower their expectations for a rate cut by the Federal Reserve in November from 0.5 basis points to 0.25.

However, it can be said that the Fed's unanimous view of standing completely still for the remaining time in 2024 has not yet become a consensus. Many investors believe that the Fed's most recent rate cut was a step towards policy normalization amid easing inflation.