U.S. Treasury Secretary “Scott Besant” stated that some sectors of the American economy, most notably the housing sector, are already experiencing a noticeable slowdown due to rising interest rates, and reiterated his call for the Federal Reserve to accelerate the reduction of borrowing costs.

In an interview with CNN, “Besant” explained that “the economy is still strong overall, but high mortgage rates are paralyzing the real estate market and burdening low-income families,” pointing out that the most affected groups are “those who do not own assets and rely on loans.” He pointed out that the housing market is going through a clear recession, while data from the National Association of Realtors showed stable pending home sales in September, reflecting weak demand.

“Besant” described the American economic situation as a “transitional period” that calls for cooperation between monetary and fiscal policy, and criticized the position of Central Bank Chairman “Jerome Powell,” who indicated that there were no possible interest rate cuts in December.

For his part, Reserve Board member “Stephen Miran” stated that continuing monetary tightening may lead to a real recession, stressing that “there is no justification for taking risks if there is no fear of inflation.”

“Besant” pointed out that the reduction in government spending in the “Trump” administration contributed to reducing the fiscal deficit to 5.9% of GDP, stressing the importance of continuing to cut interest rates to maintain growth and ease pressure on the affected sectors.