Fed cuts interest rates again but future drops this year are in doubt Fed policymakers cut rates but were divided about their future path. A majority projected no more cuts in the foreseeable future with the unemployment rate expected to remain at a very low 3.7% this year and next, and inflation to stay at about 1.5% this year and rise to 1.9% in 2020. What are some of the problems that could arise if the Fed cuts interest rates too soon by too much or too late by too little?