Economic advisor during the Bush administration: Supports a 50 basis point rate cut due to inverted yield curve.

Economist Marc Sumerlin said in an interview with Bloomberg TV that the Federal Reserve's federal funds rate is "too high" and that a 50 basis point rate cut is feasible due to the inverted yield curve. "You can cut rates by this magnitude without causing negative impact," he said. Sumerlin added that housing is the weakest part of the market for the U.S. economy. He pointed out that he doesn't believe there is an issue with the size of the Federal Reserve's staff, but rather that the staff is "completely misaligned." He added that the problem here is "redundancy." Sumerlin was an official during the George W. Bush administration and reportedly being considered for a position as Federal Reserve chairman.