Nobel laureate Joseph Stiglitz wants the Fed to deliver a big rate cut [Video]

Nobel Prize-winning economist Joseph Stiglitz says the Federal Reserve should deliver a half-point interest rate cut at its forthcoming meeting, accusing the U.S. central bank of going “too far, too fast” with monetary policy tightening and making the inflation problem worse.

His comments come ahead of Friday’s pivotal release of U.S. jobs data, with investors closely monitoring the August nonfarm payrolls count for clues on the size of an expected rate cut this month. The jobs data is scheduled out at 8:30 a.m. ET.

Strategists have typically said that the most likely outcome from the Fed’s Sept. 17-18 meeting is a 25-basis-point rate cut, although bets for a 50-basis-point reduction have increased in recent days.

A basis point is 0.01 percentage point.

Stiglitz, who won the Nobel Prize in 2001 for his market analysis, joins …