U.S. Federal Reserve (Fed) Chair Jerome Powell said Monday that if the economic data stays stable, future rate cuts are expected to be smaller than the half-percentage-point reduction in September.

"Looking forward, if the economy evolves broadly as expected, policy will move over time toward a more neutral stance. But we are not on any preset course," Powell said in a prepared speech at the annual meeting of the National Association for Business Economics in Nashville, the U.S. state of Tennessee.

"Our decision to reduce our policy rate by 50 basis points reflects our growing confidence that, with an appropriate recalibration of our policy stance, strength in the labor market can be maintained in a context of moderate economic growth and inflation moving sustainably down to 2 percent," he said.

During a Q&A following his speech, the Fed chair said that the Federal Open Market Committee -- the Fed's policy setting body -- is not in a hurry to cut rates quickly.

"If the economy performs as expected, that would mean two more rate cuts this year, a total of 50 (basis points) more," Powell said.

After its Sept. 17-18 meeting, the Fed slashed the target range for the federal funds rate by 50 basis points to 4.75-5 percent, amid cooling inflation and a weakening labor market. This marks the first rate cut in over four years and signals the start of an easing cycle.

When asked about this "larger-than-typical rate cut," Powell acknowledged at a press conference that it is "a strong move," while noting that "we don't think we're behind. We think this is timely, but I think you can take this as a sign of our commitment not to get behind."

Powell said on Monday that the recent half-percentage-point interest rate cut should not be taken as an indication that future adjustments will be similarly aggressive.

The Fed will hold its next policy meeting from Nov. 6 to 7. The Chicago Mercantile Exchange Group's FedWatch Tool, which acts as a barometer for the market's expectation of the Fed funds target rate, showed that as of Monday evening, the probability of the Fed cutting rates by 25 basis points at the November meeting is over 60 percent.