Citadel CEO Ken Griffin expects the U.S. Federal Reserve to cut interest rates one more time this year, he said Thursday in a CNBC interview.

"I think the Fed is nervous about the labor market because we did see this decline in the number of jobs being created, and in terms of balance of risks they chose to focus on the unemployment side rather than on the inflation side," Griffin said.

He added that he expects the Fed to cut interest rates one more time this year, "two on the outside."

Fed Chair Jerome Powell said the central bank faces a difficult balance, with the risk of faster inflation on one side and slowing job growth on the other, while giving little indication of the timing of the next rate cut.

The U.S. Federal Reserve reduced interest rates by 25 basis points last week, its first cut since December, and indicated more cuts would follow to halt any slide in the labor market.

However, in the interview Griffin said he expects inflation to be in the mid-2% to 3% range next year, above the long-run "historical target of 2%."