'Very high' odds of December Fed rate hike appropriate: Rosengren

[October 14, 2016]  (Reuters) - A top Federal Reserve official on Friday endorsed the "very high" odds that financial markets have priced in for a U.S. interest rate hike in December.

The Federal Reserve Bank of Boston's President and CEO Eric S. Rosengren speaks during the "Hyman P. Minsky Conference on the State of the U.S. and World Economies", in New York, April 17, 2013. REUTERS/Keith Bedford
 

"The market seems to think that there's a very high probability of (hiking in) December. We'll see how the economic data actually comes in, but I think that is priced appropriately," Boston Fed President Eric Rosengren said on CNBC.

Futures traders give about a 60 percent chance of a rate rise in mid- December, and only an 8 percent chance for a move in early November.

Rosengren, a usually dovish official who nonetheless dissented against last month's policy decision to stand pat in favor of a hike, said the Fed "tended to move" at meetings, like December, when Fed Chair Janet Yellen holds a press conference.

(Reporting by Jonathan Spicer; Editing by Chizu Nomiyama)

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