Daily Traders Edge

Fed rate hike ‘possible’ as soon as September, Dudley says: FBN – Reuters

August 16
14:32 2016
By Jonathan Spicer

The Federal Reserve could possibly raise U.S. interest rates as soon as September, an influential Fed policymaker said on Tuesday in comments that boosted the dollar ahead of next week’s signature meeting of world central bankers. 

New York Fed President William Dudley said that as the U.S. labor market tightens and as evidence builds of wage gains, “we’re edging closer towards the point in time where it will be appropriate I think to raise interest rates further.”

“It’s possible” to hike rates at the next scheduled policy meeting on Sept. 20-21, he said on the Fox Business Network. “We’ll have to see where the data falls.” The U.S. central bank also needs to watch “the broad supports for the economy” and how inflation plays out “in coming months,” he said.

Dudley, a permanent voter on rates and a close ally of Fed Chair Janet Yellen, gave the market-moving interview nine days before the annual meeting of top central bankers in Jackson Hole, Wyoming, a venue the Fed often uses to telegraph policy plans.

Continue Reading At Reuters

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