Fed's Lacker: Likely Will Need To Raise Rates In Mid-'13 To Deal With Inflation -Bloomberg TV

DOW JONES NEWSWIRES

Federal Reserve Bank of Richmond President Jeffrey Lacker Tuesday said the central bank likely will need to raise rates in mid-2013 in order to deal with inflation.

"My view is that we're likely to need to raise rates in mid-2013 in order to keep inflation pressures contained," Lacker said in an interview with Bloomberg Television.

A hike in rates, Lacker said, would be "perfectly manageable, and we could even see inflation expectations come down on a day like that."

Inflation at present, he added, is in a "good place now" and likely to stay around 2%.

He also reiterated his opposition to additional monetary stimulus, saying that course of action would raise inflation "and likely do very little for the growth process."

Website: www.bloomberg.com/

-Dow Jones Newswires; 212-416-2900

(END) Dow Jones Newswires

May 01, 2012 13:33 ET (17:33 GMT)

Copyright (c) 2012 Dow Jones & Company, Inc.