NEW YORK Feb 15 Skepticism among investors will
not alone dissuade the Federal Reserve from raising interest
rates when necessary, even while the U.S. central bank monitors
such market expectations and does not intend to make surprise
policy changes, Boston Fed President Eric Rosengren said on
Market expectations "will not stop" a rate hike, he told a
luncheon of economists and investors, adding that while European
elections this year could be disruptive he does not expect a
"huge shock" to the U.S. economy.
Futures markets imply traders see two or three rate hikes
this year. Those expectations have edged up this week as Fed
Chair Janet Yellen testified before Congress and opened the door
to a policy tightening in the next few months.
(Reporting by Jonathan Spicer; Editing by Meredith Mazzilli)