October 14, 2016 / 12:13 PM / a year ago

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

Oct 14 (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 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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