Fed’s Lacker Sees ‘Strong’ Case to Raise Rates at June FOMC

Jeffrey Lacker, President of the Federal Reserve Bank of Richmond.

Photographer: Davis Turner/Bloomberg
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Federal Reserve Bank of Richmond President Jeffrey Lacker said the main interest rate should be raised in June amid a stronger job market, consumer-spending growth and inflation heading back toward the Fed’s target.

“A strong case can be made that the federal funds rate should be higher than it is now,” Lacker, who votes on policy this year, said Tuesday in remarks at the Richmond Fed. “Unless incoming economic reports diverge substantially from projections, the case for raising rates will remain strong at the June meeting.”