In an interview with Bloomberg Television’s Betty Liu in Hong Kong, Federal Reserve Bank of Chicago President Charles Evans said the central bank will probably raise interest rates in the second half of next year and the timing will depend on the pace of inflation, “I do tend to think inflations going to pick up and that will be the reason why we ultimately raise rates… My own take is it’s most likely to be in the second half of 2015. If I had my druthers, I’d wait a little bit longer than that.”

Federal Reserve Fed FOMC Charles Evans

Evans: Fed May Raise Rates in Second Half of 2015

Evans also said:

  • Rates to rise ‘at least six months’ after QE.
  • Rate increase to depend on inflation pickup.
  • Sees zero interest rate ‘ well into’ next year.
  • Inflation too low in U.S., Must of the world.
  • Monetary policy not best tool against financial risk .
  • U.S. economy not ‘out of woods yet,’ risk remains.