Fed's Lockhart sees 'compelling' case for December interest rate hike

WASHINGTON (MarketWatch) - The case for a December increase in interest rates is "compelling," said Atlanta Fed President Dennis Lockhart, on Wednesday. In a speech in Fort Lauderdale, Lockhart said he thinks the economy will sustain a moderate pace of growth in coming quarters. He said the U.S. central bank's condition for a rate hike of further improvement in the labor market has been met. The Atlanta Fed president also said that factors holding down inflation are "transitory." Lockhart is a voting member of the Fed policy committee this year and is a centrist on the committee.

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