Fed's Kaplan says he would have been okay with a September rate hike
SAN ANTONIO (Reuters) - Dallas Federal Reserve President Robert Kaplan said on Monday he would have been comfortable with an interest rate increase at the Fed's policy meeting last week when the central bank chose to keep rates steady.
Kaplan is not a voting member on the Fed's rate-setting committee this year but he participates in policy discussions and will have a vote at next year's meetings.
"I would like to see some removal of accommodation. I would have been comfortable seeing that accommodation removed in September," Kaplan told a banking conference in San Antonio.
Kaplan said he was not that worried about the U.S. economy overheating but was concerned that low interest rates could create "distortions" in the U.S. economy.
(Reporting by Jason Lange; Editing by Chris Reese and Meredith Mazzilli)
