IMF head Lagarde sees rate hike in the US by mid-year

FXStreet (Mumbai) - The International Monetary Fund (IMF) head Christine Lagarde, speaking on a panel in Davos, said that the US Federal Reserve may raise interest rates by mid-2015.

The IMF head said that Federal Reserve’s policy measures are “extremely well communicated”. She further stated that the hike in interest rates is “good news in itself”, and that Fed rate rise shows strength of the economy. However, she did state that a rate hike may lead to volatility in the markets.