Fed's Lockhart: Economy Can Handle Gradually Higher Interest Rates

The economy is healing and more resilient than even a few months ago and can now handle gradually rising interest rates, said Dennis Lockhart, the president of the Atlanta Fed, on Monday. Lockhart, a voting member of the Fed's policy committee this year, had previously announced his support for a rate hike in September in the Wall Street Journal last week. In a speech in Atlanta, Lockhart said that even "mixed data" wouldn't change his mind. "Given the progress made over the recovery and the overall recent tone of the economy, I for one do not intend to let the gyrating needle of monthly data be the decisive factor in decision making," Lockhart said.