Fed's Harker: Can easily see 2 or 3 rate hikes in 2016

Philadelphia Federal Reserve president Patrick Harker is crossing the wires, via Bloomberg noting he can easily see between 2 an 3 rate hikes in 2016.

Headlines

Fed policy is to proceed slowly, be data dependent

Latest CPI report confirms view inflation to rise

He expects inflation to return to 2% sometime in 2017

Market-based inflation expectations have rebounded somewhat

Wage pressures building and will continue to rise

We are starting to see some signs of wage growth

'Reasonably assured' that inflation will pick up

Want to avoid disruption when we shrink balance sheet

Not sure what size balance sheer will be appropriate