RATE HIKE NOT NEEDED, FED OFFICIAL ARGUES SPEECH AT SAINT ROSE CITES ROBUST GROWTH.(BUSINESS)

Byline: JULIE CARR SMYTH Business writer

ALBANY -- Federal Reserve Bank of New York President William J. McDonough said Tuesday that robust economic growth predicted for the second quarter means the Fed need not manipulate interest rates right away.

During a rare appearance in Albany, McDonough delivered the address at the annual distinguished speaker luncheon of the College of Saint Rose's Institute of Banking and Financial Services.

As head of the biggest of the Federal Reserve banks, McDonough is a permanent member of the Federal Open Market Committee that sets national interest rate targets. Financial professionals hang on the words of members …