UPDATE 1-Fed's Moskow says inflation still biggest risk

(Reuters) - CHICAGO, June 8 - U.S. economic growth should
return to trend levels this year, and with the job market still
surprisingly strong the biggest risk is still that inflation
will not fall as expected, Chicago Fed President Michael Moskow
said on Friday.




The overnight federal funds rate that the Federal Reserve
has maintained at 5.25 percent for the past year is
"appropriate" for now, Moskow told CNBC Television.


Read more at Reuters.com Bonds News