Fed's Mester says not worried by Chinese stock plunge

WASHINGTON (Reuters) - Cleveland Federal Reserve President Loretta Mester on Monday said the sudden drop in China's stock market was not a major concern and weakness in the Chinese economy did not pose a "significant" risk to the U.S. economic outlook.

Weak Chinese manufacturing data "started sort of a downturn of the Chinese stock market and then that spilled over to the U.S. stock markets. I am not that concerned about that in terms of the U.S. economy," Mester said in an interview with Bloomberg television.

"We've built in a weakening path for China. I don't see that as a significant risk to the forecast" for the U.S. economy, she said.

(Reporting by Jason Lange and Lindsay Dunsmuir; Editing by Chizu Nomiyama)

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