Fed's Evans says he's nervous on China, inflation expectations

CEDAR RAPIDS, Iowa (Reuters) - Chicago Federal Reserve Bank President Charles Evans said Wednesday he is nervous about the potential effects of China's slowdown on the U.S. economy and about the possibility that inflation expectations may be slipping.

China's slower growth could have knock-on effects to more than just its major trading partners, Chicago Federal Reserve Bank President told reporters after a speech here.

"It's something that's got to make you nervous," he said.

He added, "I’m nervous that inflation expectations are not as firmly anchored as we perceived them to be a year ago."

(Reporting by Ann Saphir; Editing by Chizu Nomiyama)