U.S. deflation risk "quite" minor -Fed's Lacker

CHARLOTTE, N.C., Dec 3 (Reuters) - Richmond Federal Reserve Bank President Jeffrey Lacker said on Wednesday the risk of deflation in the U.S. was quite minor and he would watch for signs of bottoming in houses prices for a recovery in the economy.

"The risk of deflation is quite minor now, it may have risen in the last couple of months ... I just don't foresee that as a major risk going forward," Lacker said in response to a question at the Charlotte Chamber of Commerce.

He said for the economy to recovery, consumers would have to stop cutting discretionary spending on items such as electronics and house prices would have to bottom. (Reporting by Alister Bull, writing by Lucia Mutikani; Editing by Leslie Adler)