"I would definitely raise [rates] in June," Gorman said on "Squawk Box" from the World Economic Forum in Davos. "It's a sign of strength. It's a sign of confidence. It's recognition that the U.S. is back on track."
Not hiking rates could lead to a repetition of history, he warned: "You run the potential on the side of an asset bubble. And that's what got us into trouble in the crisis."
The U.S. economy is doing terrifically, he said, adding that he sees U.S. economic growth between 3 percent and 4 percent over the next several years.
"I'm very confident about the U.S. outlook," Gorman said. "If you look at unemployment under 6 percent ... the strength in the dollar ... the return of the housing markets ... the appreciation of 401(k) plans ... cheap energy, the list goes on and on."
On a risk-adjusted basis, the U.S. economy is as strong as it's been in 30 year or 40 years when compared to other economies, he said.