|
Bernanke: Fed Sees Slower Growth, Uptick in Inflation
In his first regular news conference, Federal Reserve Chairman Ben Bernanke said the central bank was continuing its stimulus policy because it was projecting slower growth in the economy with only a modest uptick in inflation. At least in the universe he is living in. On unemployment, the Fed projected a range of 8.4-8.7 percent for the year, better than the 8.8-9.0 percent range offered in January. And of course he didn't mention that those figures don't include people who no longer have unemployment. In an earlier statement, the Fed's policy-setting Federal Open Market Committee left the federal funds rate unchanged and indicated it intends to complete its $600 billion bond buying program in June as scheduled. Because they just can't get the printing presses to go any faster! In the face of headwinds from high oil prices, the U.S. central bank said that the economic recovery was proceeding at a "moderate pace" -- dialing back slightly from a statement in March when it said the economy was on "firmer footing." At least when compared to last year's epic 'Summer of Recovery!' It again expressed confidence a surge in the cost of oil and other commodities would be transitory and not spark a broader inflation. Because you can't 'spark' a fire which is already raging. Posted by: CrazyFool 2011-04-27 |
| http://www.rantburg.com/poparticle.php?ID=321339 |