Bernanke’s testimony
Bernanke’s testimony
Bernanke’s Congressional testimony
Federal Reserve Board Chairman Ben Bernanke gave his semiannual testimony on the economy. I’ll make this quick, sparing you the cut-and-paste of his various comments that I usually resort to in favor of some brief comments.
–Bernanke made it clear that no interest moves, up or down, appear forthcoming. He continued to talk tough on inflation but noted the various pressures affecting the economy as increasing the downside risk to the economy. He even stated that the FOMC needs time to monitor incoming information. Sounds to me like he doesn’t want to paint, or talk, himself into a corner.
–Bernanke addressed oil prices at length but he didn’t sound too optimistic about the ability to talk down oil prices by tightening the screws on speculators. He cited declining oil inventories as evidence that there is not an imbalance between supply and demand, as would be the case if speculation were driving the market.
–When asked for his thoughts on a second stimulus package, Bernanke pointed out that the main economic impediment is the housing market and efforts to aid the housing market should be the focus.