In Federal Reserve Chairman Ben Bernanke’s testimony before Congress nowadays, he indicated that the most recent profitable input show a “resilient” economy external of housing. However, he additionally mentioned that growth should slow “noticeably” as the housing crisis intensifies. The recent rise in oil prices and its potential affect on inflation was plus discussed.

Recent profitable numbers, including the stronger-than-expected initial unemployment claims numbers that daylight and productivity statistics yesterday, propose that the economy is slowing but not deteriorating rapidly external of housing. that indicates that there is no urgent need on an profitable basis for a cut

in the Federal Funds Rate at the December FOMC assembly. Other Fed officials have plus emphasized that in recent testimony.

This need for a respite in interest rate cuts is particularly urgent with rising oil prices. Although core inflation, the Fed’s preferred benchmark, is currently under control, there are still concerns with inflation that the Fed must address and manage to preserve credibility.

Continue reading Bernanke is leaving options open

Original post by Douglas S. Roberts

refinance banking auto insurance debt law insurance tax real estate stock market income taxes