WASHINGTON (MNI) – The following is an excerpt from Federal Reserve
Chairman Ben Bernanke’s press conference Wednesday.
QUESTION:
…If unemployment and inflation are symmetric objectives for the
Fed, how can that possibly be the case and is there any tolerance for
above trend inflation in the service of catchup growth?
BERNANKE:
…If inflation is going to remain below target for extended period
and unemployment progress is very slow, then I think you know, your
implicit question is right. Then I think your implicit question is
right, there is a case for additional policy action. And we’ll, you
know, we want to continue to observe the situation but we’re certainly
prepared to look for different ways to provide support for the economy
if in fact, we have this unsatisfactory situation.
** Market News International Washington Bureau: 202-371-2121 **
[TOPICS: M$U$$$,MMUFE$,MGU$$$,MFU$$$]
