Tuesday, December 21, 2010
Bernanke reiterated that maintaining low interest rate policy.
<P> Federal Reserve Chairman Ben Bernanke, 24, said the United States still need a low interest rate policy to promote sustained economic recovery and deal with high unemployment. .</ P> <P> Bernanke told Congress that day, the Federal Reserve's Federal Open Market Committee under the believe that the U.S. economy will continue a moderate recovery. .He expects the U.S. economy will grow 3% in 2010 to 3.5%, 3.5% in 2011 to 4.5%. .</ P> <P> Bernanke said the job market particularly hard hit by the recession, the unemployment rate is still high at 9.7%. .He said that, given the inflation trend is still suppressed, stable inflation expectations, low levels of the Federal Reserve will extend the federal funds rate for some time. .</ P> <P> in response to financial crisis and economic recession, the Federal Reserve in December 2008 the federal funds rate to zero to 0.25% of the historically low levels and remain today. .As the economy gradually recovering, the Fed's "exit" strategy for concern. .When the Fed to raise the federal funds rate is the focus of public concern. .</ P> <P> 18th of this month, the Fed provided emergency loans to banks to the discount rate from 0.5% to 0.75%, but for individuals and businesses have a direct impact on the federal funds rate unchanged. .</ P>.
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