Bernanke says US economy still needs help from Fed’s low interest rate policies WASHINGTON – Chairman Ben Bernanke said Wednesday that the U.S. economy still needs help from the Federal Reserve’s low interest rate policies.Bernanke told the National Bureau of Economic Research that because unemployment remains high and inflation is below the Fed’s target, the policies are still necessary. He also said the economy is being held back by higher taxes and federal spending cuts.“If you put all of that together, you can only conclude that highly accommodative monetary policy for the foreseeable future is what is needed for the U.S. economy,” Bernanke said.Stock index futures rose as Bernanke spoke. The Standard & Poor’s index futures were up eight points, or 0.5 per cent, at 1,656 as of 5:40 p.m. Eastern Daylight Time — shortly after Bernanke wrapped up his remarks.Bernanke’s comments were his latest effort to stress that the Fed will continue to stimulate the economy, even after it begins to slow $85-billion-a-month in bond purchases that have kept long-term interest rates down.The Fed plans to keep its investment holdings constant to avoid causing long-term rates to rise too quickly. It also plans to keep short-term rates at record lows at least until unemployment slides to 6.5 per cent.And Bernanke has said 6.5 per cent unemployment is a threshold, not a trigger: The Fed might decide to keep its benchmark short-term rate near zero even after unemployment falls that low.Unemployment is currently 7.6 per cent.On Wednesday, Bernanke didn’t signal any changes in the bond-buying program. But Bernanke defended recent comments he made after the Fed’s June meeting.At his June 19 news conference, Bernanke said the Fed would likely slow its bond purchases later this year and end them around mid-2014 if the economy continued to strengthen. Stocks and bonds plunged in the days after his remarks. Some critics said the Fed bungled its communications strategy.Bernanke asked his audience to consider what might have happened if the Fed had given no signals on when the bond buying might be curtailed. He said that might have led to an increase in risk-taking on the part of investors “reflecting an expectation for an infinite” program of bond purchases.“Explaining what we are doing may have avoided a much more difficult situation at another time,” he said.Bernanke also did not provide any clues on his own future. Many expect he will leave when his current term ends in January.When asked about his legacy, he said others would certainly judge his handling of the 2008 financial crisis. He also said the Fed, under his leadership, has made significant strides in providing the public with more information on how the central bank operates.___Associated Press writer Tracee Herbaugh contributed to this report from Cambridge, Mass. by Martin Crutsinger, The Associated Press Posted Jul 10, 2013 4:32 pm MDT AddThis Sharing ButtonsShare to TwitterTwitterShare to FacebookFacebookShare to RedditRedditShare to 電子郵件Email
Share this:Click to share on Twitter (Opens in new window)Click to share on Facebook (Opens in new window)Related”Retrograde step” to withdraw from CCJ – De la Bastide on Barbados PM’s threatMay 23, 2018In “latest news”Barbados disappointed at level of support for CCJFebruary 28, 2018In “latest news”LETTER: The APNU/AFC’s selective acceptance of Appellate Court’s ruling is no surpriseMarch 26, 2019In “latest news” Guyana’s Vice President and Foreign Affairs Minister Carl Greenidge, has said Guyana stands fully behind the Caribbean Court of Justice’s (CCJ) as its final appellate court.It has now been 15 years into its establishment in neighbouring Trinidad and the CCJ only has four of 15 members choosing the court for final appellate jurisdiction.Recently, the electorate of Grenada and Antigua and Barbuda voted against joining the CCJ in nationwide referendums, opting to continue using the United Kingdom’s Privy Council as their final appellate body. Coupled with that, major island nations such as Jamaica and Trinidad and Tobago (where the court is located) do not have the CCJ as their final appellate court, which is putting the credibility of the regional institution under scrutiny as highlighted by respected columnists and other writers in the Region.Greenidge, however, has assured Guyanese that the APNU/AFC Government has full confidence in the decisions of the court.“The public can be assured that the Government will continue. If it is dissatisfied with decisions taken at the court at this level (Appeal Court in Guyana); we are reasonably confident that the Court (CCJ) will render acceptable decisions. Of course these are courts and you are never going to be able to guarantee with everything that you say. There is the question of interpretation of law,” the Minister pointed out.Some decisions of the CCJ have not found favour with Government, such as the November 2017 order upholding US$2.2 million judgement that was awarded to Trinidad road construction company Dipcon in 2015 by a High Court Judge in Guyana. This decision was handed down after the Judges at the CCJ observed that Guyana’s Attorney General, Basil Williams, had failed to file an application to the Court for special leave to appeal the case. Justice Rishi Persaud’s judgement was tuned to $455 million in local currency.Minister Greenidge while acknowledging that Government may not agree with all of the CCJ’s findings, said the Administration views the Court as a competent body.The Vice President outlined that from looking at many of the CCJ’s decisions with the benefit of hindsight, the court has taken the Region forward. He also maintained that the number of countries that joined the Court is not an issue as it “does not affect the quality of the Court.”In one of the CCJ’s recent decisions, Judges struck down a colonial era law that banned men and women from wearing clothing associated with the opposite gender. This effectively removed the barriers to cross-dressing locally, though both the High Court and Appeal Court had ruled that cross-dressing for “an improper purpose” was prohibited.Nevertheless, the Caribbean-based Judges declared that this characterisation was vague. Guyana, Barbados, Belize and Dominica are the only countries that fully subscribe to the CCJ.
Saturday 18 JanSaracens v Connacht (1.35pm)Leicester v Ulster (6pm)Sunday 19 JanMunster v Edinburgh (12.45pm)Check out the full Round 5 and Round 6 fixture list here >Gatland recommends quota system is considered for future Lions tours LEINSTER’S HEINEKEN CUP hopes will hinge on a five-day turnaround between their final two pool games.Matt O’Connor’s side are likely to need two wins against Castres and Ospreys to qualify as a top seed and clinch home advantage for the quarter-finals.The ERC confirmed today that their Round 5 game against Castres will be a lunchtime kick-off (12.45pm) on Sunday 12 January at the Stade Pierre Antoine.And Leinster will be one of the first teams to finish their pool matches when they host Ospreys in a Friday evening kick-off (8pm) at the RDS on the 17th.Northampton and Ospreys meet in Pool 1′s other Round 5 fixture on 12 January, leaving them with a similar Sunday/Friday schedule.Only the top four pool winners are guaranteed a home quarter-final, and the quick turnaround could leave Pool 1′s eventual winner at a disadvantage in the race for the all-important seeding.Munster travel to play their Pool 6 rivals Gloucester at Kingsholm at 6pm on Saturday 11th before finishing at home to Edinburgh at 12.45pm on Sunday 19th.Ulster host Montpellier on Friday 10th (8pm) and then travel to Welford Road for what is likely to be a Pool 5 decider against Leicester on Saturday 18th (6pm).Connacht finish with two Saturday fixtures, hosting Zebre at the Sportsground on the 11th (3.40pm) before heading to Allianz Park on the 18th to play Saracens (1.35pm).Heineken Cup (selected round five fixtures)Friday 10 JanUlster v Montpellier (8pm)Sat 11 JanConnacht v Zebre (3.40pm)Gloucester v Munster (6pm)Sun 12 JanCastres v Leinster (12.45pm)Selected round six fixturesFriday 17 JanLeinster v Ospreys (8pm)