Ben Bernanke, who is expected to appear before the Senate for his biannual Humphrey Hawkins presentation any second, has just released his latest Monetary Policy Report to the Congress. Some of the highlights from the report:
- Bernanke says longer-term inflation expectations will remain stable, and risk of deflation has become negligible
- The Fed has tools needed to withdraw stimulus, and reiterates rates will remain low for extended period
- A sustained oil price rise would be a threat to growth, price stability, particularly if it unmoors inflation expectations
- The recent rise in commodity prices likely will lead to only temporary and modest increase in US inflation
The full PDF report can be read here.
The live CSPAN webcast can be watched here.