Federal Reserve Chairman Ben Bernanke said Tuesday the economy remains far from where the Fed wants to see it and that the US central bank is still committed to its stimulus policies.
Bernanke gave no hint as to when Fed policymakers might begin cutting back its $85 billion a month in asset purchases, saying they remain “committed to maintaining highly accommodative policies for as long as they are needed.”
“The economy has made significant progress since the depths of the recession,” he said in a prepared speech to be delivered to a group of economists on Tuesday evening.
“However, we are still far from where we would like to be, and, consequently, it may be some time before monetary policy returns to more normal settings.”
Bernanke, with about 11 weeks left in his eight years as Fed chair, said investors overreacted earlier this year when they sent US interest rates sharply higher on the Federal Open Market Committee’s plans for stimulus cuts.
But he said that now, after rates have eased somewhat, they are more in line with policy, which still sees the Fed’s base interest rate remaining near zero into 2015.
[Image via Agence France-Presse]
White House spokesperson ridiculed for ‘pathetic’ spin on Trump’s trade war admission: ‘Does she think we believe that?’
Hours after Donald Trump blithely admitted that he had "second thoughts" about his trade war with China that has damaged the U.S. economy and helped set the stage for a possible recession, White House spokesperson Stephanie Grisham was forced to issue a clarification about the president's comments.
Addressing Trump's G7 response about his tariffs, widely interpreted by the press as expressing some regret, Grisham issued a statement saying the president meant that he wished he had increased his market-destroying tariffs even more.
"The President was asked if he had ‘any second thought on escalating the trade war with China,'" White House press secretary Stephanie Grisham relayed. "His answer has been greatly misinterpreted. President Trump responded in the affirmative - because he regrets not raising the tariffs higher."
Here is why Trump is obsessed with Greenland
They say that history repeats itself, first as tragedy, then as farce. Remember that President Harry Truman tried to purchase Greenland in 1946; now, in 2019, President Donald Trump is trying to do the same thing.
This article first appeared in Salon.
To be clear, Trump’s farcical, “absurd” idea — to borrow the adjective used by Danish Prime Minister Mette Frederiksen — is not happening, and was never going to happen. As Frederiksen pointed out, Greenland is “not for sale." Trump, for his part, has not backed down from the idea.
Iowa’s Steve King facing ouster because his campaign is broke and his allies have fled: report
Iowa Republican Steve King is facing losing his seat representing his district in the U.S. House of Representatives as his campaign finds itself broke and the Republican Party has turned its back on him after his latest round of controversial comments.
According to a report from the Daily Beast, his campaign is struggling to bring donors -- who once wholeheartedly supported him --back into the fold.
Even worse, his colleagues in Congress have also abandoned him.