Bernanke Leaves Door Open for More Easing, Chides Congress

In Jackson Hole remarks, Bernanke gave no specifics for future monetary policy

August 26, 2011 RSS Feed Print

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However, some experts believe that there's no more room for new, effective monetary policies. "Unfortunately, the Fed doesn't have any rabbits to pull out of the hat to magically re-ignite economic growth. It is doing what it can (and that will probably mean more quantitative easing at some point), but its prime ammunition has already been used," Nigel Gault, chief U.S. economist at IHS Global Insight, wrote in a commentary today.

Whatever one might read into Bernanke's remarks, the stock market clearly felt some reassurance. After dropping by nearly 200 points shortly after this morning's open, the Dow Jones Industrial Average rallied quickly after Bernanke's remarks, regaining all ground it lost earlier in the day and then some.

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When Obama and Bernanke started printing more dollars and run up huge deficits I started buying gold and silver, so now all I can say is thank you Obama and thank you Bernanke.

John Martin of AZ 8:36AM August 30, 2011

Mr. Bernanke is quite smart, but you'll notice most of the time his comments do not concern the trade deficit. Trade and tariffs is one of the cornerstones of economic policy. Naturally, when the trade deficit is higher, employment and the economy is weaker. Nothing really magical about this assessment, but it eludes Mr. Bernanke. So, while Mr. Bernanke (and President Obama) do not comment on tariffs, it remains one of the best tools to right the economy and balance the budget. A proportional tariff where the tariffs are higher for those countries with higher trade surpluses with the U.S. is in order. China's tariff would be higher and Europe's less. This is negotiable worldwide because many countries around the face the same problem of a high trade deficit causing a high national government deficit. Ideologies seem to be less important than the problem of the trade deficit causing a government deficit.

Joseph Hitselberger of KY 9:23AM August 28, 2011

Well, Bernanke cannot solve the nation's problems. The politicians need to starting with Congress. And if he is sober its because last year he could do something and help. And he did and it did. The thing is, Congress then proceed to take advantage of what he had done and pis*ed that away in a fight to try to make Obama a one term President. Yes, that is their simple and limited objective. Of course it matters not to them that in the meantime the economy, US and global, the American people, not to mention many in other countries affected by the US, are just so much collateral damage. Down with America to turf out the President. So if Bernanke looks serious its because he knows there is little more he can do even if he wanted to. Its in the hands of your petty politicians. So if you want to kick as*, them's the as*es you should be kickin. So smarten up.

Paul Stewart 3:25PM August 27, 2011

Bernanke Leaves Door Open for More Easing, Chides Congress

In Jackson Hole remarks, Bernanke gave no specifics for future monetary policy

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Bernanke Leaves Door Open for More Easing, Chides Congress

In Jackson Hole remarks, Bernanke gave no specifics for future monetary policy

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