Posted on 02/03/2011 1:01:01 PM PST by NormsRevenge
WASHINGTON (AFP) – The US economic recovery has strengthened and is gaining pace, but victory cannot be declared until the job market improves, Federal Reserve Chairman Ben Bernanke warned in a rare press conference Thursday.
"Until we see a sustained period of stronger job creation, we cannot consider the recovery to be truly established," he said in remarks at the National Press Club in Washington.
Walking a thin line between talking down the recovery and undue optimism, Bernanke cited improvements in stubbornly low consumer spending and bank lending, in the same breath as warning unemployment will take "several years" to return to normal levels.
"The economic recovery... appears to have strengthened in recent months, although, to date, growth has not been fast enough to bring about a significant improvement in the labor market," he said.
Bernanke also sought to rebuff critics who argue the recovery no longer needs Fed support.
Detractors say the Fed's decision to keep interest rates at historic lows and pump $600 billion into the US economy risks stoking inflation.
"The economy, although it does look to be growing more quickly, is still in a deep hole," Bernanke insisted.
He said broad inflation rates remain below the Fed's target levels despite price rises for commonly used goods like food and gas.
"We have recently seen significant increases in some highly visible prices, notably for gasoline," he said. "Nevertheless, overall inflation remains quite low."
Doubling down, Bernanke said he said the Fed stood ready to pump more money into the economy if needed.
"If output is too low and unemployment is too high, then that would be a situation that requires more stimulus."
Bernanke made the comments in rare, and sometimes nervous exchange with journalists.
(Excerpt) Read more at news.yahoo.com ...
Obammy needs to realize there ain't enough green jobs coming anytime soon to lift this nation and its economy back to a 5% unemployment rate.
Wow what a brain.
Vomit alert.
Water is wet, sky is blue. Barry Soetoro is not eligible to be president.
I think his job needs to go bye bye, man get on and say, we now know we need oxygen to breathe and we need jobs for recovery..dude, that’s gravy,,,and everyday the newspaper prints it..if there is no product or true needed public service fire em...
Apparently congress and Obama can’t seem to figure this out...
Yup. We should feel so blessed with the number of wizards in this government.
Captain Obvious strikes the Treasury Department.
CAPTIAN OBVIOUS to the rescue !!!!!
Obama Administration Blocking 103 Gulf Drilling Permits
http://www.freerepublic.com/focus/f-news/2668165/posts
.16 seconds
at some point when Obama really starts to panic about 2012 that is going to turn into a threat.
You guys start hiring.....OR ELSE!!!
He was at the Press Club. That one flew right over their heads.
Visible prices are high? But inflation is low? Uhhhh. Err. Uh. Well. Hmmm. Whrrrr. Does not compute. Danger Danger Will Robinson!
“Until we see a sustained period of stronger job creation, we cannot consider the recovery to be truly established,” -—
Oh that’s why todays number was down to 415,000 jobs lost a week..
and that’s supposed to be good news (well in the age of Obama)
Besides this can’t be right, We already had Summer Recovery last year...
Wow, you can sure see why he graduated at the top of his class.
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