Bernanke Says Fed Should Listen to Market

The Federal Reserve should pay close attention to the market’s view on interest rates, Ben Bernanke said Wednesday at a Wall Street Journal event.
The former Fed chairman also said the central bank faces “a tough call” on whether or not it should raise interest rates for the first time in nearly a decade, the Journal said.

He said the “next few months” will determine if the U.S. economy stays on track, and he reiterated the importance of bringing inflation back up.

Bernanke made similar comments on CNBC’s “Squawk Box” on Monday. “[The Fed] has a 2 percent inflation target. It needs to get inflation up to that target,” he said.

via CNBC

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza