US Federal Reserve's Ben Bernanke to face press
Published: 27th Apr 2011 16:56:17
The Federal Reserve will reveal its latest interest rate decision later, before chairman Ben Bernanke holds his first press conference.
Mr Bernanke will outline the views of central bank's board members on rates as well as give his overall outlook for the US economy.
He is also likely to give an indication of when the bank will begin withdrawing its monetary stimulus.
Investors around the world will be watching his words closely.
The market is expecting rates to remain at a record low of zero to 0.25%, where they have been since December 2008.
Mr Bernanke is also likely to stress the need to withdraw the Fed's support to the US economy, through a policy known as quantitative easing, in a slow and orderly manner.
The introduction of regular press conferences by the chairman of the Fed is seen as a way for the bank to address directly criticisms of its handling of the financial crisis, and even its inability to prevent it in the first place.
The US economy grew by an annualised rate of 3.1% in the final three months of last year, but some economists expect the rate of growth to have slowed in the first quarter of this year.
The January to March GDP figures are published on Thursday.
The US unemployment rate is also falling, and hit a two-year low of 8.8% in March. However, inflation jumped sharply last month to 2.7%, largely due to big rises in food and petrol prices.
This mixed picture means the Fed is unlikely to raise rates, which could undermine the country's economic recovery.
At 18:02:27 in EnglandWork is set to begin replacing the sails on England's only surviving eight-sailed windmill.
At 17:59:46 in HeadlinesTurkish PM Recep Tayyip Erdogan has offered condolences for the first time for the mass killings of Armenians under Ottoman rule during WWI.
At 17:59:15 in SportHearts midfielder Jamie Hamill is to face a disciplinary hearing after knocking Ross County manager Derek Adams to the ground on Saturday.
At 17:58:44 in EnglandA second man has appeared in court in connection with a shooting outside a takeaway in Nottingham.
At 17:57:42 in SportWorld number one Rafael Nadal recovered from last week's early exit in Monte Carlo with a straight-sets win over Albert Ramos at the Barcelona Open.
At 17:49:03 in EnglandA project has been unveiled to link the UK and French power grids through the Channel Tunnel.
At 17:44:26 in HeadlinesThe Duchess of Cornwall's brother, Mark Shand, has sustained a serious head injury in a fall, Clarence House said.
At 17:40:45 in Northern IrelandA home security company is creating 230 jobs by expanding its operations in the Republic of Ireland.
At 17:35:01 in Northern IrelandA man accused of taking part in a sham marriage had allegedly been involved in a previous fake wedding, the High Court in Belfast has been told.
At 17:25:54 in EnglandA shipment of radioactive waste has arrived in Japan from Cumbria, as part of the ongoing programme of cleaning up the Sellafield site.
Harvard CitationBBC News, 2011. US Federal Reserve's Ben Bernanke to face press [Online] (Updated 27th Apr 2011)
Available at: http://www.ukwirednews.com/news/149350/US-Federal-Reserves-Ben-Bernanke-to-face-press [Accessed 23rd Apr 2014]
News In Other Categories
Turkish PM Recep Tayyip Erdogan has offered condolences for the first time for the mass killings of Armenians under Ottoman rule during WWI.
Hearts midfielder Jamie Hamill is to face a disciplinary hearing after knocking Ross County manager Derek Adams to the ground on Saturday.
The Monmouthshire and Brecon Canal is to fully reopen to boaters this weekend after £1m repairs to a section damaged in the winter storms.
The cost of drugs is in the headlines following the decision by NHS watchdog NICE that a new cancer treatment should not be funded.
A home security company is creating 230 jobs by expanding its operations in the Republic of Ireland.
The Scottish government's White Paper on independence does not offer a "radical alternative" to UK policies, a senior adviser to Oxfam has said.