Contact Us

Fed Scales Back Stimulus Bond Buying Program

 

Ben Bernanke – Getty Images

The Federal Reserve is scaling back its stimulus bond-buying program to 75 billion dollars a month.  That’s a drop of 10 billion a month, starting next month, and signals confidence in the economic recovery.  Outgoing Federal Reserve Chairman Ben Bernanke called it a modest move.  Interest rates will remain low at zero to a quarter percent. 

In his final news briefing as Fed chief, Bernanke cited steady improvement in the job market and the overall economic recovery.  He expects continued gains in the labor market in the months ahead and said inflation should remain low.  Bernanke thinks the national jobless rate will be down to six-point-five percent by the end of next year.  Unemployment currently stands at seven percent. 

Bernanke also expects the Fed to keep scaling back the bond-buying program by “similar moderate steps” throughout 2014.  Bernanke is retiring next month after two terms running the nation’s central bank.  President Obama nominated Janet Yellen to replace Bernanke.  Yellen, the Fed’s vice chair, is awaiting confirmation by the Senate.  That is expected to happen this week.  Meantime, Bernanke said Yellen “fully supports” the scaling back of bond purchases. (Metro Networks Inc.)

More From WBSM

Best of the Web

Leave a Comment

It appears that you already have an account created within our VIP network of sites on . To keep your points and personal information safe, we need to verify that it's really you. To activate your account, please confirm your password. When you have confirmed your password, you will be able to log in through Facebook on both sites.

Forgot your password?

*Please note that your points, prizes and activities will not be shared between programs within our VIP network.

It appears that you already have an account on this site associated with . To connect your existing account with your Facebook account, just click on the account activation button below. You will maintain your existing profile and VIP program points. After you do this, you will be able to always log in to http://wbsm.com using your Facebook account.

*Please note that your points, prizes and activities will not be shared between programs within our VIP network.

Please fill out the information below to help us provide you a better experience.

Register on WBSM - New Bedford's Local Source For News, Talk, and Sports! quickly by logging in with your Facebook account. It's just as secure, and no password to remember!

Not a Member? Sign Up Here

Register on WBSM - New Bedford's Local Source For News, Talk, and Sports! quickly by logging in with your Facebook account. It's just as secure, and no password to remember!