Ben Bernanke warns US of risks from weak house prices and ailing banks

[alp227]

Source: The Guardian

Ben Bernanke, the head of the Federal Reserve, is expected to emphasise the risks faced by the US economy from persistently weak house prices and an ailing banking sector when he gives his first press conference on Wednesday.

In contrast to resurgent corporate profits and the booming stock market, which on Tuesday saw the Standard & Poor's 500 hit a three-year high, he will downplay the strength of the economy.

He is also expected to defy critics of his low interest rate policy, who have called for rate rises and an end to quantitative easing, which they blame for the collapse of the dollar and rising inflation. The twice yearly press conferences are a nod to the Bank of England and European Central Bank, which regularly address journalists on monetary policy trends. Bernanke is not expected to adopt the same football analogies beloved of Bank of England governor Mervyn King, but he is known to want to explain his policies to a wider audience.

Until now he has only addressed Congress and made scripted speeches. He has submitted himself to an interview on 60 Minutes, though many Tea Party activists on the right wing of the Republican party criticised the show for giving him an easy time.

Read more: http://www.guardian.co.uk/business/2011/apr/26/ben-bernanke-emphasises-risks-to-us-economy

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60 Minutes interview: http://www.cbsnews.com/8301-504803_162-20024635-10391709.html

[LiberalAndProud]

1. Why is he still there?

Nevermind. Roll the presses.

[msongs]

2. banks are causing the current "housing crisis" by refusing to sell repos at market rates....

went looking at houses and the MLS showed many at a great price. Contacting these sellers however revealed the advertised prices were really frauds, ie market valued prices, and the bank mortgage owners have no intention of selling at those advertised prices. Rather the banks are holding out for the old property/mortgage values instead of taking their losses and moving on. So lots of people might want to buy houses to clean up the market but banks will not sell at a fair market price..

[ixion]

3. "quantitative easing," damnit, call it what it is: printing money

that's why the 'critics' are concerned, and rightfully so.

[florida08]

4. How about we warn Bernanke

Get our money back from the banksters and cronies or else ..

[asjr]

5. I'll bet his house is paid for.

[Autumn]

6. Oh no, The banking sector is ailing ,

do they need another mass infusion of our cash? Fuck off, if they are ailing let the bastards die.

[Safetykitten]

7. Like a little nocturnal creature, he pokes his head out when food is left at his hole by bankers.

[Gregorian]

9. Haha. There's a photoshop right there.

I'd do it, but it's on my other computer. And I'm lazy. :)

[Warpy]

8. The problem is his Randorrhoid predecessor

who whittled away at the market basket so he could lie about the CPI, had a hissy fit every time a worker got a raise, and generally stiffed the public while he set policies to fatten the already rich.

Every fiscal ill this country is facing can be traced to 40 years of declining purchasing power for the 95% and plutocrats who steal more ever single year.

If we want this country's financial house in order, we're going to have to STEAL IT BACK.

[orangeapple]

13. steal it?

how quaint.
Steal all you want, he can print more.

What we need is a return to real money. (hint: it can't be printed)

So long as we persist with the Federal Reserve system manipulating interest rates and misleading market participants as to the true availability to capital we will have these financial crisis, and the worst perpetrators will be made whole by the man with the printing press...

[Warpy]

23. Libertarians always miss the point

There are no exceptions.

[orangeapple]

24. I'm afraid you miss the point

Remember the old Doritos commercials with Jay Leno? "Crunch all you want, we'll make more."

It applies to the wizard with the printing press and legal authority to print money. You can't 'steal' from him and the cronies he props up, and worse, you can't stop him from stealing from you until that printing press gets shut down.

"Give me control of a nation's money and I care not who makes the laws." - Mayer Amschel Rothschild

[freshwest]

16. +100,000

[Donnachaidh]

10. ailing banking sector? WTF -- does he think we need to give these crooks MORE?

unbelievable.....

[MichiganVote]

11. Oh good, for a minute I thought we weren't giving the wealthy enuf' of our money.

Since we're still fucked up, for sure they have enough for now.

[Demeter]

12. Bernanke Should Look In the Mirror

but he probably doesn't have a reflection any more.

[Cali_Democrat]

14. *****JPMorgan Chase posts record profit*****

Ailing banks?

http://articles.boston.com/2011-04-14/business/29418242_1_jpmorgan-chase-provisions-for-credit-losses-credit-card

Kiss my ass, Ben, you fucking piece of shit.

[Hotler]

15. "ailing banking sector " How about an ailing jobs sector Ben. n/t

[Poboy]

17. Recommend!

[DallasNE]

18. Most Of The Critics Are A Bunch Of Dumbasses

Nearly all of the weakness in the dollar happened while Bush was President. When Bush came into office it took 96 cents to buy an Euro. During Bush's term the dollar dropped to where it took $1.40 to buy an Euro. While the dollar did bounce back by a few cents the fact that it is now around $1.42 is not that big of a deal. Besides, it has been a prime reason our manufactering base has bounded back under increased exports. Frankly, Bernanke will need to eventually do something with interest rates and QE2 but that is probably another 6 months away. The commodity inflaction we are seeing is a direct result of QE2 so there are pluses and minuses to any policy change. A little inflation now to keep the economy moving seems like a fair trade off to me.

[Kolesar]

21. Well said...eom

[dixiegrrrrl]

19. "the housing problem is contained in the sub-prime sector and will not spread"

Quick!
Who said that????

Does he think no one keeps tabs on the shit that comes out of his mouth?

[freshwest]

20. What, BB just noticed what everyone has been saying for years? Save your breath, you lying windbag.

[ozone_man]

22. Did he ever think that maybe house prices are still way too high?

"Ben Bernanke, the head of the Federal Reserve, is expected to emphasise the risks faced by the US economy from persistently weak house prices and an ailing banking sector when he gives his first press conference on Wednesday."

And the banking sector that he bailed out has record profits and bonuses. What a tool.