Bernanke Gives No New Signs on Fed Move
JACKSON HOLE, Wyo.--Federal Reserve Chairman Ben Bernanke Friday said the central bank stands ready to provide further support to a persistently weak economy, but didn't indicate any move was imminent despite fresh signs of feeble growth.</br></br>In a much-anticipated speech to global monetary policymakers gathered in Wyoming, Mr. Bernanke didn't elaborate on the central bank's remaining tools to boost the economy, which could have been a sign that the Fed was leaning toward action. Instead, he said the Fed would extend its mid-September meeting to two days to discuss options the central bank could pursue.</br></br>"The Committee will continue to assess the economic outlook in light of incoming information and is prepared to employ its tools as appropriate to promote a stronger economic recovery in a context of price stability," Mr. Bernanke said.</br></br>The Dow Jones Industrial Average opened lower and fell as much as 221 points right after Mr. Bernanke's comments. But stocks pared losses as some market participants applauded the Fed's measured approach. The Dow rose 134.72 points to close at 11284.54.</br></br>Bond investors, however, bought safe-harbor Treasury bonds amid rising fears that the U.S. economy is headed into a recession, sending prices on the benchmark 10-year note higher.