Monetary policy easing has not resolved ongoing strains in financial markets, Federal Reserve Board chairman Ben Bernanke said Friday, adding that international cooperation will continue and policymakers stand poised to take needed actions to resolve the crisis.
“The continuing volatility of markets and recent indicators of economic performance confirm that challenges remain,” Bernanke told the Fifth European Central Bank Central Banking Conference, according to a prepared text of his speech released by the Fed. “For this reason, policymakers will remain in close contact, monitor developments closely, and stand ready to take additional steps should conditions warrant. In times like these, we are especially aware of the importance of having close working relationships with our central bank colleagues around the world.”
Bernanke’s speech gave no further hints about monetary policy going forward.