Outgoing U.S. Federal Reserve Board Chairman Ben Bernanke hosts a news conference after a Federal Open Market Committee (FOMC) meeting at the Federal Reserve building in Washington D.C., capital of the United States, Dec. 18, 2013. The U.S. Federal Reserve announced on Wednesday that it will reduce its pace of bond purchases, the third round of quantitative easing program, by 10 billion U.S. dollars starting in January. (Xinhua/Zhang Jun)
U.S. Fed announces reduction in monetary stimulus program
WASHINGTON, Dec. 18 (Xinhua) -- The U.S. Federal Reserve on Wednesday announced to reduce its pace of bond purchases, the third round of quantitative easing program, by 10 billion U.S. dollars starting January on the back of a stronger economic recovery.
In what amounts to the beginning of the end of its bond-buying program, the central back will cut back on its monthly asset purchases from 85 billion dollars to 75 billion dollars, with 10 billion dollars trimmed equally from mortgage-back securities and Treasury bonds, the Fed said after a two-day policy meeting of its Federal Open Market Committee (FOMC), the Fed's powerful policy setting panel. Full story
Bernanke says communication essential to Fed's policy effectiveness
WASHINGTON, Dec. 16 (Xinhua) -- U.S. Federal Reserve Chairman Ben Bernanke said on Monday that improved communication helps the public understand the Fed's policy intention and rationale, which is key to the legitimacy of the central bank.
"Improved communication can help our policies work better, whether through the disclosure of bank stress-test results or by helping the public and market participants better understand how monetary policy is likely to evolve," said Bernanke at a Fed event celebrating the institution's centennial. Full story