Bernanke: $600bn injection will not spark inflation spike

The Fed chairman was writing in the Washington Post in response to critics who said the approach was overstated and could lead to significant rises in inflation. Bernanke says the purchase program, which involves buying $600bn of longer-term securities by mid-2011, has been effective in preventing an economic freefall in the past without inflation rises and the results will be similar this time. "We have made all necessary preparations, and we are confident we have the tools to unwind these policies at the appropriate time. The Fed is committed to both parts of its dual mandate and wi...