Bernanke warns on oil price threat to US recovery

clock

The soaring oil price poses a threat to the US economic recovery if price hikes are sustained, warns Federal Reserve chief Ben Bernanke.

Addressing the Senate Banking Committee, Bernanke said Middle East unrest and the subsequent rise in commodity prices will probably translate into a modest and short-lived increase in consumer inflation, the New York Times reports. However, sustained rises in the prices of oil and other commodities would represent a threat both to economic growth and to overall price stability, he says. The real concerns, though, remain US unemployment figures. "Until we see a sustained period of stronger job creation, we cannot consider the recovery to be truly established," he adds. But he notes ...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

PA360: 'Diversified approach has room for both active and passive' - David Coombs

PA360: 'Diversified approach has room for both active and passive' - David Coombs

‘Volatility is your friend if you are a long-term investor’

Jenna Brown
clock 01 May 2025 • 2 min read
PA360: FOMO can 'significantly' alter investors' risk appetite

PA360: FOMO can 'significantly' alter investors' risk appetite

Albemarle Street Partners’ Charlie Parker on the social element of investing

Isabel Baxter
clock 01 May 2025 • 1 min read
PA360: Investors must understand importance of 'proper diversification'

PA360: Investors must understand importance of 'proper diversification'

‘Investors don’t have to choose a single door’

Sahar Nazir
clock 01 May 2025 • 1 min read