FED'S BERNANKE: CORE INFLATION REMAINS "UNCOMFORTABLY HIGH"
- maintains forecast of mederate economic growth
- inflation expectations appear contained
- core inflation to slow gradually over time
- no spillover yet from housing or manufacturing but homebuilding likely to remain a drag on growth
- rising consumer spending to support economy
- business spending to grow at moderate pace
- subprime problems are likely to be contained
- high resource utilization is key inflation risk
- policy is still data dependent
- uncertainties around outlook have increased
- maintains forecast of mederate economic growth
- inflation expectations appear contained
- core inflation to slow gradually over time
- no spillover yet from housing or manufacturing but homebuilding likely to remain a drag on growth
- rising consumer spending to support economy
- business spending to grow at moderate pace
- subprime problems are likely to be contained
- high resource utilization is key inflation risk
- policy is still data dependent
- uncertainties around outlook have increased
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