This morning Paul Krugman predicted that Ben Bernanke wouldn't announce anything big in his speech in Jackson Hole today, maybe because he was afraid of the Rick Perrys of the world. Krugman was right — although the reasoning may be more related to the fact that Bernanke's hands are relatively tied since interest rates are near zero already. The Fed chairman didn't announce any new policies in the speech, but noted that "the recovery from the crisis has been much less robust than we had hoped." Some market watchers had hoped for a QE3, or another round of quantitative easing (in which the Fed buys back government debt). But none look to be forthcoming, and as a result, stock indexes briefly dipped. They appear to have rallied again on hints that a QE3 could be considered during the September meeting of the Fed board. Meanwhile, the dollar gained strength on the news that there wouldn't be quantitative easing — a strategy that critics have likened to "printing money." With regards to the debt-ceiling debacle, Bernanke pleaded for "a better process for making fiscal decisions."
Most Viewed Stories
Erykah Badu’s Soulful Remix of Drake’s ‘Hotline Bling’ Has Instructions on When and How to Call Her
What’s New on Netflix: October 2015
Stephen Colbert Gave a Searing Monologue on Guns, Trump, and ‘Honest Insanity’
How Australia and Britain Tackled Gun Violence
The Future of Dieting Is Personalized Algorithms Based on Your Gut Bacteria
Tom Hiddleston Does His Robert De Niro Impression for Robert De Niro
It’s Harder to Be Thin Than It Was in the ’80s
Jeb Bush’s ‘Stuff Happens’ Response Was Fine
The Martian Soars
What You Need to Know Going Into Homeland Season 5
Latest News from Daily IntelligencerWhat We Know About the Oregon Community-College Shooting
Updated details about the people who were killed, the police response, and how the shooter died.U.S. Airstrike Hits Hospital in Afghanistan
A Doctors Without Borders medical facility in Kunduz was bombed early Saturday morning, killing at least 19 and injuring dozens.Fake Newsstand Comes to Fake Times Square
"Is it real? What can you buy?"
Leave the poor man alone. He's at 4 percent.N.J. Man Apparently Fired for Farting Too Much
Now his wife is suing.Santa Claus Hopes Voters Will Elect Him to Office in North Pole
His qualifications include being named Santa Claus.Developers Keep Building in Sandy Flood Zones
Zone A and in harm's way ...One of the Last Remaining Members of Obama’s Original Cabinet Is Stepping Down
Say good-bye to Secretary of Education Arne Duncan. His likely successor is a Brooklynite.Janet Yellen’s Hotel California
Will the Fed ever be able to raise rates again?The House’s Right Flank Finally Got Boehner’s Scalp. So Why Doesn’t It Feel Good?
The Planned Parenthood videos brought down an unintended target.
Sorry, Kim Davis, the pope's just not that into you.T-Mobile Hack Spells Trouble
Unlimited data — on 15 million people.India’s Climate-Change Plan Means Your Grandkids Might Not Be Underwater
The world's soon-to-be-largest country steps up.Hurricane Joaquin Is Just Not That Into the East Coast — But the Rain Is Here to Stay
The latest projections have the big storm veering away from the U.S.The Pope and Kim Davis Have Very Different Memories About How They Met
“Such brief greetings occur on all papal visits and are due to the pope’s characteristic kindness and availability."Raccoons Are Gentrifying One Brooklyn Neighborhood
The nocturnal creatures are apparently running rampant in Carroll Gardens.Yankees Clinch Spot in Wild Card Game, Remind Us That Baseball Teams Spray Champagne for Everything
They could end up doing it all again on Tuesday.How Australia and Britain Tackled Gun Violence
President Obama cited the two nations in his call for stricter gun laws — but would the same strategies work here?Debt-Ceiling Derby Coming Back to D.C. Next Month
The debt limit needs to be raised by November 5.Oklahoma Attorney General Asks to Stay All Executions After Glossip Drug Mix-up
He wants to investigate why two lethal-injection drugs were swapped.