With murmurs at the FOMC growing louder every time the Fed Chairman and his acolytes express support for ultra-loose monetary policy and continued quantitative easing, Ben Bernanke faced the Senate Banking Committee where he once again defended his tenure as central bank chief.
The Fed continues to buy huge amounts of Treasury securities with the express purpose of holding down interest rates and inflating various asset prices.
While others report divisions among the Fed officials on QE II, Fisher steered away from directly disputing the policy, although he did express discomfort over short-term interest rates of effectively zero.