Bernanke opens door for more QE as 'daunting challenges' remain

Federal Reserve Chairman Ben Bernanke has indicated more quantitative easing measures will be pumped into the US economy when it is needed to avert long-term damage, but his lacklustre speech failed to impress those seeking a firmer commitment.

In an eagerly awaited Jackson Hole speech Bernanke said policies to bring down US unemployment numbers have not had the desired effect, with the Federal Reserve ready step in with additional policy action. "Over the past five years, the Federal Reserve has acted to support economic growth and foster job creation, and it is important to achieve further progress, particularly in the labor market," said Bernanke. "Taking due account of the uncertainties and limits of its policy tools, the Federal Reserve will provide additional policy accommodation as needed to promote a stronger economi...