The US Federal Reserve has said that from now on its stimulus measures will be linked not just to inflation, but also to unemployment.
The central bank’s chairman Ben Bernanke plans to keep interest rates low until there is a big improvement in the job market, no matter what it means for the Fed’s balance sheet.
After the policymakers’ final meeting of 2012, Bernanke’s New Year’s resolution seems to be, to be more aggressive in order to kick the economy back into a higher gear.
In Business Weekly, we discuss the Fed’s policy with Mark Priest from ETX Capital.
Also in the programme: new supervision for Europe’s banks and OPEC’s latest oil production forecast.
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