Ben Bernanke wins vote of confidence from President Obama, who says the U.S. needs the Fed chief to continue his work. The President went on to comment Bernanke’s courage and calm when faced with a near-collapse of the financial system.
Bernanke is widely credited for his handling of the crisis and economists largely expressed relief but little surprise over the reappointment.
Bernanke has been victim of harsh criticism from Congress over the Fed’s role in the bailout of the banking system, and economists have criticized the Fed chief for failing to recognize other economic danger signs.
But most Economists and the Investment Community praised Bernanke, a leading scholar on the Great Depression, for acting quickly and aggressively once the financial crisis broke.
Led by Bernanke, the Fed has pumped hundreds of billions of dollars into the financial system and cut U.S. interest rate to near zero at the start of the crisis.
We view this reappointment as very positive and conducive to stability.