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Bernanke Says Inflation Makes Fed Cautious On More Stimulus

Federal Reserve Chairman Ben S. Bernanke said inflation now is “higher” and “closer” to the central bank’s informal target than was the case in August.

Bernanke in comments today at a Senate Banking Committee hearing said the increase in inflation this year is one reason why the Fed won’t immediately embark on a third round of bond-buying.

“We’re not prepared at this point to take further action,” he said.

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