Bernanke Says Inflation Makes Fed Cautious On More Stimulus

July 14 (Bloomberg) -- 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.

To contact the reporter on this story: Jeannine Aversa in Washington at javersa@bloomberg.net

To contact the editor responsible for this story: Chris Wellisz at cwellisz@bloomberg.net