In reaction to Federal Reserve Chairman Ben Bernanke's speech today, U.S. Senator Bob Corker, R-Tenn., a member of the Banking Committee, said the market response "highlights just how far away from fundamentals our unhealthy obsession with the Fed has taken us," noting it's time for "policy makers to meaningfully address the underlying problems in our economy." In his remarks in Jackson Hole, Wyoming, today, Bernanke left open the possibility of further Fed action, but clearly stated monetary policy cannot "neutralize the fiscal and financial risks that the country faces."
"The schizophrenic gyrations that occurred in the markets today before, during, and after Chairman Bernanke's speech highlight just how far away from fundamentals our unhealthy obsession with the Fed has taken us, and today's speech highlights the desperate need for policy makers to meaningfully address the underlying problems in our economy. To that end, we need to enact true fiscal reform, embracing pro-growth tax policies and giving the world certainty that we can address the challenge of our structural deficits and debt by reforming entitlements. These policies from Congress, not more short-term stimulus from the Fed, are the ingredients necessary for restoring growth in the American economy." Corker said.