Inflation fears may see interest rates rise again
In the US, the chairman of the Federal Reserve, Ben Bernanke, delivered his biannual testimony on monetary policy to the US Congress last week.
The Fed has kept interest rates on hold since last summer. However, it remains cautious about the outlook for inflation. At this point, the markets see only a small chance that the Fed will reduce the official Fed funds rate this year. The rate currently stands at 5.25%.
