Bernanke: Financial storm not yet subsided

[katty]

more: http://www.msnbc.msn.com/id/26344834/

updated 5 minutes ago
JACKSON, Wyo. - Federal Reserve Chairman Ben Bernanke said Friday the financial crisis that has pounded the U.S. — coupled with higher inflation — is taking a toll on the economy and poses a major challenge to Fed policymakers as they try to restore stability.

"Although we have seen improved functioning in some markets, the financial storm that reached gale force" around this time last year "has not yet subsided, and its effects on the broader economy are becoming apparent in the form of softening economic activity and rising unemployment," Bernanke said in a speech to a high-profile economics conference here.