NORMAN — The Federal Reserve has to be convinced that the economic recovery it is witnessing isn’t temporary. It will continue to help sustain that growth by buying bonds to keep long-term borrowing down.
Chairman Ben Bernanke said the current strategy to keep interest rates at record lows will continue at least until unemployment falls to 6.5 percent from the current 7.7 percent, according to an Associated Press report.
Such a drop would signal to Chairman Bernanke that the economic improvement can be sustained. Oklahoma’s January unemployment rate of 5.1 percent is among the nation’s lowest. It is down from 5.4 percent in January 2012.
The Fed notes that the U.S. job market has improved, followed by consumer spending and business investment. The housing market, while not back to pre-recession levels, also has strengthened.