Fed Chairman Ben Bernanke gave his views on many topics on Monday afternoon.
Although he remains cautious his conclusions were in line with latest FOMC meeting minutes that calling for a modest recovery in 2010.
His bottom line: "...my best guess at this point is that we will continue to see modest economic growth next year--sufficient to bring down the unemployment rate..."
Bernanke pointed to several factors that underscore improving financial conditions:
1. Unlike last year at this time, corporations are having relatively little difficulty in raising funds in bond or stock placements.
2. Their stock prices and other asset values have recovered significantly from their lows earlier this year.
3. Although perma-doomsters continue to foster fear, most economists and investors conclude currently that fears of systemic collapse have receded substantially since the beginning of this year.
4. Monetary and fiscal policies continue to be supportive of continued growth.
5. Housing conditions are improving.
6. Consumer expenditures are improving.
7. Business investment is up.
8. Global economic activity is stabilizing.
9. Inflation threats remain subdued.
10. The Fed (and taxpayers) will likely get back all of the money loaned to private companies and may even make a modest profit for the taxpayer.
When all you read is gloom, turn here for a much different perspective.