Bernanke cautious on further stimulus

Federal Reserve Chairman Ben Bernanke left open the possibility Wednesday of further Fed action to stimulate the economy.

Speaking at a news conference, Bernanke walked a fine rhetorical line: He signaled the Fed would act more aggressively to reduce unemployment if needed -- but not at the cost of high inflation.

Bernanke spoke after Fed policymakers ended a two-day meeting by reiterating their plan to keep interest rates near zero through at least late 2014. The officials said the economy is growing moderately and the pace will likely pick up. But they also cautioned unemployment won't fall sharply anytime soon and risks from Europe's debt crisis remain.

In a statement, they noted that inflation has risen, mainly because of higher gasoline prices, but said they expect the spike to be temporary.