Bernanke: US inflation slowing, but risks remain

Federal Reserve Chairman Ben Bernanke says US core inflation "seems likely to moderate gradually over time", but there are "upside" risks to this forecast.

Speaking via satellite to a monetary policy conference in Cape Town, South Africa, Bernanke said that the American economy was set to grow sluggishly in the next months, but there are risks that higher levels of inflation excluding energy and food may not lessen.

Adjustments in the housing market are continuing, he noted, and the slowdown i