Federal Reserve Chairman Alan Greenspan told Congress yesterday in a semi-annual testimony, that the Fed should continue to raise interest rates as the growth outlook in the U.S. remains positive. To the House Banking Committee, Greenspan said, "Our baseline outlook for the U.S. economy is one of sustained economic growth and contained inflation pressures."
According to the Fed, the economy should grow by 3.5%. This has been revised from the estimate made in February, which called for growth of 3.75% to 4%.
Greenspan says that there are three main factors that could threaten the new economic outlook. These include wage pressures, rising energy costs, and if long-term interest rates rise too much, sectors like housing could become a problem.
Chris is a staff writer for latest ebusiness news. 
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