Bernanke: US economy faces "uncertain" time

US Federal Reserve chairman Ben Bernanke has warned that the outlook for the US economy remains "unusually uncertain".

In testimony before the Senate Banking Committee, Mr Bernanke said record low interest rates would still be needed to support economic recovery.

The Fed was also prepared to step in with "further policy actions" to boost the economy if needed, he added.

But he downplayed fears that the US could re-enter recession.

Some economists have questioned whether a withdrawal of economic stimulus measures could harm the US economy's recovery.

"Even as the Federal Reserve continues prudent planning for the ultimate withdrawal of monetary policy accommodation, we also recognise that the economic outlook remains unusually uncertain," Mr Bernanke said, in prepared testimony.

"[But] rising demand from households and businesses should help sustain growth," he added.

The head of the US central bank reiterated an earlier pledge to keep interest rates at their current historical lows for "an extended period".