Yellen defends QE as best way to normal economy

By Greg Robb

WASHINGTON (MarketWatch) - Janet Yellen, President Obama's pick to be the first woman to lead the Federal Reserve, on Wednesday defended the central bank's unpopular and unconventional asset purchase program, calling it the best way to get the economy back to normal. "I believe that supporting the recovery today is the surest path to returning to a more normal approach to monetary policy," she said. Yellen's comments came in her prepared statement to the Senate Banking Committee. Although the hearing is on Thursday morning, the committee released the text of her opening remarks early. She said the U.S. economy and financial system have come a long way since "the dark days of the financial crisis" but that important work lies ahead. She said that the housing sector "seems to have turned the corner."