NEW YORK, May 23- Investors' hair-trigger reaction to Federal Reserve Chairman Ben Bernanke's testimony on Wednesday marks a delicate new policy phase for the U.S. central bank in which communication is paramount.
May 23- On Wednesday in Washington, Federal Reserve Chairman Ben Bernanke presented congressional testimony that repeated, virtually word for word, statements about U.S. monetary policy he has been making since last September. The speculation spread to Tokyo Thursday.
NEW YORK, May 23- U.S. The bond market was on another roller-coaster ride on heavy volume, a day after remarks by Federal Reserve Chairman Ben Bernanke about the U.S. central bank's bond purchase program prompted a massive sell-off in Treasuries.
*Nikkei drops 7 pct, Wall Street down for second day. NEW YORK, May 23- Stock markets worldwide fell sharply on Thursday as surprisingly weak data from China and Europe raised worries about slow growth a day after U.S. Federal Reserve chief Ben Bernanke broached the possibility of reducing stimulus that has buoyed investor confidence.
LONDON, May 23- Gold rose on Thursday as the dollar remained under pressure after falling U.S. weekly jobless claims and as a senior Federal Reserve official said the central bank is in no hurry to start winding down its economic stimulus.
LONDON, May 23- Federal Reserve policymaker James Bullard said on Thursday that the bank should wind back its support slowly when it starts the process.
LONDON, May 23- A top U.S. central bank official sought to reassure financial markets that the Federal Reserve was not in a hurry to start winding down its economic stimulus as investors worried about comments by its chairman Ben Bernanke.
*Praet says ECB could expand its instruments. PARIS/ WASHINGTON, May 23- The European Central Bank is looking into expanding its range of policy tools, while the U.S. central bank is mulling scaling back its support measures, highlighting the contrasting fortunes between the world's two biggest economic blocs.
*China manufacturing data shows contraction. NEW YORK, May 23- U.S. stock index futures fell on Thursday, putting the S&P 500 on track for its first daily back-to-back declines in a month, amid investor concerns the U.S. Federal Reserve may begin to taper its stimulus measures and over weak data in China.