Stocks on Wednesday stayed nearly flat after a speech by Federal Reserve Chairman Ben Bernanke was positive about the economy.

As of 2:09 p.m., the Dow Jones Industrial Average was off its low, down 27 at 10943. The S&P 500 was down 2 points to 1188 and the Nasdaq was up 2 at 2439.

Investors looking for some direction and depth in the emerging economic recovery got some reassurance from the Fed chairman Wednesday, after Tuesday’s release of the Federal Reserve’s Open Markets Committee shed little light on either.

“If economic conditions improve, as I expect, we should see increased optimism among consumers and greater willingness on the part of banks to lend, which in turn should aid the recovery,” Bernanke said in a speech in Dallas.

His predecessor, Alan Greenspan, appeared before the Financial Crisis Commission on Capitol Hill, telling a Congressional committee that regulators always miss crises.

“What regulators can do is pass rules that are preventative, establish greater capital requirements and enforce those rules. That is the best we can do,” he said.

European markets were lower and the euro remained under pressure amid renewed concerns over Greek debt. A report that Greece was trying to avoid International Monetary Fund involvement in a backstop had sent bond yields in that country surging Tuesday. The 10-year Greek yield climbed back over 7% in midday European trade.

While Greek bond yields are still high, those of the U.S. 10-year are flirting around the 4% mark, leading the market to debate whether the rise is due to an improving economy or bond investors struggling to cope with surging supply. On Wednesday, that includes $21 billion of 10-year notes. Ahead of the auction, 10-year yields fell 0.02 percentage point to 3.93%.

Patrik Schowitz, an equity strategist at Bank of America Merrill Lynch, pointed out that U.S. yields have advanced more quickly than most European nations.

“So unless you think that government funding worries are far worse in the U.S., growth looks to be the main driver for yields,” he said in a note to clients.

Fears of tighter Chinese policy dragged the Shanghai Composite down 0.3%, but most other Asian stock markets rose Wednesday, with the Hang Seng up 1.8% in a catch-up rally. European stocks meanwhile sported modest losses in late morning trade.

Crude oil futures were down 48 cents at $86.36 a barrel. Gold futures rose.

Dow Jones Newswires contributed to this report.

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