Federal Reserve System

Obama tax deal drives up rates

Obama tax deal drives up rates

What the Federal Reserve giveth, Obama taketh away. The U.S. central bank’s $600 billion stimulus plan was supposed to lower interest rates. But President Barack Obama‘s tax deal with Republicans, by rekindling fears of budget deficits in the bond market, has pushed them higher. As the Fed meets this coming week, the surprise shot in […]

Banks face Congressional wrath over foreclosures

Banks face Congressional wrath over foreclosures

Banks under fire over their foreclosure practices face twin hearings in Congress this week, at which they will come under renewed pressure to find ways to keep borrowers in their homes. The hearings on Tuesday and Thursday will include the first appearances by executives from major lenders like Bank of America and JPMorgan Chase since […]

Obama on the road and still on a losing streak

Obama on the road and still on a losing streak

President Barack Obama claimed a stronger hand on the world stage Friday despite electoral defeats at home, failure to get a free-trade agreement with South Korea and lackluster international support for his get-tough policy with China on trade and currency disputes. “It wasn’t any easier to talk about currency when I was first elected and […]

Palin to Bernanke: ‘Cease and desist’

Palin to Bernanke: ‘Cease and desist’

Tea Party favorite Sarah Palin on Monday weighed in on the global debate over the Federal Reserve’s $600 billion plan to buy up government debt, suggesting Fed Chairman Ben Bernanke should “cease and desist.” “We shouldn’t be playing around with inflation,” Palin, who is widely seen as a prospective 2012 Republican presidential candidate, said in […]

Weak jobs report expected today

Weak jobs report expected today

Newly elected members of Congress will get a reminder Friday of the economic challenges they face in January: The jobs report for October is expected to show hiring weak and unemployment still high. The outlook for 2011 isn’t much better. Economists expect the Labor Department to report that employers added just 60,000 jobs in October, […]

Bandito Obama? Billboard stirs protests

Bandito Obama? Billboard stirs protests

A billboard depicting Barack Obama as an Islamist suicide bomber, a gay and a Mexican bandit has triggered a storm of criticism in a western US city weeks ahead of crucial polls. The colourful poster of the US president — under the ironic slogan “Vote DemocRAT” — is attracting attention from media worldwide and from […]

Stimulus? We don’t need no stinkin’ stimulus

Stimulus? We don’t need no stinkin’ stimulus

Federal Reserve officials clashed on Thursday over whether the central bank should be more aggressive in supporting the stumbling economy and one said the Fed’s current policy may be contributing to worryingly low levels of inflation. The Fed’s promise to hold benchmark interest rates exceptionally low for an extended period — a vow aimed at […]

Economic woes expected to continue

Economic woes expected to continue

The U.S. economic recovery will remain slow deep into next year, held back by shoppers reluctant to spend and employers hesitant to hire, according to an Associated Press survey of leading economists. The latest quarterly AP Economy Survey shows economists have turned gloomier in the past three months. They foresee weaker growth and higher unemployment […]

Democrats block GOP effort to kill consumer protections

Democrats block GOP effort to kill consumer protections

The Senate on Thursday rejected a Republican attempt to defang consumer protections in a sweeping Wall Street reform bill, while voting to give small banks a break on deposit insurance. Despite procedural delays, lawmakers covered some ground on a top priority of the Obama administration that would be the biggest overhaul of the financial rulebook […]

Don’t expect a quick economic recovery

Don’t expect a quick economic recovery

The pillars of Americans’ financial security — jobs and home values — will stay shaky well into 2011, according to an Associated Press survey of leading economists. The findings of the new AP Economy Survey, released Monday, point to an economic recovery that will move slowly and fitfully this year and next. As a result, […]