Economy News

PARIS (Reuters) - Airbus parent EADS made sweeping increases in its financial forecasts on Thursday and pledged to increase jetliner production after a spate of new orders raised hopes of an end to a steep industry recession. Full Story »

WASHINGTON - The already fragile economic recovery may be getting weaker. Full Story »

TOKYO - Japan received a sobering reminder Friday of its fragile recovery: The jobless rate rose, deflation deepened, and factories made fewer cars and mobile phones. Full Story »

WASHINGTON - President Barack Obama is going to the heart of the U.S. auto industry to push an important election-year claim: his administration's unpopular auto industry bailout has turned into an economic good-news story. Full Story »

WASHINGTON (AFP) - The International Monetary Fund on Friday said more stimulus spending might be needed to aid a slow US economic recovery, wading into a toughly-fought political debate in Washington. Full Story »

WASHINGTON (Reuters) - Economic growth likely slowed in the second quarter as a capital investment drive by businesses was sated by imports and consumer spending tapered off, a government report is expected to show on Friday. Full Story »

WHAT TO DO? Debate is intensifying at the Federal Reserve over how best to cope with a weakening recovery. Full Story »

WASHINGTON (AFP) - A key economic report Friday is expected to show the US recovery is losing pace, as a top Federal Reserve official warned of crippling "Japanese-style" stagnation. Full Story »

TOKYO (Reuters) - St. Louis Federal Reserve Bank President James Bullard said the risk of deflation in the United States has risen somewhat compared with the beginning of this year, the Nikkei newspaper reported. Full Story »

WASHINGTON (Reuters) - Senate Republicans blocked a $30-billion plan to help community banks boost lending to small businesses, dealing a blow to President Barack Obama's election-year battle to reduce unemployment. Full Story »

WASHINGTON - Toxic assets the government bought during the bailouts of American International Group Inc. and Bear Stearns are finally gaining value, the Federal Reserve Bank of New York said Thursday. Full Story »

PHOENIX - The U.S. Air Force has chosen bases in Arizona, Florida, Utah and Vermont as homes for the military's F-35 Joint Strike Fighter, prompting applause from officials banking on the pricey new combat jets to supercharge their communities' economies. Full Story »

Initial jobless claims drop to 457,000 Full Story »

WASHINGTON (Reuters) - 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. Full Story »

WASHINGTON - Debate is intensifying at the Federal Reserve over how best to cope with a weakening recovery, with momentum growing for a concrete plan to prevent a backslide into recession. Full Story »

WASHINGTON (AFP) - The US economy risks "Japanese-style" stagnation, a top Federal Reserve official warned Thursday, as a key economic report was expected to show the recovery is losing pace. Full Story »

A look at economic developments and activity in major stock markets around the world Thursday: Full Story »

JOBLESS CLAIMS DROP: New requests for unemployment benefits dropped last week by 11,000 to 457,000, the third drop in four weeks. Full Story »