Industrial output falls
WASHINGTON — Industrial output plunged in April as factories making everything from autos to heavy machinery felt the adverse effects of the weak economy. Analysts held out hope that production will revive in the second half of the year, helped by the government’s economic stimulus checks.
Industrial production dropped 0.7 percent last month, the Federal Reserve reported Thursday, more than double the decline that economists had expected.
Manufacturing output dropped 0.8 percent with half of that weakness coming from large cutbacks in auto production with automakers struggling with falling demand for new cars because of the slumping economy and production cutbacks caused by a strike at a parts supplier for General Motors.
The decline in overall production matched a 0.7 percent decrease in February and followed a weak 0.2 percent increase in March.
Bernanke: Banks must get better at foreseeing risk
WASHINGTON — Commercial banks and other financial institutions need to beef up their ability to detect and protect themselves against risks like the credit and mortgage debacles, Federal Reserve Chairman Ben Bernanke said Thursday.
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NEW YORK — The stock market notched its second straight daily advance, with investors assuaged by a pullback in oil prices and some better-than-expected economic data.
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Investor seeks Yahoo board ouster
SAN FRANCISCO — Spurred on by outraged shareholders, activist investor Carl Icahn notified Yahoo Inc.
Inflation pressures ease
WASHINGTON — Consumer prices slowed in April despite the biggest jump in food costs in nearly two decades. But with oil near record levels, Americans should brace for more pain at the pump in coming months.
» Full StoryDeere warns of cost trouble ahead
ST. LOUIS — Deere & Co., the world’s biggest maker of farm machinery, said Wednesday its second-quarter profit rose 22 percent, propelled by lofty crop prices that stoked global demand for its farm equipment despite a faltering U.S. economy.
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