Weakness in U.S. industrial production is consistent with recessionary levels, economists said following the 0.7% decline in Thursday's report from the Federal Reserve.

T.J. Marta, fixed income strategist from RBC Capital Markets, said the "collapse" resembles the turbulence seen during the 1990 recession, the 2001 recession, Hurricane Katrina, and the start of the Iraq War.

Michael Montgomery, economist at Global Insight, said there were...

Speaking at the Chicago Fed's Conference on Bank Structure and Competition, Fed Chairman Ben Bernanke said he would strongly urge firms to continue raising new capital.

"Recent events have also demonstrated the importance of generous capital cushions for protecting against adverse conditions in financial and credit markets," Bernanke said.

"I strongly urge financial institutions to remain proactive in their capital-raising efforts..."

There is a need for investment banks to be regulated like commercial banks, according to former Fed Chairman Paul Volcker testifying before the Congressional Joint Economic Committee on Wednesday morning.

Volcker also observed that the Fed's involvement in the mortgage market is a...

The lower-than-expected core CPI report released Wednesday should allow the Fed to cut rates once again rather than worry about rising inflation, an economist says. However, as energy prices continue rising, there may be reason to put more emphasis on total inflation rather than the core figure, says another economist.

There is an elevated amount of reluctance from banks to lend, according to Boston Fed President Eric Rosengren, speaking Wednesday at the Boston Fed's Basel II conference on New Challenges for Operational Risk Measurement and Management.

"The practices of risk management in general...

Weekly mortgage applications in the United States rose in the week ending May 9, according to data from the Mortgage Bankers' Association (MBA) on Wednesday, which said applications increased by 2.9%.

In the previous week, applications rebounded 15.6%.

The portion of fixed-rate mortgages...

Even as the House of Representatives passed two housing rescue bills and the Senate wrestles over a bill of its own, criticism is raining down on those remedies to the housing crisis that are already in place.

There are so many piecemeal plans operating such as Hope Now, Project Lifeline and FHA Secure that it is hard to make any blanket assessment of performance, but a few initiatives stand out.

Also under fire, not unexpectedly, are proposed new rules for regulating the mortgage industry...

Dallas Federal Reserve President Richard Fisher (voter) speaking at the Hilton Midland Plaza in Texas said that the current economic slowdown will be prolonged, but not very deep.

Fisher warned that the Federal Reserve is in a difficult situation trying to repair the financial system, and that...

Delivering opening remarks at the Atlanta Fed's Financial Markets Conference, Dennis Lockhart, head of the Atlanta Federal Reserve (non-voter) said credit markets remain fragile given a loss of confidence from the subprime crisis.

Speaking at the Atlanta Fed's Financial Markets Conference, Federal Reserve Chairman Ben Bernanke addressed the current state of the U.S. economy, calling current financial market conditions "far from normal."

"The provision of liquidity by a central bank can help mitigate a financial crisis. However, central banks face a tradeoff...