UNITED STATES

Sales of previously owned U.S. homes tumbled 7.7 percent in January and auto sales plunged to an almost 30-year low last month, according to reports on Tuesday that indicated the economy's downward spiral was gathering speed.

Top U.S. movie rental chain Blockbuster said on Tuesday it has enlisted lawyers to help it raise capital and refinance debt, but stressed it has no plans to file for bankruptcy.

Hundreds of heavily armed soldiers fanned out across Mexico's bloodiest drug war city on Tuesday, trying to prevent a collapse in law and order just south of the U.S. border.

Pakistani police hunted on Wednesday for gunmen who mounted the bold attack on Sri Lanka's cricket team in Lahore and officials scrambled to figure out who was behind it.

Oil prices rose nearly 4 percent on Tuesday on expectations producer group OPEC will cut output again and as stock markets traded higher.

Oil prices rose nearly 4 percent on Tuesday on expectations producer group OPEC will cut output again and as stock markets traded higher.

The financial system bailout may cost the U.S. more in taxpayer dollars than what has been already allocated, Treasury Secretary Timothy Geithner said on Tuesday.

Stocks rose in choppy trade on Tuesday as U.S. equity prices at 12-year lows ignited a search for beaten-down shares and the energy sector led the way up as oil rose.

Acknowledging that U.S. financial bailout costs may rise, Treasury Secretary Timothy Geithner on Tuesday said the Obama administration will work with Congress to determine the size and shape of future rescue efforts

U.S. auto sales dropped by more than 40 percent in February to the lowest level in almost three decades as Americans pulled back from taking on more debt in an economy showing signs of spiraling from bad to worse.

General Motors Corp reported a bigger-than-expected 53 percent drop in February U.S. sales on Tuesday and announced a steep reduction in targeted second-quarter production compared with a year ago.

General Motors Corp reported a bigger-than-expected 53 percent drop in February U.S. sales on Tuesday and announced a steep reduction in targeted second-quarter production compared with a year ago.

China Life has withdrawn from the bidding for American International Group Inc's Asian unit due to worries about the quality of the business, the Chinese insurer's chairman said on Tuesday.

Ford Motor Co. reported a 48% drop in February sales on Tuesday and outlined sharply lower production targets for the second quarter compared with a year ago in the face of a deep slump in demand.

U.S. stocks mostly edged higher on Tuesday after President Barack Obama said share prices are potentially a good deal at current levels, offsetting persistent uncertainty about plans to shore up the financial system.

U.S. Federal Reserve Chairman Ben Bernanke on Tuesday defended the government's latest bailout of insurer AIG, telling irate lawmakers that he, too, was angry, but that failure to act could have triggered an economic disaster.

Bolivian street vendor Bigmar Arancibia says he became desperate as business went so bad that he could no longer feed his wife and children. Now he sits in jail in this Brazilian border town and probably won't see them for years.

Sales of previously owned U.S. homes tumbled to a record low in January, reversing the prior month's gains, according to a report on Tuesday that indicated the economy's downward spiral was gathering speed.

The attack on the Sri Lankan cricket team in Lahore deepened a sense of crisis surrounding Pakistan's civilian government as it confronts political turmoil less than a year after it took office, analysts said.

Pfizer Inc has agreed to license an array of generic pills and injectable medicines from India's Aurobindo Pharma Ltd as the world's largest drugmaker looks to off-patent medicines for growth.

U.S. chip maker Micron Technology Inc (MU.N) is in discussions with the government of Taiwan about taking a role in restructuring the island's memory chip manufacturers, the company said on Monday.