IBT Staff Reporter

Fannie Mae , the largest provider of funding for U.S. home mortgages, on Friday said it lost $23.2 billion in the first quarter, sending it to the Treasury for a second time for capital to keep it afloat.

State attorneys general are looking into a proposed settlement Google Inc reached with author and publisher groups allowing the Internet company to digitize millions of books, a participant in a recent discussion of the matter told Reuters on Friday.

Stocks rose on Friday after the government's bank stress tests fueled hopes that the worst is over for the financial sector, while news of fewer-than-expected April job cuts suggested the economic slump was easing.

Goldman Sachs Group Inc Chief Executive Lloyd Blankfein sounded a guardedly optimistic forecast for an economic recovery during the bank's annual meeting on Friday.

A group of Chrysler LLC's dissident lenders disbanded, representatives said on Friday, removing the last legal hurdle to the embattled automaker's quest to complete a merger with Italy's Fiat SpA with U.S. government backing.

The CEO of Bank of America Corp., Kenneth Lewis said on Friday the bank is able to raise the required capital to meet the requirements of the stress tests and that he plans to stay with the bank until the needs are met.

U.S. employers cut 539,000 jobs last month, the fewest since October, according to government data on Friday that signaled the economy's steep decline might be easing and gave the stock market a boost.

The Statue of Liberty's crown on Ellis Island, which has been closed to the public since the September 11, 2001 attacks on the World Trade Center, will reopen on July 4, U.S. Independence Day, Interior Secretary Ken Salazar said on Friday.

A growing number of auto workers are winding up on the streets in and around Toyota City in central Japan as the global downturn sends the world's biggest carmaker plunging into the red.

Stocks rose on Friday after the government's stress test results on big banks increased optimism about financial stocks, and data showed employers cut fewer-than-expected jobs in April.

U.S. employers cut 539,000 jobs last month, the fewest since October, according to government data on Friday that signaled the economy's steep decline may be easing.

The Obama administration has renewed sanctions against Syria due to serious concerns over its behavior, despite sending two top envoys to Damascus this week to try to improve ties, U.S. officials said on Friday.

McDonald's Corp reported a 6.9 percent rise in April sales at restaurants open at least 13 months, as strength in the United States helped offset the impact of the stronger dollar.

Natural gas provider Clean Energy Fuels Corp (CLNE.O: Quote, Profile, Research, Stock Buzz) said it will acquire oilfield services company Exterran Holdings Inc's (EXH.N: Quote, Profile, Research, Stock Buzz) natural gas fueling station business for $5.9 million.

OppenheimerFunds, one of Chrysler LLC's dissident secured lenders, said on Friday it has decided to withdraw its opposition to the automaker's proposed debt restructuring plan as it no longer expects to increase its recovery rate.

Bankrupt U.S. auto parts maker Delphi Corp (DPHIQ.PK) won interim court approval of a two-week extension of the deadline for it to reach a funding agreement with General Motors Corp (GM.N), according to court documents.

Toyota Motor Corp lost $6.9 billion in the final quarter and warned of a big loss in the just-started financial year as sales tumble.

GMAC LLC, the auto and mortgage lender, will likely be forced to seek more taxpayer help in its effort to raise $11.5 billion of new capital following the government

Mars is offering free chocolate on Fridays till the end of September, but already on its first day, the website that offers the coupons was down following the massive flood of traffic.

Oil retreated from session highs below $58 a barrel on Friday, but stayed within sight of six month highs after positive data on the U.S. economy.

Deutsche Bank downgraded PepsiAmericas Inc and Pepsi Bottling Group Inc to hold from buy, even as it raised price targets on the two largest Pepsi bottlers, saying it expects PepsiCo's bid price to move up, following the bottlers' initial rebuff.

The Dow and S&P 500 rose on Friday after the government's stress tests results on big banks lifted optimism on financial stocks, and data showed employers cut a smaller-than-expected amount of jobs in April.

Reactions to the stress test result for the 19 banks are rather calm. The Fed determined that 10 US banks must raise a total of $74.6B. In other words,9 of the biggest baAnks have enough capital to withstand a deeper recession.

The Nasdaq briefly turned negative on Friday as a sell-off in the shares of chipmakers and other technology bellwethers, including Apple Inc , derailed an earlier advance.

International human rights experts examining alleged war crimes in the Gaza Strip said on Friday they planned to visit soon, and renewed a call for Israel to support their investigation.

Liberty Media Corp (LINTA.O) posted a decline in operating income and revenue on Friday as sales at its QVC shopping channel plunged in the U.S. and Britain due to a difficult retail environment.

Fifteen people were killed, including a 10-year-old girl, when a typhoon pounded the northern Philippines, triggering mudslides and tearing roofs off houses before weakening, officials said Friday.

The suspected leader of a Singapore radical Islamist group linked to the 2002 Bali bombings has been arrested in Malaysia, ending a 14-month manhunt for the city-state's most wanted man.

Retailers sought to dampen hopes of a quick recovery from recession at an industry summit this week, warning a legacy of over-expansion, changing consumer habits and online competition could curb growth for years.