INFLATION

Warren Buffett said on Monday the U.S. economy had fallen off a cliff but would eventually recover, although a rebound could kindle inflation worse than that experienced in the late 1970s.

Warren Buffett said on Monday that the U.S. economy had fallen off a cliff and eventually would recover, although a rebound could rekindle inflation worse than experienced in the late 1970s.

The European Central Bank cut interest rates to an all-time low of 1.5 percent on Thursday, keeping up a record pace of reductions as the euro zone economy slides deeper into recession.

The Bank of England cut interest rates by 50 basis points to a record low of 0.5 percent on Thursday, and said it would pump 75 billion pounds of new money into buying assets, mostly gilts, in its battle with recession.

The number of U.S. workers filing new claims for jobless benefits fell more than expected last week, a government report showed on Thursday, but remained at high levels consistent with a severe recession.

Emergency credit market support from the Federal Reserve has sidestepped Congress and could expose the U.S. central bank to political pressure that hurts its independence, a top Fed policy-maker said on Monday.

The euro suffers from structural deficiencies. It has a central bank, but it does not have a central treasury, and the supervision of the banking system is left to national authorities.

The U.S. economy suffered its deepest contraction since early 1982 in the fourth quarter, shrinking at a much worse-than-expected 6.2 percent annual rate as exports plunged and consumers slashed spending.

The U.S. economy suffered its deepest contraction since early 1982 in the fourth quarter, shrinking at a much worse-than-expected 6.2 percent annual rate as exports plunged and consumers slashed spending.

Federal Reserve Chairman Ben Bernanke said on Wednesday that he had an exit strategy from the U.S. central bank's recent massive monetary expansion that will keep inflation under control as the economy recovers.

The Federal Reserve stands ready to do everything in its power to combat the financial crisis and recession and buying long-term Treasury bonds could be helpful, a top Fed official said on Monday. Few of us imagined in our wildest dreams that our global economy could have turned so rotten so quickly, Richard Fisher, president of the Federal Reserve Bank of Dallas, said in remarks prepared for...

The U.S. economy is set to contract sharply in the first quarter, with the current cyclical downturn on track to rival the 1973-75 slump as soaring unemployment depresses demand, a survey showed.

slightly less than the 3.1 percent during the early '70s, the NABE said. The survey forecast the unemployment rate peaking at 9.0 percent in the fourth quarter, before edging lower from the second quarter of 2010. The U.S. jobless rate is currently at 7.6 percent, a 16-year high. Job losses are expected to persist through 2009, though steadily diminishing over the course of the year. Aver...

U.S. Consumer prices rose in January for the first time in six months as energy costs rebounded, government data showed on Friday, easing fears of deflation amid a severe economic downturn. The Labor Department said its closely-watched consumer price index rose 0.3 percent after dropping 0.8 percent in December. The modest uptick followed months of aggressive discounting by retailers seeking to s...

U.S. Treasury debt prices gained on Friday as deepening anxiety about the fragile state of the banking system pummelled financial stocks, sending investors scrambling into comparatively safe government debt.

they are sidelining the dollar strength, sidelining deflationary concerns and lower oil prices. They are very much buying gold as a safe-haven asset, Cooper said. There is potential for us to breach the $1,000 level. Saxo Bank senior manager Ole Hansen said the deteriorating macroeconomic picture and inflows into exchange-traded funds were currently the main influences on the gold price, n...

U.S. consumer prices rose in January as energy costs rebounded, government data showed on Friday, temporarily easing fears of deflation amid a severe economic downturn. The Labor Department said its closely watched Consumer Price Index rose 0.3 percent, advancing for the first time since July, after falling 0.8 percent in December. The increase was bang in line with market expectations. U.S. sto...

U.S. consumer prices rose in January, advancing for the first time since July as energy costs rebounded, government data showed on Friday, but a severe economic downturn was likely to keep inflation pressures muted in the months ahead. The Labor Department said its closely watched Consumer Price Index rose 0.3 percent after falling 0.8 percent in December. Analysts polled by Reuters had forecast ...

U.S. consumer prices rose in January, advancing for the first time since July as energy costs rebounded, government data showed on Friday, but a severe economic downturn was likely to keep inflation pressures muted in the months ahead. The Labor Department said its closely watched Consumer Price Index rose 0.3 percent after falling 0.8 percent in December. Analysts polled by Reuters had forecast ...

U.S. consumer prices are estimated to have risen in January as a recent rise in energy prices defied the economic downturn and disinflationary trends, according to economists polled by Reuters. As energy prices rose, a median forecast culled from a poll of more than 70 economists estimated that consumer prices overall rose 0.3 percent in January from December, while prices excluding food and ener...

The number of U.S. workers drawing unemployment aid jumped to a record high of nearly 5 million, the government said on Thursday, as a worsening economy made it increasingly hard to find jobs. The data from early February suggested the 13-month-old U.S. recession was deepening, a conclusion supported by a report that showed factory activity in the country's Mid-Atlantic region contracted sharply...