Leaders running out of answers to America's economic crisis
Washington leaders warned of numerous difficulties as the Fed has little room to cut rates and taxpayers face limits on housing support. President Bush and Fed Chair Bernanke urged calm while noting uncertainty. They cited inflation risks, stressed funding constraints, and warned the system remains under stress amid the housing crisis and fiscal strains.
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Wholesale prices surge in June amid sluggish sales
The Labor Department reports wholesale prices rose 1.8 percent in June, year over year inflation at 9.2 percent the fastest in over 25 years, while core inflation edged up 0.2 percent. Retail sales rose 0.1 percent as the economy faced slow growth, a weak consumer, and a large stimulus payoff. Wall Street bounced back on falling oil prices, signaling hopes for energy relief.
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