Originally published on Tue March 13, 2012 3:46 pm
Credit Federal Reserve
Update at 4:34 p.m. ET. 15 of 19 Banks Pass Stress Test:
The Federal Reserve says 15 of the country's top 19 banks have enough capital to survive a "severe recession," which it defined as "peak unemployment rate of 13 percent, a 50 percent drop in equity prices, and a 21 percent decline in housing prices."
Originally published on Thu March 15, 2012 11:44 am
AGCO employees work on the assembly line in the company's newly expanded Jackson, Minn., manufacturing plant. The expansion brought the facility's staff from 850 to 1,050 workers and allows the plant to make tractors that were previously made in France.
Credit Jackson Forderer for Minnesota Public Radio
Citing an economy that is "expanding moderately," an improving labor market and subdued inflation — but a housing sector that "remains depressed" — the Federal Reserve just announced it is holding to its current policy on short-term interest rates.
The central bank's policymakers also said they expect "moderate economic growth over coming quarters" and that the jobless rate will continue to "decline gradually."
And the gain didn't come just become rising gas prices led to a 3.3 percent increase in the value of gasoline sales. According to The Associated Press, retail sales rose 0.8 percent excluding gasoline.