FDIC requires banks to share some risk by purchasing 5 pct of risky assets sold to investors. Banks will have to share in the risk when they sell investments of the kind that rocked the financial system in 2008 under rules adopted Monday.

FDIC requires banks to share some risk by purchasing 5 pct. of risky assets sold to investors. Federal regulators are insisting that banks share some risk when issuing the type of asset-backed securities that nearly toppled the financial system two years ago.

Summary Box: Treasury prices slip after government reports some equipment orders rose.. DURABLE BUMP: Bond prices fell after a suprise jump in durable goods orders.

Fed official makes rare suggestion to limit central bank's emergency powers. It's something you don't often hear from turf-conscious policymakers: Go ahead, curb our power.

A look at the Fed's evolving thoughts on the economy and interest rates. A comparison of the Federal Reserve's statements from its last meeting on Aug. 10 and the meeting Tuesday.

Lehman sues in to recover credit swap payments lost as a result of bankruptcy filing. Lehman Brothers Holdings Inc. is trying to recover more than $3 billion from banks, insurers and other financial services companies that it claims it lost when its bankruptcy filing in 2008 caused its priority payment status to be modified.

(Reuters) - Taiwan's China Development Industrial Bank (CDIB) has sued Morgan Stanley <MS.N> in a U.S. court to recover millions of dollars in losses it suffered from its investment in a residential mortgage product.

Goldman Sachs fined $27 million in UK for failing to notify about US investigation. Britain's financial regulator hit Goldman Sachs International with a 17.5 million pounds ($27 million) fine on Thursday for failing to notify U.K. authorities about an investigation in the United States.

Goldman Sachs expected to be fined about $30 million by British regulator, newspapers report. Goldman Sachs & Co. is expected to be fined around $30 million by British authorities following an investigation of the big Wall Street bank's activities in London, according to news reports Wednesday.

Bernanke's middle-ground speech points to his efforts to reach consensus on a divided Fed. Ben Bernanke is struggling to build consensus among Federal Reserve officials about what steps are needed ? if any ? to give the economy a boost.

Summary Box: Bernanke speech shows he seeks to build consensus among Fed officials. TOUGH JOB: Ben Bernanke is struggling to build consensus among Federal Reserve officials about what steps are needed ? if any ? to give the economy a boost.

WASHINGTON (Reuters) - The Federal Reserve decided to reinvest proceeds from its mortgage-related assets to avoid unintentionally clamping down on monetary policy when the recovery was showing signs of weakening, a top Fed official said on Tuesday.

NEW YORK (Reuters) - The four largest U.S. banks could face as much as $42 billion in losses as they repurchase faulty mortgages from housing finance giants Fannie Mae and Freddie Mac, Fitch Ratings said on Wednesday.

Answeres to common questions about Fannie Mae, Freddie Mac and future of mortgage system. Questions and answers about Fannie Mae and Freddie Mac and their role in the mortgage market:

Moody's: Rate of loss on liquidated on commercial loans backing securities surged in 2nd-qtr. The rate of loss on liquidated U.S. commercial property loans pooled into securities climbed in the second quarter, Moody's Investors Service said Thursday.

World stock markets sank on Wednesday after both the US Federal Reserve and the Bank of England downgraded their economic outlooks, sparking deep concern over the global recovery, dealers said.

The US Federal Reserve promised more stimulus spending to prop up the economy, as it warned the recovery had slowed.

WASHINGTON (Reuters) - The Federal Reserve on Tuesday took a small but significant step to counter a weakening U.S. economic recovery, saying it would use cash from maturing mortgage bonds it holds to buy more government debt.

WASHINGTON (Reuters) - The Federal Reserve on Tuesday took a small but significant step to counter a weakening U.S. economic recovery, saying it would use cash from maturing mortgage bonds it holds to buy more government debt.

WASHINGTON (Reuters) - The Federal Reserve on Tuesday took a small but significant step to counter a weakening U.S. economic recovery, saying it would use cash from maturing mortgage bonds it holds to buy more government debt.