Stocks, Economy | featured news

Finance officials from major industrial countries, seeking to calm nervous global markets, pledged Sunday to increase cooperation on attacking economic problems.

More than $2.5 trillion have been wiped off the value of world stocks this week on mounting concerns the global economy is heading toward another recession.

Signs that American consumers were pulling back on their spending added to growing concerns about the direction of the economy.

European risk assets remain under pressure as investors digest the latest round of bank stress tests by the European Banking Authority.

Stocks are shaking off a two-week slump after a report on retail sales wasn't as bad as economists had predicted... The government said Tuesday that retail sales edged down 0.2 percent last month, the first decline in nearly a year. That was slightly better than analysts were expecting. Americans bought fewer cars during the month, but the decline reflected temporary supply chain disruptions caused by the earthquake and tsunami disaster in Japan. Excluding weak car sales, retail sales rose 0.3 percent.

New doubts about the economic recovery's strength knocked the Dow Jones industrial average down almost 200 points Wednesday... The ISM's manufacturing index fell to 53.5 in May from 60.4 in April... And private employers added just 38,000 jobs in May, down from 177,000 in April, according to payroll processor ADP.

World markets are also up as investors look past worries about the American economy and Europe’s debt crisis.

The blue chips kicked off the second quarter with solid gains on optimistic economic data after capping the best first quarter in more than a decade.

Stocks tumbled Thursday, hit first by new worries about global growth and then by reports that Saudi police had fired on protesters.

Latest signs spur caution optimism. Stock market rising; Americans paying off debt.