Gary Siegel

Removing monetary policy accommodation now would not create conditions that would sustain higher interest rates and could halt the economic recovery, Federal Reserve Board Chairman Ben S. Bernanke told the Congressional Joint Economic Committee Wednesday.

The Fed's reaction to the great recession was "far from perfect," and it should have provided more stimulus, Federal Reserve Bank of New York President and Chief Executive Officer William C. Dudley said Tuesday.

The Treasury Department Tuesday auctioned $45 billion of four-week bills at a 0.035% high yield, a price of 99.997278.

With the Fed funds rate target near zero, quantitative easing is the best monetary policy option, Federal Reserve Bank of St. Louis President James Bullard said Tuesday.

Tender rates for the Treasury Department's latest 91-day and 182-day discount bills were mixed, as the three-months incurred a 0.045% high rate, unchanged from 0.045% the prior week, and the six-months incurred a 0.085% high rate, up from 0.080% the week before.

The Treasury Department said Monday it will sell $45 billion of four-week discount bills Tuesday.

The Chicago Fed National Activity Index for April slumped to negative 0.53 from an unrevised negative 0.23 reading in March, while the three-month moving average (CFNAI-MA3) crept to negative 0.04 from a revised negative 0.05 in March, the Federal Reserve Bank of Chicago reported Monday.

The composite index of Leading Economic Indicators soared 0.6% in April following a revised 0.2% decrease in March, first reported as a 0.1% dip, the Conference Board reported Friday.

The University of Michigan's preliminary May consumer sentiment index reading was 83.7, compared to the final April 76.4, the preliminary April 72.3, and the final March 78.6, according to market sources.

The Treasury Department Tuesday auctioned $20 billion of four-week bills at a 0.010% high yield, a price of 99.999222.

Tender rates for the Treasury Department's latest 91-day and 182-day discount bills were higher, as the three-months incurred a 0.045% high rate, up from 0.040% the prior week, and the six-months incurred a 0.080% high rate, up from 0.075% the week before.

The Treasury Department said Monday it will sell $20 billion of four-week discount bills Tuesday.

Jobs growth should improve slightly more than previously expected, while economic growth projections were mostly lowered in the second quarter survey of professional forecasters, released Friday by the Federal Reserve Bank of Philadelphia.

Current efforts may not be enough to solve the too big to fail problem, and Federal Reserve Bank of Philadelphia President Charles I. Plosser said the government shouldn't bail out failing firms and rules and capital requirements need to be set to attempt to reduce the risk of failures.

The Treasury Department Thursday auctioned $16 billion of 30-year bonds with a 2 7/8% coupon at a 2.980% high yield, a price of 97.927211.

The Treasury Department said Thursday it will auction $29 billion 91-day bills and $24 billion 182-day discount bills Monday.

The Treasury Department Tuesday auctioned $32 billion of three-year notes with a 1/4% coupon at a 0.354% yield, a price of 99.689924.

The Treasury Department Tuesday auctioned $20 billion of four-week bills at a zero high yield, a price of par.

Newly issued Treasury securities held in stripped form decreased about $1.351 billion in April to a total of $198.855 billion, the Bureau of the Public Debt reported Monday.

Tender rates for the Treasury Department's latest 91-day and 182-day discount bills were lower, as the three-months incurred a 0.040% high rate, down from 0.050% the prior week, and the six-months incurred a 0.075% high rate, off from 0.080% the week before.