Federal Reserve chairman Ben Bernanke told Congress Wednesday that the central bank is not ready to scale back on economic stimulus. But he suggested the Fed may start to pare back bond purchases if the economy picks up momentum. Stocks fell following Bernanke's remarks.

Over the past several years, the Federal Reserve has added trillions of dollars to its balance sheet, purchasing bonds in order to stimulate the economy. Many investors have been concerned that when the Fed starts selling off those bonds it could create turmoil in the markets. But in congressional testimony Wednesday, Fed Chief Ben Bernanke said the Fed might not sell off those bonds at all.

Apple CEO Tim Cook faced tough questions on Capitol Hill on Tuesday. He defended a tax strategy that allows Apple to avoid taxes on tens of billions of dollars of profits. Cook also called on the Congress to lower the U.S. corporate tax rate.

Tim Cook will address reports that his company pays billions less than it should in U.S. taxes each year at a Tuesday hearing in Washington. According to a report by the Senate Permanent Subcommittee on Investigations, Apple avoids the tax payments by shifting profits to subsidiaries in Ireland.

On Thursday, President Obama named Daniel Werfel, 42, acting IRS commissioner. The announcement comes a day after the resignation of Steven Miller, who got caught up in the controversy over the IRS targeting Tea Party groups.

Japan has embarked on a massive effort to stimulate its economy. Both the government and the central bank are collaborating to end a long period of stagnation and deflation. But the effects are also being felt outside Japan.

The Congressional Budget Office has sharply revised down the outlook for the federal budget deficit. Some temporary factors are being cited for the projected improvement. Keeping the deficit on a downward path may depend on the economy, analysts say.

The stock market rallied on Friday after a better-than-expected jobs report. The Labor Department said employers added 165,000 jobs to payrolls in April. The unemployment rate ticked down to 7.5 percent.

Healthy increases in construction and home sales are boosting things like sales of pickups and landscaping, which, in turn, lead to more hiring. But federal budget cuts may undermine that momentum, economists say.

Regulators are warning some of the nation's largest banks to stop offering loans that are hard to distinguish from those given out by storefront payday lenders. The banks have been offering high-interest-rate, short-term loans to customers with direct deposit as an advance on their paychecks.

Citing Europe's continuing recession, the International Monetary Fund on Tuesday cut its estimate for global growth. The IMF also cut its forecast for the U.S. economy, predicting a growth rate of 1.9 percent.

Few expected the Bank of Japan's program to buy up government bonds to dwarf the Federal Reserve's similar effort in the U.S. Japan's stock market has soared and the yen's value tumbled. Thus far, the move is boosting exports, but is also making Asian competitors nervous.

New restrictions on big depositors are controversial, and there's no consensus on the efficacy of the country's strategy. Besides affecting Cyprus' economy, the new measures could become a template for other eurozone countries. Selective restrictions might create a tiered system within the bloc.

The Census Bureau is out with a new report on the debt and wealth of Americans. It shows the economic turmoil of the past decade shredded the financial fortunes of many Americans. The report shows debt burdens higher and wealth lower than in the year 2000.

The Federal Reserve will maintain its hold on record low borrowing costs to stimulate the economy. Chairman Ben Bernanke said on Wednesday that while the U.S. economy has improved, it still needs support from the Fed to help lower unemployment. Bernanke says that short-term interest rates will stay near zero until unemployment falls to 6.5 percent. Forecasters expect that won't happen sooner than 2015.

On the political far left and right, some believe that large banks still pose a threat to taxpayers. These banks are so big, they argue, that the government will step in with support if needed. Still, the more mainstream view in Washington is that the Dodd-Frank reforms are sufficient to handle the problem.

The stock market's long climb has some people concerned it may be a bubble about to burst — a bubble artificially pumped up by the Federal Reserve's easy-money policy. That's led to calls — even from within the Fed — for an end to the central bank's extraordinary efforts to keep interest rates low.

Mark Zandi of Moody's Analytics predicts a last-minute deal on the "fiscal cliff" might be an early drag on next year's economy, but by year's end, the economy will be gaining momentum. If there's no deal? "I don't even want to think about it," he says.

The Federal Reserve is meeting in Washington to discuss what to do with the sluggish economy. Analysts believe the Fed will take action, but some economists wonder if it will have an effect — or even be counterproductive.

Policymakers at the Federal Reserve wrap up a two-day meeting Wednesday and will explain what they plan to do about interest rates. The consensus seems to be they'll keep short-term rates near zero to help support the lagging economy.