(Reuters) - Stocks fell slightly on Wednesday after data pointed to a slowdown in U.S. growth, but a technical rebound was possible with the benchmark S&P 500 at its lowest in a month. The S&P 500 index closed at its lowest level in over a month on Tuesday and ended below its 50-day moving average for a second straight day. The Dow closed lower for a third session.

• Read more

(Reuters) - New orders for long-lasting U.S. manufactured goods recorded their largest decline in six months in April as aircraft and motor vehicle bookings tumbled, indicating the economy remained stuck in a soft patch. The Commerce Department said on Wednesday durable goods orders dropped 3.6 percent, worse than economists' expectations for a 2.2 percent fall. March's orders were revised up to a 4.4 percent rise from a 4.1 percent increase.

• Read more

(Reuters) - Shares of American International Group Inc fell more than 3 percent on Wednesday after the insurer and the U.S. Treasury sold $8.7 billion worth of stock. The shares were down 3.3 percent at $28.48 in early trading on the New York Stock Exchange. AIG and Treasury sold 300 million shares for $29 each on Tuesday. The sale by Treasury of 200 million shares reduced its stake in AIG to 77 percent from 92 percent, but it still has 1.5 billion shares left to sell to fully exit its investment.

• Read more

(Reuters) - Global economic recovery is on track, helped by a stronger United States, but threats ranging from high oil prices to European sovereign debt crises could yet combine to create a bout of stagflation, the OECD said on Wednesday. The Paris-based Organization for Economic Co-operation and Development said the U.S. and euro area economies were growing faster than expected in forecasts six months ago, although Japan's economy was set to contract after the March earthquake, tsunami and nuclear crisis.

• Read more

(Reuters) - Regulators launched one of the biggest ever crackdowns on oil price manipulation on Tuesday, suing two well-known traders and two trading firms owned by Norwegian billionaire John Fredriksen for allegedly making $50 million by squeezing markets in 2008. The Commodity Futures Trading Commission (CFTC) said traders James Dyer of Oklahoma's Parnon Energy, and Nick Wildgoose of Europe-based Arcadia Energy, amassed large physical positions at a key U.S. trading hub to create the impression of tight supplies that would boost oil prices.

• Read more

(Reuters) - Treasury Secretary Timothy Geithner said on Wednesday that the economy will face crises after it recovers from the deep recession that officially ended in 2009, but they will be less severe. "I think it's very unlikely you'll see that again. And you're going to see people spending years and years reducing the risk that it will happen. But there will be a crisis in the future, hopefully far in the future," Geithner said in a live interview with Politico.

• Read more

(Reuters) - Italian carmaker Fiat's (FIA.MI) chief executive said on Wednesday postponing the purchase of a stake in Chrysler Group held by the U.S. Treasury would only make any potential deal more expensive. Fiat exercised an option on Tuesday to acquire a further 16 percent of the Detroit-based carmaker bringing its stake to 46 percent following Chrysler's repayment of $7.6 billion in U.S. and Canadian government loans from its 2009 bailout.

• Read more

(Reuters) - The Federal Reserve should begin to hike interest rates in coming months, the Organization for Economic Cooperation and Development said on Wednesday, as it raised its outlook for U.S. economic growth. In its semi-annual forecast, the OECD said it sees U.S. economic growth of 2.6 percent in 2011, up from its forecast last November for growth of just 2.2 percent. The outlook, however, is much lower than the Fed's own "central tendency" estimates, which as of April 27 pegged growth for this year in the 3.1 percent to 3.3 percent range.

• Read more

(Reuters) - Oil was slightly lower on Wednesday, with Brent crude stalled just under $113 a barrel, as concern about weak gasoline demand ahead of the U.S. driving season and a rebounding U.S. dollar weighed on prices. U.S. crude oil inventories have fallen less than expected, renewing fears high prices are cutting into gasoline consumption in the country, where the start of the driving season will be officially marked by Memorial Day this weekend.

• Read more

(Reuters) - The U.S. Treasury made a small profit when it sold a portion of its shares in American International Group Inc on Tuesday, but it was unclear how its investment in the beleaguered insurer will ultimately fare. The shares were sold for $29 apiece, just above the $28.73 average price the Treasury will need to break even on its record bailout of AIG during the financial crisis.

• Read more