(Reuters) - The number of Americans filing for jobless aid rose to an eight-month high last week and productivity growth slowed in the first quarter, clouding the outlook for an economy that is struggling to gain speed. While the surprise jump in initial claims for unemployment benefits was attributed to factors ranging from spring break layoffs to the introduction of an emergency benefits program, economists said it corroborated reports this week indicating a loss of momentum in job creation.

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(Reuters) - The U.S. Treasury and the banks working on the sale of the government's stake in bailed-out insurer American International Group (AIG.N) are at odds over how low to price the first sale of stock, CNBC reported on Thursday. The network, citing sources, said the Treasury wanted a price around $31.50 per share, while underwriters were pushing to go as low as $25 per share, arguing the lower price would encourage a larger overall sale.

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(Reuters) - U.S. retailers warned of rising costs and cautious consumers even as a late Easter boosted sales of clothing and other holiday-related items in April, helping many beat sales expectations. Gasoline pushing above $4 a gallon and a slow recovery in the job market are also likely to weigh on sales for the next several months, with no major events to spur shopping until the key back to school season, analysts said.

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(Reuters) - In the wake of the financial crisis, regulators are strengthening their ability to spot fault lines in the financial system, rather than focusing exclusively on specific companies, Federal Reserve Chairman Ben Bernanke said on Thursday. "The financial crisis demonstrated clearly that supervisory and regulatory practices must consider overall financial stability as well as the safety and soundness of individual firms," Bernanke said in comments prepared for delivery to a conference.

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(Reuters) - European Central Bank President Jean-Claude Trichet signaled on Thursday that euro zone interest rates are unlikely to rise next month but left the door firmly open for an increase in July. Trichet did not use the phrase "strong vigilance" at a news conference which followed the ECB's decision to leave rates at 1.25 percent, after raising them in April to end two years of crisis-induced loose policy.

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(Reuters) - Cisco Systems Inc (CSCO.O) will streamline its sales, services, and engineering organizations and refocus around five growth markets, in a significant restructuring at a company which had admitted it lost its way. The technology bellwether, which has recently posted a string of disappointing results, said on Thursday that it aims to make significant changes all during the next 120 days ahead of its next fiscal year starting July 31.

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(Reuters) - Portugal signed up to a "tough but fair" 78-billion-euro international bailout plan on Thursday which will send it into recession for two years with a recovery only likely in 2013, European Union and IMF officials said. The rescue deal is the culmination of several weeks of turmoil, which led to the government's collapse and soaring borrowing costs, forcing Portugal to become the third euro zone member to seek financial aid after Greece and Ireland.

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(Reuters) - A $9 billion, 100-plane order from the leasing arm of U.S. insurance group AIG has lifted Airbus above Boeing in new jetliner sales this year, putting pressure on its rival to clarify its next plane design. Fueled by a turnaround from the worst aviation recession in memory, the two planemakers are battling for control of the next stage of a $1.7 trillion market for 100-200 seat planes favored by low-cost airlines and traditional carriers on medium routes.

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(Reuters) - Brent crude fell by more than $4 to near $117 a barrel on Thursday as fund managers and traders pulled money from across commodities markets on concerns about interest rate rises and demand destruction. At 1318 GMT, Brent crude futures for June were down $3.95 to $117.24, after dipping to an intraday low of $116.55. U.S. crude for June was down $3.45 to $105.79 a barrel after falling more than $4 to an intraday low of $105.11.

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(Reuters) - U.S. stocks fell on Wednesday as investors took profits in energy and other top-performing sectors for a third day, casting doubt on how much longer the market's rally may continue. Adding to the bearish tone, economic data on private-sector jobs and the services sector were weaker than expected. The S&P energy sector .GSPE, which rose 34 percent since September, was down 2.2 percent on Wednesday, while materials .GSPM fell 2.3 percent and industrials .GSPI lost 1.6 percent.

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