The Federal Reserve Board on Monday adopted a rule that stops it from bailing out individual companies, a change that Congress demanded after the central bank's controversial decision to help rescue American International Group and others during the financial crisis. The rule is designed to help end the notion of individual financial companies being "too big to fail," by allowing the Fed to rescue only the broader financial system instead of individual companies. Under the rule, the Fed can make emergency loans that can potentially be used by at least five companies, but it cannot make more ad hoc rescues like its efforts to save AIG during the crisis.
FBI agents on Monday arrested a black student who allegedly threatened to shoot 16 whites -- one for each bullet that hit a teen in a notorious police shooting. The online threat caused the University of Chicago to close its doors and was only the latest racially charged incident to trouble the US city in recent weeks. Jabari Dean, 21, has allegedly admitted to posting the threat after federal agents traced it to his home in the city.
Online sales for the key holiday retail day of "Cyber Monday" were on track for a record, helped by surging smartphone shopping, market trackers said. The Adobe Digital Index showed that sales in the first 10 hours of the day were $490 million, up 14 percent from a year ago. The big jump in online sales may have caught some retailers off guard.