The $25 billion Bank Term Funding Program was necessary to prevent a much larger crisis that would spread through the financial channel to the real economy and almost certainly tip the economy into recession.

Investments in business equipment posted a sharp rebound in January after two consecutive months of disappointing declines.

The forward market now anticipates a 5.25% terminal rate for the federal funds rate at the Fed's June meeting and then a gradual unwinding just below 4%.

The surge in inventories raises the risk that firms will be caught with excess supplies just as demand begins to slow down this year.

Both producer inflation and jobless claims came in stronger than expected in the most recent government reports released on Thursday. The data adds further pressure on the Federal Reserve as it aims to steer the economy toward a soft landing.

As the stand-off over raising the nation’s debt ceiling drags on, a rational discussion of the issues at play has often been lost amid the political rhetoric.