Wall Street's second-quarter swoon began when the Federal Reserve began to hint that it would pare back its bond-buying program sooner rather than later. Bonds tumbled and gold endured its worst quarter since at least 1968. But in the broader economy, the economic indicators point to continued growth, albeit sluggish.
Fed chief Bernanke spooks the markets with comments that Fed's bond-buying could slow later this year. Dow drops, housing and jobless claims rise – this week in the economy.
Tesla recall involves a limited number of Model S vehicles for an issue with the back-seat mounting. This is the first recall for Tesla's new Model S, and its handling of the issue is an opportunity for the nascent company to build its reputation for transparency and customer service.
US construction is starting to fall in line with the rest of the recovering housing market – housing starts rose 6.8 percent in May, with multifamily homes leading the charge. The numbers are promising, but below analysts' expectations.
Jeep recall of 2.7 million vehicles at risk for catching fire during collisions was finally agreed to by Chrysler. The company intially refused when the NHTSA requested the Jeep recall, even though the issue has been linked to 51 deaths.
Retail sales surged 0.6 percent last month, on the strength of auto sales and building materials. Also this week, stock prices swing wildly as core wholesale prices suggest tame inflation and manufacturing slows.
Retail sales rose 0.6 percent in May, beating analysts' expectations and hinting at stronger economic growth in the second quarter of 2013. Auto sales, which gained 1.2 percent, lent the biggest boost to May retail sales.
US adds 175,000 jobs in May, in line with expectations but not enough to reduce the unemployment rate. Elsewhere in the economy, manufacturing and construction disappoint, but jobless claims fall.
Stock plunge in final hour could be due to portfolio rebalancing and automated trading of stocks, analysts say, which could have exaggerated the market's losses. Also this week in the economy: GDP disappoints, jobless claims rise, but consumers are upbeat.