As fears of a recession intensified, the Federal Reserve cut the federal funds rate 0.75 percent Tuesday. A finance journalist from the Wall Street Journal discusses the rate cut and the markets' response.

Treasury Secretary Henry Paulson called for tougher rules for mortgages lenders Thursday, while investment fund Carlyle Capitol faced collapse after defaulting on $16 billion in debt as a string of new reports this week signaled continued weakness in the U.S.