Government

Personal income rose $42.3 billion in July but consumer spending increased $46.0 billion, the Bureau of Economic Analysis reported Thursday. The increase in income 0.3 percent topped expectations of a 0.3 percent boost, and the 0.04 percent increase in spending also met economist expectations.

First time claims for unemployment were unchanged at 374,000 for the week ended August 25, the Labor Department reported Thursday after revising upward by 2,000 the prior week's originally reported 372,000 claims. Economists surveyed by Bloomberg had expected 370,000 initial claims.

Five months after the nation's top five servicers settled with the states attorneys general and several federal agencies to address iniquities in foreclosure processes, Joseph A. Smith, Jr., the settlement monitor, released a preliminary report to inform the public of the servicers' progress so far. Thus far, the five servicers - Bank of America, JPMorgan Chase, Wells Fargo, Citigroup, and Ally Financial - offered $10.56 billion in relief to borrowers and have implemented between 35 and 72 percent of the 304 servicing standards detailed in the national settlement.

Wells Fargo announced it has made progress in meeting requirements to offer homeonwers relief as outlines by the national mortgage servicing settlement. The company stated in a release that it has helped more than 27,000 homeowners under the settlement terms, and it estimates it has fulfilled about 35 percent of its $4.3 billion consumer relief and refinance commitment.

The nation's economy expanded gradually from early July through mid-August, the Federal Reserve reported Wednesday in its periodic Beige Book. The description of the economy, drawn from reports from each of the 12 Federal Reserve Districts, differed from the usual tone of Beige Books, which have recently described economic growth as ""modest"" or ""moderate."" Housing markets across most districts, the Beige Book said, showed ""signs of improvement, with sales and construction continuing to increase.""

The California State Department of Real Estate (DRE), which is responsible for licensing and regulating activities of real estate brokers and salespersons, had to take action against more license holders compared to the previous year.

The U.S. economy grew in the second quarter at 1.7 percent, slightly faster than the originally estimated 1.5 percent, the Bureau of Economic Analysis reported Wednesday. At the same time, BEA reported the second quarter grew at a meager 0.5 percent from the first quarter, but an improvement from the 2.7 percent drop in corporate profits registered in the first quarter. Profits in the financial sector though fell more than 9 percent.

As bank failures dwindle, FDIC institutions continue to see their own coffers swell, with an agency report finding that banks with government guarantees earned $34.5 billion over the second quarter. The FDIC also noted fewer ""problem"" institutions for the fifth consecutive quarter. Those identified as problems fell from 772 to 732, making this year one for the smallest problem banks since fourth-quarter 2009. Assets for institutions on the decline fell from $292 billion to $282 billion. And banks seemed to sweat a little less over the last quarter.

New York-based GFI Mortgage Bankers Inc., reached a $3.5 million settlement with the Department of Justice regarding discriminatory lending practices Tuesday.

Five new faces joined the board of directors at the Office of Mortgage Settlement Oversight on Monday. The five include former banking commissioners, politicians, attorneys, and academics, with Mississippi banking commissioner John Allison and former North Carolina Gov. James Holshouser notably joining the board.