U.S jobless claims shot up to its highest level in five years with first-time claims of up to 448,000.This unusual surge has been blamed on a new law which extends the number of weeks unemployed U.S. workers can collect jobless benefits.

The U.S. Federal Reserve Board members have surely lost their share of sleep over the past couple of months and they are about to lose more. Last month the Feds cut interest twice in hope of stemming off inflation and slowing the mortgage fiasco that has gotten a grip on the U.S. economy but the plan backfired.

Ed Zander, a chief executive of Motorola Inc., will step down on Jan. 1, the company said. Zander, 60, will be replaced by President and Chief Operating Officer Greg Brown as CEO.