Hundreds arrested in Iowa raid

CEDAR RAPIDS, Iowa -- Federal immigration agents raided a northeastern Iowa meat processing plant Monday, arresting more than 300 people and housing many of them at a converted fairgrounds.

The raid of the Agriprocessors Inc. plant in Postville was the largest in state history and had been planned for months, said U.S. Attorney Matt M. Dummermuth.

Apple: iPhone sold out online in US, UK

SAN FRANCISCO -- Apple Inc. said Monday its online stores in the U.S. and U.K. are sold out of the iPhone, a sign supplies are being winnowed ahead of the launch of the device's next generation featuring faster Internet surfing speeds.

The Cupertino-based company confirmed that the iPhone is out of stock online, but added that brick-and-mortar stores run by Apple and iPhone carriers including AT T Inc. might still have units available. Apple has been known for clearing out its inventory of a certain product ahead of a major upgrade.

Mortgage cos. reveal housing crisis damage

NEW YORK -- Broad damage in the mortgage industry was in full view Monday as a number of companies posted dismal first-quarter earnings, but there was also some hope that the worst of the housing crisis is over.

Investors bid up shares of mortgage lenders and insurers despite billions in losses from a sustained housing downturn in the U.S.

Shares of bond insurer MBIA Inc., and mortgage insurers PMI Group Inc. and Radian Group Inc., all rose Monday, though shares of lender IndyMac Bancorp Inc. tumbled nearly 11 percent after warning of a rough year ahead.

China's inflation rises near 12-year high

BEIJING -- China's inflation almost climbed to a 12-year high in April, swamping official efforts to cool surging living costs that could provoke unrest ahead of the Beijing Olympics.

The government, which took further steps Monday to tame the inflation, faces the possibility of more sharp price hikes, some analysts warned.

The government ordered banks to increase their reserves for a fourth time this year in a move meant to contain inflation by curbing lending, but it gave no indication whether it would boost interest rates.