With Washington gripped by a widening Secret Service scandal, reporters just couldn’t steer clear of the salacious story. Soon after spokeswoman Victoria Nuland saluted the handful of underage observers, the questions moved to charges that Secret Service agents and other government workers cavorted with strippers and prostitutes while on overseas assignments. Nuland lamented the topic du jour and one Department employee jokingly moved to cover his daughter’s ears.

The roughly half-dozen kids were models of decorum. There they sat, on the sidelines of the briefing room, staring down at the floor. None asked a question. But they might have been thinking “Mom, Dad, when we get home tonight, you’ll have some explaining to do.”

Here are our top stories from Washington…

US on guard for attacks ahead of bin Laden anniversary – President Obama has reviewed potential threats to the United States ahead of the anniversary next week of the killing of Osama bin Laden, but there is no concrete evidence that al Qaeda is plotting any revenge attacks, the White House said. Bin Laden’s killing last year by U.S. commandos is touted by the Obama administration as one of his top accomplishments and it may help inoculate the president from Republican election-year claims that he is weak on national security.  For more of this story by Alister Bull, read here.

Biden knocks Romney for “back to the future” foreign policy – Vice President Joe Biden blasted Mitt Romney’s foreign policy vision as backward-looking and tied to George W. Bush, hammering the presumptive Republican nominee for thinking like a CEO and not like a commander in chief. The remarks were Biden’s latest attempt to define Romney as out of touch with Americans, and his foreign policy critique marked a shift from the Obama campaign’s focus on economic and domestic differences with the president’s Republican rival.  For more of this story by Jeff Mason, read here.

Republican Ryan cites pope to defend budget cuts – Invoking Pope Benedict, Republican Representative Paul Ryan defended his budget plan on Thursday at Georgetown University, where a group of the Jesuit institution’s faculty has accused him of misusing Catholic teachings to push cuts to programs that serve the poor. “The overarching threat to our whole society today is the exploding federal debt,” Ryan said, speaking in a Gothic, oak-paneled auditorium on the Georgetown campus.  For more of this story by David Lawder, read here.

Lawmaker: Secret Service expands misconduct probe to El Salvador – The Secret Service is examining a new report of alleged misconduct by agents at an El Salvador strip club ahead of a trip there last year by President Obama, a senior lawmaker said. Representative Peter King, a Republican who chairs the House Homeland Security Committee, said in a statement that the review is part of an extensive investigation the Secret Service is conducting in the aftermath of an incident involving prostitutes in Columbia. For more of this story by Susan Cornwell and Tabassum Zakaria, read here. For a related story from Brazil, read here.

At US State Department, kids get sex scandal primer – Children participating in the State Department’s “Take Your Child to Work” day event on Thursday were treated to a discussion of prostitutes and strip clubs as reporters pressed for answers on a widening Secret Service scandal. For more of this story, read here.

As Supreme Court mulls healthcare, rumors fly – This week the U.S. Supreme Court wrapped up the last oral arguments of its current term. Now comes the nationwide angst of waiting – as long as two months – for decisions, particularly the one that will resolve the most high-stakes and closely watched case of the year: the challenge to the Obama-sponsored healthcare law. For of this story by Joan Biskupic, read here.

Sierra Club to fight Dominion hub using 1972 deal – The Sierra Club will try to use a 40-year-old legal settlement to scuttle plans by Dominion to convert a liquefied natural gas terminal in Maryland into a major export hub. The Sierra Club says that under that settlement, it has a say over whether Dominion can convert an import terminal at Cove Point, near a state park, into an export plant. Dominion’s CEO disagreed with that view during a conference call with analysts on Thursday. For more of this story by Ayesha Rascoe, read here.

Republican urges Obama push on Russia trade bill – A top Republican lawmaker pressed President Obama to intensify efforts to win approval of a controversial trade bill with Russia and said separate human rights legislation might be needed to help round up votes. “It is time for the White House to get out front on this issue,” Dave Camp, chairman of the House of Representatives Ways and Means Committee, said in a speech at the Center for Strategic and International Studies. For more of this story by Doug Palmer, read here.

Volcker backers to regulators: Stiffen your spines – Leading congressional advocates of the Volcker rule crackdown on Wall Street trading urged regulators to finish a strong, final rule by this summer despite fierce industry opposition. A final rule is due by July 21 but several regulators, including Federal Reserve Chairman Ben Bernanke, have said that deadline is unlikely to be met as they sift through the hundreds of letters they received in response to an October proposal. For more of this story by Dave Clarke, read here.

Study: US health insurers to pay $1.3 bln in rebates – Health insurers will pay $1.3 billion in rebates to consumers and employers this year under a provision of President Obama’s healthcare reform law that penalizes plans that devote too little of their premium revenues to health services, an independent study showed. For more of this story by David Morgan, read here.

From elsewhere…

Falling U.S. home prices drag new buyers under water – More than 1 million Americans who have taken out mortgages in the past two years now owe more on their loans than their homes are worth, and Federal Housing Administration loans that require only a tiny down payment are partly to blame. That figure, provided to Reuters by tracking firm CoreLogic, represents about one out of 10 home loans made during that period. It is a sobering indication the U.S. housing market remains deeply troubled, with home values still falling in many parts of the country, and raises the question of whether low-down payment loans backed by the FHA are putting another generation of buyers at risk. For more of this story, read here.

U.S. Republican presidential candidate Newt Gingrich bows his head in prayer before speaking at First Redeemer Church while on a campaign tour in Cumming, Georgia, February 26, 2012. REUTERS/Tami Chappell

Earth calling Newt: When the biggest news of your presidential campaign is the penguin biting your hand at the zoo, it’s probably time to pack it in.

Even though Newt Gingrich’s odds of winning the Republican nomination were about as long as those of realizing his dream for a moon colony, the 68-year-old seemed to enjoy himself to the end. “I never got the sense that he was quote-unquote down,” said adviser Charlie Gerow. “I got the sense on a couple of occasions that he was tired. Really tired.” And really in debt. His campaign spent $4.3 million more than it brought in.

For all his offbeat ideas, Gingrich did bring a dose of seriousness to this campaign. With some stellar debate performances and a deep knowledge of politics and history, he probably made Mitt Romney and Rick Santorum study more and work harder to win support.

Members of the media, targets of some of his most vicious attacks, may not miss Newt much. But there’s no denying that, for the world of news, Gingrich was the gift that kept on giving, right up to his encounter with a penguin.

Here are our top stories from Washington…

US high court appears to back Arizona on immigration – Conservative justices who hold a majority on the Supreme Court appeared to endorse Arizona’s immigration crackdown, rejecting the Obama administration stance that the federal government has sole power over those who illegally enter the United States. During 80 minutes of oral arguments, the justices suggested by their questions and comments that states have significant latitude to adopt laws that discourage illegal immigrants from moving to and staying in the country. For more of this story by James Vicini and Joan Biskupic, read here.

Fed stands pat but says will act if needed – Federal Reserve Chairman Ben Bernanke on Wednesday said U.S. monetary policy is “more or less in the right place” even though the central bank would not hesitate to launch another round of bond purchases if the economy were to weaken. In a statement after a two-day meeting, the Fed’s policy-setting panel reiterated its expectation that interest rates would not rise until late 2014 at the earliest, and it took no action on monetary policy. For more of this story by Pedro Nicolaci da Costa and Mark Felsenthal, read here. For related video, click here.

Gingrich to quit White House race after stormy bid – Newt Gingrich is quitting the Republican presidential contest after a tumultuous campaign that saw him go from longshot to front-runner and back again. The final blow for the former House of Representatives speaker came on Tuesday night, when rival Mitt Romney easily won primary victories in five northeastern states that crowned him as the presumptive Republican nominee. -  For more of this story by Sam Jacobs, read here.

Can cash-strapped US cities afford the 2012 election? – The economy looms large over November’s general election in a basic way for strapped cities and counties: can they afford it? With cities and counties across the United States in dire financial straits, many local officials are struggling to come up with the millions of dollars they will need to hold the elections. That is likely to mean fewer election workers and long lines for voters, which could reduce turnout. For more of this story by Patricia Zengerle, read here.

Napolitano : Prostitute scandal posed no risk to Obama – President Obama’s safety was not jeopardized by the actions of Secret Service agents who brought prostitutes back to a Colombia hotel on the eve of his arrival, Homeland Security Secretary Janet Napolitano assured a Senate committee. For more of this story by Tabassum Zakaria and Susan Cornwell, read here.

Obama: Romney can’t disown conservative views for election – President Obama, seeking to sharpen contrasts with Mitt Romney, said his presumptive opponent in the November election won’t be able to disavow conservative views he embraced in the race for the Republican presidential nomination. For more of this story by Matt Spetalnick, read here.

SEC’s Schapiro says agency still probing Lehman – The SEC is still probing Lehman Brothers more than three years after the investment bank collapsed during the global financial crisis, agency chairman Mary Schapiro said. Schapiro told lawmakers it would be inappropriate to comment on a matter that “remains under investigation,” but assured lawmakers that the SEC has conducted interviews with management at the highest levels and has reviewed millions of pages of documents. For more of this story by Sarah N. Lynch, read here.

Military to review course teaching ‘US at war with Islam’ – The top military officer ordered a review of training material after a course for officers was found to espouse the view that the United States is at war with Islam, the Pentagon said. For more of this story by Missy Ryan, read here.

U.S. seeks to re-engage Pakistan with envoy visit – The Obama administration’s top envoy for Pakistan will arrive in Islamabad for two days of meetings aimed at resetting the two countries’ fractious relationship after a series of damaging setbacks. For more of this story by Andrew Quinn, read here..

From elsewhere…

George Zimmerman: Prelude to a shooting – A pit bull named Big Boi began menacing George and Shellie Zimmerman in the fall of 2009. The first time the dog ran free and cornered Shellie in their gated community in Sanford, Florida, George called the owner to complain. The second time, Big Boi frightened his mother-in-law’s dog. Zimmerman called Seminole County Animal Services and bought pepper spray. The third time he saw the dog on the loose, he called again. An officer came to the house, county records show. “Don’t use pepper spray,” he told the Zimmermans, according to a friend. “It’ll take two or three seconds to take effect, but a quarter second for the dog to jump you,” he said. “Get a gun.” For more of this story, read here.

The challenge to Arizona’s tough immigration law may have the justices thinking about their own families’ origins and journeys to America. As Reuters reports today, nearly all of them, like their countrymen, descend from people who came looking for a better life (the notable exception is Justice Clarence Thomas whose great-grandmother was a slave).

The justices of the U.S. Supreme Court seen in a October 8, 2010 group portrait. Seated from left to right in front row are: Associate Justice Clarence Thomas, Associate Justice Antonin Scalia, Chief Justice John G. Roberts, Associate Justice Anthony M. Kennedy, Associate Justice Ruth Bader Ginsburg. Standing from left to right in back row are: Associate Justice Sonia Sotomayor, Associate Justice Stephen Breyer, Associate Justice Samuel Alito Jr., and Associate Justice Elena Kagan. REUTERS/Larry Downing

Their ancestral stories may not tell us how they feel about illegal immigration or whether they will rule in favor of Arizona. But they are clearly a point of pride in their biographies and were often cited in nomination hearings.

Take Justice Samuel Alito, who referred to the experience of his own father, brought to the United States from Italy as an infant. It “is typical of a lot of Americans both back in his day and today. And it is a story, as far as I can see it, about the opportunities that our country offers, and also about the need for fairness and about hard work and perseverance and the power of a small good deed.”

Here are our top stories from Washington…

U.S. eyes options to restart Afghan peace talks – President Obama’s administration, seeking to revive stalled Afghan peace talks, may alter plans to transfer Taliban detainees from Guantanamo Bay prison after its initial proposal fell afoul of political opponents at home and the insurgents themselves. For more of this exclusive story by Missy Ryan, read here.

SEC probes movie studios over dealings in China – Regulators are investigating major movie studios’ dealings with China as the entertainment companies try to get a greater foothold in one of the fastest-growing movie markets in the world. For more of this exclusive story by Aruna Viswanatha, read here.

Mad cow disease found in California; USDA says no human threat – The USDA confirmed a California dairy cow had mad cow disease, or bovine spongiform encephalopathy, the fourth such U.S. case since it was first found here in 2003, but said no parts of the animal entered the nation’s food supply. John Clifford, the USDA’s chief veterinary officer, said there was “no cause for alarm” from the animal, which was found at a rendering plant that processes diseased or sick animals into non-edible products for use in things like soap or glue.  For more of this story by Roberta Rampton, read here.

State attorneys general: New Republican power – In the ornate Chinese Ballroom of Washington’s Mayflower Hotel, nine Republican state attorneys general gathered last month at a long, white-cloth covered table for an unusual news conference. One by one, as TV news cameras rolled, they catalogued their many lawsuits against President Barack Obama’s administration. When it came to Arizona Attorney General Tom Horne’s turn, he said, “We have eight lawsuits.” One of those, defending Arizona’s new law requiring police officers to check the papers of anyone they suspect is in the U.S. illegally, will be heard by the U.S. Supreme Court on Wednesday. For more of this analysis by Joan Biskupic, read here.

How the Supreme Court justices came to America – On Wednesday, the Supreme Court will close out the 2011-2012 term with another controversial case: Arizona v. United States, which challenges Arizona’s crackdown on illegal immigrants. The case will be heard by nine justices, each of whom has his or her own immigration story. There is geographic reach — from the British Isles to Russia to Puerto Rico — and also generational, with some members of the bench tracing their roots to pre-Revolutionary times. For more on this story, read here.

Senate Democrats plan immigration backup bill – Democrats in the Senate are preparing a backup plan to thwart sweeping immigration laws in Arizona and other states if the nation’s top court supports the hotly debated measures.  For more of this story by Susan Heavey, read here.

Obama stresses own struggles paying student loans – Describing his own struggle to pay off college debt and taking another dig at his likely White House rival’s wealth, President Obama sought to expand his advantage with young voters with a call to make education more affordable. “I didn’t just read about this. I didn’t just get some talking points about this. I didn’t just get a policy briefing on this. Michelle and I, we’ve been in your shoes,” he told students at the University of North Carolina at Chapel Hill. For more of this story by Jeff Mason, read here.

Gingrich to reassess bid for U.S. Republican nomination – Tuesday could be the final stop of Newt Gingrich’s wild ride of a presidential campaign. The Republican candidate told NBC News he would reassess his candidacy depending on his finish in Delaware, one of five northeastern states holding presidential primaries Tuesday, and the state where Gingrich has campaigned most heavily. For more of this story by Sam Jacobs, read here.

Obama calls misbehaving Secret Service agents “knuckleheads” – President Barack Obama on Tuesday blamed a Colombia prostitution scandal engulfing the U.S. Secret Service on the misconduct of a “couple of knuckleheads” and insisted that the vast majority of agents perform their work admirably. For more of this story by Jeff Mason, read here.

Senate Democrats close ranks to fight Keystone – Senate Democrats closed ranks to block quick approval of the Keystone XL oil pipeline as they begin negotiations with House of Representatives Republicans on a compromise job-creating transportation construction bill. For more of this story by David Lawder, read here.

Senate heads toward renewal of domestic abuse law – Senate Republicans, accused by Democrats of waging “a war on women,” are expected to yield to election-year pressure as early as this week and help renew a landmark law to combat domestic violence. Many Senate Republicans complain that the White House-backed bill would excessively expand the 1994 Violence Against Women Act by providing protection to gays, immigrants and Native Americans.  For more of this story by Thomas Ferraro, read here.

MF Global judge OKs payout; Freeh says no bonuses – A federal judge authorized the trustee liquidating MF Global’s brokerage unit to distribute as much as $685 million to customers whose accounts had been frozen when the futures brokerage went bankrupt. The payout authorized by U.S. Bankruptcy Judge Martin Glenn in Manhattan is on top of the more than $4 billion that the trustee James Giddens has already distributed, according to the trustee’s spokesman Kent Jarrell. For more of this story by Dave Clarke, Alexandra Alper and Jonathan Stempel, read here.

Kimmel to “feast on stupid comments” at White House dinner – Late-night TV comedian Jimmy Kimmel admits he is anxious about headlining his first White House Correspondents Dinner this coming Saturday, and his self-confessed lack of insight into Washington doesn’t help calm his nerves. The star of ABC’s “Jimmy Kimmel Live!” told Reuters his interest in politics is roughly equal to his interest in sports — and in reality TV star Kim Kardashian. For more of this story by Mary Milliken, read here.

From elsewhere…

North Korea’s nuclear test ready “soon” – North Korea has almost completed preparations for a third nuclear test, a senior source with close ties to Pyongyang and Beijing told Reuters, which will draw further international condemnation following a failed rocket launch if it goes ahead. For more of this exclusive story, read here.

Gasoline drips off a nozzle during refueling at a gas station in Altadena, California in this March 24, 2012 file photo. Picture taken March 24, 2012. REUTERS/Mario Anzuoni

After negotiating a tricky stretch of road, the Obama campaign may be easing into the straightaway in the gas-driven presidential race.

News on Monday of a delay in the planned closure of the largest refinery on the East Coast could mean an end to skyrocketing gas prices. And that would effectively take the wind out of a forceful Republican line of attack — that the president is to be blamed for $4 a gallon gas, arguably the most visible price in the American economy today.

The narrative was working against the president, who currently gets some of his lowest poll marks for his handling of energy prices, even though the causes of higher prices are largely beyond his control. Even so, we shouldn’t expect the Republicans to simply drop the rhetoric.

“Until we are at the point where people don’t feel like they’re squeezing their entire paychecks into the gas tank, it’s an issue that Republicans are going to keep talking about,” said a Senate Republican aide.

Here are our top stories from Washington…

Signs of cheaper gas could brighten Obama campaign – New signs of lower gas prices could give a boost to President Obama’s re-election hopes and blunt a potent weapon that Republicans have used to attack him. News of a month long delay in the planned closure of the largest refinery on the East Coast was the latest indication sky-rocketing gasoline prices may have peaked. Industry experts say keeping Sunoco’s Philadelphia refinery open will ease supply concerns and help underpin a gradual decline in gasoline prices during the summer. For more of this story by Alister Bull, read here.

Rubio campaigns with Romney, raising VP speculation – Popular Florida Senator Marco Rubio campaigned with Mitt Romney, increasing speculation that the conservative Cuban-American might be high on the Republican presidential front-runner’s list of potential vice presidential running mates. Rubio could appeal to some Latinos, a large majority of whom back Democratic President Obama, and he could inspire conservatives who worry Romney is too moderate. But Romney, who said his search is in the “very early stages,” will have to look hard at Rubio’s inexperience on the national stage. For more of this story by Steve Holland, read here.

Obama seeks to stop Syria, Iran tech assault on activists – President Obama unveiled sanctions against those who help Syria and Iran track dissidents through cell phones and computers and said he would keep adding pressure on both governments to prevent mass atrocities. In a sombre speech at the United States Holocaust Memorial Museum, Obama said Damascus and Tehran were monitoring the social media tools that allowed democracy campaigners to organize rallies in the Middle East to plot attacks against opposition groups. For more of this story by Laura MacInnis, read here.

U.S. says has raised N.Korea missile-linked sale with China – The White House said it had raised with China new allegations that a Chinese firm sold North Korea components for a missile transporter showcased in a recent military parade, despite a U.N. ban on such sales. For more of this story, read here.

Colombia scandal implicates 12th military member – A 12th U.S. military service member was linked to the prostitution scandal in Colombia and the Pentagon suspended security clearances of personnel implicated in the events leading up to President Obama’s visit. For more of this story by Phil Stewart, read here.

Without reforms, U.S. retirees to face dwindling funds – Aging baby boomers got some jolting news when the U.S. government said the Social Security retirement program is on track to go bankrupt three years earlier than expected if reforms are not made. For more of this story by Rachelle Younglai and Glenn Somerville, read here.

After the bailout: few fans but no fix for Fannie and Freddie – In considering how to fix the ailing housing market, Republicans and Democrats in Washington have found a rare point of agreement: they would prefer life without failed mortgage giants Fannie Mae and Freddie Mac. But even with agreement that the system is broken, it is unlikely Congress will soon tackle the mammoth task of winding down two entities that have cost taxpayers more than $150 billion since their bailout in September 2008. Fannie and Freddie now support about 60 percent of all new U.S. home loans. For more of this story by Margaret Chadbourn, read here.

Complaint tests US conservative group’s charity status – A conservative group that promotes legislation in state capitals is mainly a lobbying organization and should not benefit from a special tax status meant for charities, a liberal group says in a complaint to the IRS. The complaint challenges the tax-law status of the American Legislative Exchange Council as a not-for-profit charity. That status lets ALEC avoid paying taxes and lets its supporters deduct their contributions. For more of this story by David Ingram and Nanette Byrnes, read here.

US high court won’t hear New York City rent case – The Supreme Court refused to hear a constitutional challenge to a New York City rent stabilization law and regulations that control rent increases and evictions for nearly 1 million apartments. The justices turned down an appeal by a couple, James and Jeanne Harmon, who own and live in a small brownstone building in Manhattan. They claimed three tenants in their building pay government-set rents at 59 percent below market value. For more of this story by James Vicini, read here.

From elsewhere…

Prosecutors call John Edwards manipulative, ambitious – Prosecutors in the criminal campaign finance case against former Senator John Edwards described him as a manipulative politician who refused to let his affair or his mistress’ pregnancy sideline his presidential ambitions. But Edwards’ defense asked jurors to “follow the money,” saying the nearly $1 million in illegal campaign funds he is accused of secretly accepting as he sought the 2008 Democratic nomination instead went to a former campaign aide who used the money to pay for his $1.5 million house. For more of this story, read here.

Republican presidential candidate and former Massachusetts Governor Mitt Romney speaks during a campaign stop in Warwick, Rhode Island April 11, 2012. REUTERS/Brian Snyder

When it comes to U.S. presidents and foreign policy, it’s always been a matter of what they do during crises, rather than what they say on the campaign trail.

Running for president in 2000, George W. Bush campaigned against “nation building.” But the terror attacks on Sept. 11, 2001, changed everything, and Bush wound up launching an invasion of Iraq that led to a decade-long war and redefined U.S. foreign policy.

Now, likely Republican presidential nominee Mitt Romney is talking tough on foreign policy – and seeking to cast Democratic President Barack Obama as naïve and soft. Romney is promising a “more aggressive” approach toward China, Russia and the Middle East. He says he would swiftly brand Beijing a currency manipulator, refuse to concede to Moscow on nuclear issues and put more emphasis on defending Israel from a potential attack by Iran.

Romney says he would ratchet up the financial pressure on Iran through sanctions, while leaving the option of military action on the table. His campaign clearly wants to give the impression that he might prove more willing than Obama to take military action against Iran’s nuclear program.

So would an attack on Iran really be more likely under a Romney administration? That’s unclear.

What is clear is that this is the campaign season, and that Romney’s rhetoric is an effort to diminish Obama’s foreign policy accomplishments, which – as Democrats will remind you – include killing al-Qaeda leader Osama bin Laden. And while Romney is defining a decidedly hawkish foreign policy, it remains uncertain how he would tackle what his own website calls a “bewildering array of threats and opportunities.”

Here are our top stories from Washington…

Romney defines hawkish yet murky foreign policy: As he locks down the Republican nomination for president, Mitt Romney is framing what looks to be a decidedly hawkish foreign policy. But should the former Massachusetts governor defeat President Obama in November, it remains far from clear how he actually would tackle what his own website describes as a “bewildering array of threats and opportunities.” For more of this story by Peter Apps, read here.

Biden attacks ‘Romney Rule’ on taxes for rich: Vice President Joe Biden took direct aim at probable Republican presidential nominee Mitt Romney, accusing him of promoting what amounts to a “Romney Rule” of tax protection for the rich. Biden’s campaign speech in New Hampshire was part of a stepped-up White House effort to paint President Obama’s wealthy Republican challenger as out of touch with the struggles of middle-class Americans. For more of this story by Matt Spetalnick, read here.

U.S. ban on political ads on public TV struck down: A divided appeals court struck down a federal ban on political advertising on public TV and radio stations, a decision that could open the public airwaves to a heavy dose of campaign ads leading up to the November elections. The court said the ban was over broad and that lifting it would not threaten to undermine the educational nature of public broadcast stations. For more of this story by Jasmin Melvin, Jonathan Stempel and Terry Baynes, read here.

Obama, Sarkozy discussed oil market conditions -W.House: President Obama discussed conditions on world oil markets during a video conference with French President Nicolas Sarkozy, the White House said, but declined to say if they talked about the release of strategic reserves. “The president and President Sarkozy agreed to continue their consultations about the tightness in global oil markets, in line with previous conversations,” White House press secretary Jay Carney said during a briefing. For more of this story, read here.

U.S. jobless claims cast cloud on labor market: The number of Americans filing for jobless aid hit a two-month high last week and more applications were received in the prior week than initially reported, suggesting a cooling in the labor market recovery. While economists cautioned against reading too much into the report, saying problems adjusting the data for seasonal fluctuations around Easter may have pushed last week’s figure higher, they said it nonetheless provided a worrying signal. For more of this story by Lucia Mutikani, read here.

Bill Clinton goes to bat in bid to save Exim Bank: Former President Bill Clinton urged Congress to put aside partisan differences and reauthorize the nearly 80-year-old Export-Import Bank, which he said was key to helping the United States expand job-creating exports. The Eximbank, which has its roots in the administration of President Franklin Roosevelt, faces an uncertain future because of opposition from some conservative Republicans. The Eximbank provides direct loans and loan guarantees to help Boeing, General Electric, Caterpillar and many other big and small manufacturers make sales in markets too risky for private banks. For more of this story by Doug Palmer, read here.

Big gap between races in US on Trayvon Martin killing: Americans are deeply divided by race over the killing of unarmed black teenager Trayvon Martin, with 91 percent of African Americans saying he was unjustly killed while just 35 percent of whites thought so, a Reuters/Ipsos poll showed. For more of this story by Deborah Charles, read here.

Graying America gets wired to cut healthcare costs: Baby boomers wired to their iPads and smart phones are giving health experts some new ideas about ways to cut the soaring costs of medical care in graying America. Some of the ideas might sound like “Robo-Granny”. An astronautical engineer at MIT has made a skin-tight undersuit equipped with sensors that can constantly monitor the vital signs of its elderly wearer and feed the data into a computer that fires off health alerts. It was first designed for a landing on Mars. For more of this story by Stella Dawson, read here.

Postal Service processing network too big: GAO report: The Postal Service has more mail-processing facilities, staff and equipment than it needs as mail volumes drop, a government watchdog said in a report calling on Congress to pass legislation that helps the agency address its dire financial situation. “It is now abundantly clear that the postal business model must be fixed given the dramatic and estimated decline in volume, particularly for First-Class Mail,” the GAO said in the report. “If Congress prefers to retain the current delivery service standards and associated network, decisions will be needed about how USPS’s costs for providing these services will be paid.” For more of this story by Emily Stephenson, read here.

From elsewhere…

An image makeover for Myanmar Inc: He’s the flashiest tycoon in one of Asia’s poorest cities, with a canary-yellow Lamborghini parked outside his neoclassical mansion. Tay Za is also one of the most vilified associates of Myanmar’s former junta. The U.S. Treasury has branded him a “notorious henchman and arms dealer,” slapping him with sanctions that froze his assets and blocked his jet-setting family from cities across the globe. Now, as his country starts to open up after decades of military misrule, Tay Za is leading a wave of crony capitalists who are repositioning themselves as the fresh new faces of Myanmar Inc. For more of this story, read here.

A man holds a sign during a March 24 Tea Party Patriots rally in Washington calling for the repeal of the 2010 healthare law. REUTERS/Jonathan Ernst

All that Tea Party support in 2010 for the 87 House Republican freshmen seems to have come with a price — and now it’s time to collect.

Representative Michael Grimm found his office filled with activists wanting to know why he hadn’t done more to slash government spending and why he had voted to raise the U.S. debt limit. He too is frustrated, the former Marine told them, but you just can’t shut down government and stop paying the soldiers.

There is Tea Party talk that the freshmen have become corrupted by Washington and part of the bureaucratic fabric that they very much despise. By one account, two-thirds of the freshmen have compromised while only 20 or so have maintained the zero tolerance Tea Party line on spending.

Alas, the Tea Party could end up giving the Republican freshman class of 2010 more grief than the Democrats heading toward the November elections. If 2010 was the year the Tea Party emerged as a political force in Washington, 2012 will be the year that determines whether the movement can live with itself on Capitol Hill.

Here are our top stories from Washington…

• White House campaign opens with sharp attacks: President Obama and Republican challenger Mitt Romney fired a series of sharp attacks at each other as they opened a seven-month battle for the White House that is getting ugly fast. Both campaigns moved quickly to frame the choice for voters after Romney’s chief rival, Rick Santorum, dropped out, giving the former Massachusetts governor a clear path to the Republican nomination to challenge Obama in November’s election. For more of this story by John Whitesides, read here.
• Conservatives are expected to rally around Romney in spite of misgivings. For video, click here.
• House Republican freshmen feel heat from all sides: Representative Michael Grimm’s office was filled with conservative Tea Party activists one day last month and they weren’t happy. Why, they asked, hadn’t the first-term lawmaker done more to slash government spending? Why had Grimm broken ranks with the Tea Party by voting to raise the debt limit? The scene was indicative of the pressure facing many House Republican freshmen as they seek re-election nearly two years after they swept into Washington and helped change the national debate on government spending. For more of this analysis by Thomas Ferraro and Sam Jacobs, read here.
• Energy costs stir worries in US economic expansion: Economic activity kept growing moderately in the late winter months but rising energy prices were beginning to worry manufacturers and retailers across the country, the Federal Reserve said. Positive signs included stronger manufacturing activity, steady hiring and improved retail business in much of the country. But overlying that was a sense of concern that costlier energy and rising gasoline prices were a threat. For more of this story by Glenn Somerville, read here.
• U.S. civilian courts await extradited militants: When the Obama administration declared it wanted to put suspects involved in the Sept. 11, 2001, attacks on trial in a New York federal courtroom, cries of outrage erupted. But when it comes to the cases of five alleged top militants whose extradition from Britain to the United States a European human rights court approved on Tuesday, the White House will have no choice. British and U.S. officials said the Obama administration had given ironclad assurances that the five militants would be tried in the federal court system, and they would not face a potential sentence of capital punishment. For more of this analysis by Mark Hosenball, read here.
• Middle East mediators seek to revive peace talks: Middle East peace mediators criticized Israeli settlement building and called on donors to meet aid pledges to the Palestinians as they sought to revive moribund peace talks. The so-called Quartet – the EU, Russia, the UN and the United States – said they stood behind their Sept. 23, 2011 call for the parties to reach a peace deal by the end of 2012, an objective that seems increasingly remote. For more of this story by Arshad Mohammed, read here.
• U.S. sues Apple, publishers in e-book price scheme: Apple and publishers Penguin and Macmillan have decided to fight government charges that they conspired to fix the prices of e-books, even as three other publishers agreed to a settlement aimed at lowering prices for consumers. The settlement reached with three of the publishers will allow Amazon.Com and Barnes & Noble to resume discounting books, and will terminate the “most favored nation” contracts with Apple. For more of this story by Diane Bartz and Poornima Gupta, read here.
• US military sets goal to cut power grid dependence: The Obama administration set a goal of building three gigawatts of solar, wind, and geothermal power capacity on military installations by 2025 that could require about $20 billion in private financing. “We are doing it not principally to be green, we’re doing it principally to provide greater security for our installations,” an administration official told reporters in a teleconference. For more of this story by Timothy Gardner, read here.
  
• U.S. consumer website helps factor college costs: With many students eagerly waiting to find out which college they will be attending in the fall, the consumer watchdog is offering a sober reminder: loans for tuition are expensive. The Consumer Financial Protection Bureau unveiled an online tool to compare tuition costs at various colleges and determine how much monthly payments would be on student loans. The calculator assumes four-year and two-year degree programs and a 10-year repayment period that would begin after graduation. For more of this story by Dave Clarke, read here.

From elsewhere…

• Trayvon Martin shooter arrested, charged with murder: A Florida prosecutor filed a murder charge on Wednesday against the neighborhood watch volunteer who shot and killed unarmed, black teenager Trayvon Martin in a case that has captivated the United States and prompted civil rights demonstrations. For more of this story, read here.