al-Qaida planning 'spectacular' attack warns FBI

The FBI has warned that al-Qaida is likely to attempt a “spectacular” attack intended to inflict large-scale casualties and damage the US economy.

The warning was circulated to law enforcement officials despite a lack of specific credible evidence. It has not led the Bush administration to raise the terrorist threat level above code yellow, or “elevated,” which is the middle of a five-point scale of risk developed after the 9/11 attacks.