United States Federal Reserve chairman Alan Greenspan said early today there was no effort under way to launch a co-ordinated round of interest rate cuts among major countries to deal with the widening financial crisis. Mr Greenspan's remarks and the fact that he did not even mention interest rates in his prepared testimony to the House Banking Committee lowered expectations that the central bank was prepared to move quickly to cut US rates. 'I can safely say that at the moment there is no endeavor to co-ordinate interest rate cuts,' Mr Greenspan said. However, he did not close the door on future co-ordinated efforts to keep the global economy from dipping into a recession, saying that US officials were in close touch with finance officials in other countries. In his testimony Mr Greenspan warned of illusory gains from imposing controls on capital and free trade, saying they would ensure a shortage in foreign investment in future. He also warned economies against presuming that controls could be imposed temporarily and then removed without doing damage to an economy. 'Participants in the international financial system carries with it an obligation to maintain a level of stability, strong and transparent institutions and rules if it is to compete effectively,' he said. He warned that the solution was not to turn back reforms but to strengthen domestic institutions. Meanwhile, the latest industrial production figures showed that the American economy is strong despite the problems afflicting other major economies around the world. Production during August jumped 1.7 per cent to its strongest level in 14.5 years and well above estimates.