Stock futures build on "cliff" rally ahead of data

NEW YORK (Reuters) - Stock futures advanced on Thursday, building on the previous session's steep gains, on expectations of progress toward reaching a fiscal agreement in Washington.

* Markets will continue to focus on discussions in Congress to avoid big spending cuts and tax hikes - dubbed the "fiscal cliff" - and equities may retreat, as they did Tuesday, if the upbeat negotiation environment in Washington shifts.

* Investors await data, including the second estimate of third-quarter gross domestic product, due at 8:30 a.m. ET (1330 GMT). Economists in a Reuters survey forecast a 2.8 percent annualized pace of growth, compared with a 2.0 percent rate in the first estimate.

* The Commerce Department will issue preliminary corporate profits for the third quarter at 8:30 a.m. (1330 GMT). At the same time, the Labor Department will release first-time claims for jobless benefits; 390,000 new filings are forecast, compared with 410,000 in the prior week.

* The yield on Italy's 10-year bonds fell to the lowest in two years at an auction, amid relief that immediate risks over Greece had diminished.

* S&P 500 futures rose 8.6 points and were above fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures rose 78 points, and Nasdaq 100 futures added 19.5 points.

* Also due for release Thursday are pending home sales for October at 10:00 a.m. (1500 GMT) and the Federal Reserve Bank of Kansas City November manufacturing survey at 11:00 a.m. (1600 GMT).

* Tiffany shares tumbled more than 12 percent in premarket trading after the upscale jeweler reported quarterly results and lowered its full-year sales and profit forecasts.

* Kroger , the biggest U.S. supermarket operator, is also due to report third-quarter earnings.

* On Wednesday, the Dow Jones industrial average <.dji> rose 106.98 points, or 0.83 percent, to 12,985.11. The S&P 500 <.spx> gained 10.99 points, or 0.79 percent, to 1,409.93. The Nasdaq Composite <.ixic> added 23.99 points, or 0.81 percent, to close at 2,991.78.

(Reporting by Rodrigo Campos; Editing by Bernadette Baum)

Read More..

U.N. set for implicit recognition of Palestinian state, despite U.S., Israel threats

UNITED NATIONS (Reuters) - The U.N. General Assembly is set to implicitly recognize a sovereign state of Palestine on Thursday despite threats by the United States and Israel to punish the Palestinian Authority by withholding much-needed funds for the West Bank government.

A Palestinian resolution that would change the Palestinian Authority's U.N. observer status from "entity" to "non-member state," like the Vatican, is expected to pass easily in the 193-nation U.N. General Assembly.

Israel, the United States and a handful of other members are planning to vote against what they see as a largely symbolic and counterproductive move by the Palestinians.

Palestinian President Mahmoud Abbas has been leading the campaign to win support for the resolution, and over a dozen European governments have offered him their support after an eight-day conflict this month between Israel and Islamists in the Gaza Strip, who are pledged to Israel's destruction and oppose his efforts toward a negotiated peace.

The U.S. State Department said on Wednesday that Deputy Secretary of State Bill Burns and U.S. Middle East peace envoy David Hale traveled to New York on Wednesday in a last-ditch effort to get Abbas to reconsider.

The Palestinians gave no sign they were turning back.

Secretary of State Hillary Clinton repeated to reporters in Washington on Wednesday the U.S. view that the Palestinian move was misguided and efforts should focus instead on reviving the stalled Middle East peace process.

"The path to a two-state solution that fulfills the aspirations of the Palestinian people is through Jerusalem and Ramallah, not New York," she said. "The only way to get a lasting solution is to commence direct negotiations."

State Department spokeswoman Victoria Nuland reiterated U.S. warnings that the move could lead to a reduction of U.S. economic support for the Palestinians. The Israelis have also warned they might take significant deductions out of monthly transfers of duties that Israel collects on the Palestinians' behalf.

'SLAP IN THE FACE'

Granting Palestinians the title of "non-member observer state" falls short of full U.N. membership - something the Palestinians failed to achieve last year. But it would allow them access to the International Criminal Court and some other international bodies, should they choose to join them.

Hanan Ashrawi, a top Palestinian Liberation Organization official, told a news conference in Ramallah that "the Palestinians can't be blackmailed all the time with money."

"If Israel wants to destabilize the whole region, it can," she said. "We are talking to the Arab world about their support, if Israel responds with financial measures, and the EU has indicated they will not stop their support to us."

Peace talks have been stalled for two years, mainly over the issue of Israeli settlements in the West Bank, which have expanded despite being deemed illegal by most of the world.

In their draft resolution, the Palestinians have pledged to relaunch the peace process immediately following the U.N. vote.

As there is little doubt about how the United States will vote when the Palestinian resolution to upgrade its U.N. status is put to a vote sometime after 3 p.m. (2000 GMT) on Thursday, the Palestinian Authority has been concentrating its efforts on lobbying wealthy European states, diplomats say.

With strong support from the developing world that makes up the majority of U.N. members, the Palestinian resolution is virtually assured of securing more than the requisite simple majority. Palestinian officials hope for over 130 yes votes.

Abbas has been trying to amass as many European votes in favor as possible.

As of Wednesday afternoon, Austria, Denmark, Norway, Finland, France, Greece, Iceland, Ireland, Luxembourg, Malta, Portugal, Spain and Switzerland had all pledged to support the Palestinian resolution. Britain said it was prepared to vote yes, but only if the Palestinians fulfilled certain conditions.

Diplomats said the Czech Republic was expected to vote against the move, although other Europeans might join it. Germany said it could not support the Palestinian resolution, but left open the question of whether it would abstain, like Estonia and Lithuania, or vote no with the Czechs.

Ashrawi said the positive responses from European states were encouraging and sent a message of hope to all Palestinians.

"This constitutes a historical turning point and opportunity for the world to rectify a grave historical injustice that the Palestinians have undergone since the creation of the state of Israel in 1948," she said.

A strong backing from European nations could make it awkward for Israel to implement harsh retaliatory measures. Diplomats say Israel wants to avoid antagonizing Europe. But Israel's reaction might not be so measured if the Palestinians seek ICC action against Israel on charges of war crimes, crimes against humanity or other crimes the court would have jurisdiction over.

Israel also seems wary of weakening the Western-backed Abbas, especially after the political boost rival Hamas received from recent solidarity visits to Gaza by top officials from Egypt, Qatar and Tunisia.

Hamas militants, who control Gaza and have had icy relations with the Palestinian Authority in the West Bank, unexpectedly offered Abbas their support earlier this week.

One Western diplomat said the Palestinian move was almost an insult to recently re-elected U.S. President Barack Obama.

"It's not the best way to convince Mr. Obama to have a more positive approach toward the peace process," a Western diplomat planning to vote for the Palestinian resolution said. "Three weeks after his election, it's basically a slap in the face."

(Andrew Quinn in Washington, Noah Browning in Ramallah, Jeffrey Heller in Jerusalem, Michelle Nichols in New York, and Reuters bureaux in Europe and elsewhere; Editing by Peter Cooney)

Read More..

Brad Pitt: Fatherhood Has Made Me a Better Man

People Exclusive

By Mary Green

11/28/2012 at 08:00 AM EST

Thinking back over 2012, Brad Pitt acknowledges it's been a big year for his "familia" since proposing to Angelina Jolie – whom he affectionately calls "Mama" – last April.

"It's been a family type of year, a down-home type of year," he tells PEOPLE in this week's cover story. "Mama's worked more. And quite frankly I've really enjoyed it."

The actor, whose Mob drama, Killing Them Softly, hits theaters Friday, chatted with PEOPLE between bites of his dinner with 4-year-old twins, Knox and Vivienne, at their rental home outside of London. While he stopped short of confirming a wedding date, he did reveal what the couple have in mind for their big day: "Just family," Pitt says. "Keep it simple. Keep it simple – really."

For now, the actor is looking forward to being reunited with the rest of his brood – Maddox, 11, Pax, 9, Zahara, 7, and Shiloh, 6 – who were in Cambodia working on the family's foundation with Jolie.

Has fatherhood made him a better man? "Absolutely," Pitt says. Being a dad "takes you right off yourself."

As for turning 50 next year, the actor insists he's taking it all in stride. "This is what I think about: 'Okay, you're way over the mid-point [of your life]. You don't know how much time you have left,' " Pitt says. "I want to enjoy this year more than ever."

• Reporting by K.C. BAKER

For more of our interview with Pitt, including wedding plans and his "intense" life with Jolie and their kids, pick up this week's issue of PEOPLE, on newsstands Friday

Read More..

CDC: HIV spread high in young gay males

NEW YORK (AP) — Health officials say 1 in 5 new HIV infections occur in a tiny segment of the population — young men who are gay or bisexual.

The government on Tuesday released new numbers that spotlight how the spread of the AIDS virus is heavily concentrated in young males who have sex with other males. Only about a quarter of new infections in the 13-to-24 age group are from injecting drugs or heterosexual sex.

The Centers for Disease Control and Prevention said blacks represented more than half of new infections in youths. The estimates are based on 2010 figures.

Overall, new U.S. HIV infections have held steady at around 50,000 annually. About 12,000 are in teens and young adults, and most youth with HIV haven't been tested.

___

Online:

CDC report: http://www.cdc.gov/vitalsigns

Read More..

Stock futures signal flat to lower open

NEW YORK (Reuters) - Stock futures fell on Wednesday as investors grew more concerned about the lack of progress in U.S. budget talks to avoid looming spending cuts and tax hikes, setting the S&P 500 up for a third consecutive day of decline this week.

* Chief executives from top U.S. corporations, including Goldman Sachs , Deloitte LLP, and Caterpillar Inc , will meet with President Barack Obama on Wednesday to discuss U.S. fiscal problems, the White House said.

* Obama's meeting with influential leaders from the corporate world is part of his push for Congress to extend tax cuts for middle income Americans, one flashpoint in a standoff with Congress over a series of tax hikes and spending cuts that will go into effect next year if lawmakers and the president cannot come up with a deal to stop them.

* U.S. stocks slid on Tuesday in a choppy session, losing ground in the last hour before the close after Senate Majority Leader Harry Reid expressed disappointment that there has been "little progress" in dealing with the "fiscal cliff."

* S&P 500 futures were down 4.2 points and were below fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures fell 30 points, while Nasdaq 100 futures were up 6.25 points.

* Deep divisions at the Federal Reserve were on display on Tuesday, just two weeks before the U.S. central bank's next policy-setting meeting, with one top Fed official pushing for more easing, and another advocating limits. [ID:nL1E8MS0ZC] The Fed will release its Beige Book summary of regional economic conditions at 2 p.m. (1900 GMT).

* New home sales data is due at 10 a.m. Economists in a Reuters survey forecast a reading of 390,000 for October versus the previous reading of 389,000.

* U.S. retailer Costco Wholesale Corp is to pay a special dividend of $7.00, worth a total $3.0 billion to investors, it said when posting monthly same-store sales that beat forecasts.

* Microsoft Corp has sold 40 million Windows 8 licenses in the month since the launch, according to one of the new co-heads of the Windows unit, setting a faster pace than Windows 7 three years ago.

* Green Mountain Coffee Roasters Inc forecast quarterly and full year earnings well above analysts' expectations, helped by an expanded lineup of single-serve coffee makers and drinks, sending its shares up 22 percent in after-hours trade.

* Advanced Micro Devices Inc plans to sell and lease back its campus in Austin, Texas, to raise cash and fund its chipmaking business as it diversifies beyond the struggling PC industry into new markets.

* Nokia said on Wednesday that an arbitrator has ruled in its favor in a patent dispute with BlackBerry-maker Research In Motion over use of Nokia's patents related to wireless local access network technology.

* The European Commission gave the go ahead for Spain to overhaul its stricken nationalized banks on Wednesday and opened the door for nearly 40 billion euros in euro zone aid to be disbursed, offering hope for an end to Spain's banking crisis.

(Reporting By Angela Moon; Editing by Kenneth Barry)

Read More..

Egypt protests continue in crisis over Mursi powers

CAIRO (Reuters) - Hundreds of demonstrators were in Cairo's Tahrir Square for a sixth day on Wednesday, demanding that President Mohamed Mursi rescind a decree they say gives him dictatorial powers, while two of Egypt's top courts stopped work in protest.

Five months into the Islamist leader's term, and in scenes reminiscent of the popular uprising that unseated predecessor Hosni Mubarak last year, police fired teargas at stone-throwers following protests by tens of thousands on Tuesday against the declaration that expanded Mursi's powers and put his decisions beyond legal challenge.

Protesters say they will stay in Tahrir until the decree is withdrawn, bringing fresh turmoil to a nation at the heart of the Arab Spring and delivering a new blow to an economy already on the ropes.

Egypt's Cassation and Appeals courts said they would suspend their work until the constitutional court rules on the decree, which has further damaged Mursi's already testy relationship with the country's judges.

In a speech on Friday, Mursi praised the judiciary as a whole but referred to corrupt elements he aimed to weed out.

A spokesman for the Supreme Constitutional Court, which declared the Islamist-led parliament void earlier this year, said on Wednesday that it felt under attack by the president.

"The really sad thing that has pained the members of this court is when the president of the republic joined, in a painful surprise, the campaign of continuous attack on the Constitutional Court," said the spokesman Maher Samy.

Senior judges have been negotiating with Mursi about how to restrict his new powers, while protesters want him to dissolve an Islamist-dominated assembly that is drawing up a new constitution and which Mursi protected from legal review.

Any deal to calm the street will likely need to address both issues. But opposition politicians said the list of demands could grow the longer the crisis goes on. Many protesters want the cabinet, which meets on Wednesday, to be sacked, too.

Mursi's administration insists that his actions were aimed at breaking a political logjam to push Egypt more swiftly towards democracy, an assertion his opponents dismiss.

"The president wants to create a new dictatorship," said 38-year-old Mohamed Sayyed Ahmed, who has not had a job for two years. He is one of many in the square who are as angry over economic hardship as they are about Mursi's actions.

"We want the scrapping of the constitutional declaration and the constituent assembly, so a new one is created representing all the people and not just one section," he said.

The West worries about turbulence in a nation that has a peace treaty with Israel and is now ruled by Islamists they long kept at arms length. The United States, a big donor to Egypt's military, has called for "peaceful democratic dialogue".

Two people have been killed in violence since the decree, while low-level clashes between protesters and police have gone on for days near Tahrir. Violence has flared in other cities.

WRANGLES

Trying to ease tensions with judges, Mursi said elements of his decree giving his decisions immunity applied only to matters of "sovereign" importance, a compromise suggested by the judges in talks.

That should limit it to issues such as declaring war, but experts said there was much room for interpretation. The judges themselves are divided, and the broader judiciary has yet to back the compromise. Some have gone on strike over the decree.

The fate of the assembly drawing up the constitution has been at the centre of a wrangle between Islamists and their opponents for months. Many liberals, Christians and more moderate Muslims have walked out, saying their voices were not being heard in the body dominated by Islamists.

That has undermined the work of the assembly, which is tasked with shaping Egypt's new democracy. Without a constitution in place, the president's powers are not permanently defined and a new parliament cannot be elected.

For now, Mursi holds both executive and legislative powers. His decree says his decisions cannot be challenged until a new parliament is in place. An election is expected in early 2013.

"If Mursi doesn't respond to the people, they will raise their demands to his removal," said Bassem Kamel, a liberal and former member of the now dissolved parliament that was dominated by Mursi's party, a wing of the Muslim Brotherhood.

He said Tuesday's protest showed that Egyptians "understood that the Brotherhood isn't for democracy but uses it as a tool to reach power and then to get rid of it".

Protecting his decisions and the constituent assembly from legal review was a swipe at the judiciary, still largely unreformed since Mubarak's era.

One presidential source said Mursi wanted to re-make the Supreme Constitutional Court after it declared the parliament void, which led to its dissolution by the then ruling military.

Both Islamists and their opponents broadly agree that the judiciary needs reform, but Mursi's rivals oppose his methods.

The courts have dealt a series of blows to Mursi and the Brotherhood. The first constituent assembly, also packed with Islamists, was dissolved. An attempt by Mursi in October to remove the unpopular general prosecutor was also blocked.

In his decree, Mursi gave himself the power to sack the prosecutor general and appoint a new one, which he duly did.

(Additional reporting by Tamim Elyan; Writing by Edmund Blair; Editing by Will Waterman)

Read More..

India: 2 policemen suspended, magistrate transferred for arrest of 2 women over Facebook post

NEW DELHI – An Indian official says two senior policemen have been suspended for arresting two women over a Facebook post criticizing the shutdown of Mumbai for the funeral of a powerful politician.

Maharashtra state Home Minister R.R. Patil said Tuesday the policemen were suspended indefinitely and the magistrate who registered the case against the women has been transferred to another district.

Police also arrested nine men who vandalized a medical clinic run by the uncle of one of the women, Patil said.

One of the women had posted a Facebook comment complaining that Mumbai had come to a standstill after the death of rightwing leader Bal Thackeray. Her friend “liked” the post.

Their arrest last week was seen as a misuse of Internet laws and an attempt to curb freedom of expression.

Social Media News Headlines – Yahoo! News

Read More..

Brad Pitt: Wedding Will Happen 'Soon'

By Tim Nudd

11/27/2012 at 07:50 AM EST

Brad Pitt and Angelina Jolie

Jim Ruymen/Landov

Put the champagne on ice. It appears Brad Pitt and Angelina Jolie's long-awaited wedding isn't far off – and that's from someone who would know.

"I am getting more pressure from my kids, and it is something I want to do within their lifetime, but I also feel like the time has come," Pitt said Monday night at the premiere of his new film, Killing Them Softly, in New York.

"The time is nigh," he added. "It's soon. I got a good feeling about it."

Pitt, 48, who has been in London filming World War Z this month, has been with Jolie, 37, for seven years. They have six children together – Maddox, 11, Pax, 8, Zahara, 7, Shiloh, 6, and 4-year-old twins Knox and Vivienne – and got engaged this past spring.

And yet, even with so much history together already, Pitt says the idea of tying the knot with his longtime partner is still hugely meaningful.

"We've had a family, we've raised the kids," he says. "I am surprised how much [marriage] meant to me once you had that."

• Reporting by K.C. BAKER

Brad opens up about his family, his life with Angelina and their wedding plans in the next issue of PEOPLE! Look for much more on newsstands Friday

Read More..

Bounce houses a party hit but kids' injuries soar

CHICAGO (AP) — They may be a big hit at kids' birthday parties, but inflatable bounce houses can be dangerous, with the number of injuries soaring in recent years, a nationwide study found.

Kids often crowd into bounce houses, and jumping up and down can send other children flying into the air, too.

The numbers suggest 30 U.S. children a day are treated in emergency rooms for broken bones, sprains, cuts and concussions from bounce house accidents. Most involve children falling inside or out of the inflated playthings, and many children get hurt when they collide with other bouncing kids.

The number of children aged 17 and younger who got emergency-room treatment for bounce house injuries has climbed along with the popularity of bounce houses — from fewer than 1,000 in 1995 to nearly 11,000 in 2010. That's a 15-fold increase, and a doubling just since 2008.

"I was surprised by the number, especially by the rapid increase in the number of injuries," said lead author Dr. Gary Smith, director of the Center for Injury Research and Policy at Nationwide Children's Hospital in Columbus, Ohio.

Amusement parks and fairs have bounce houses, and the playthings can also be rented or purchased for home use.

Smith and colleagues analyzed national surveillance data on ER treatment for nonfatal injuries linked with bounce houses, maintained by the U.S. Consumer Product Safety Commission. Their study was published online Monday in the journal Pediatrics.

Only about 3 percent of children were hospitalized, mostly for broken bones.

More than one-third of the injuries were in children aged 5 and younger. The safety commission recommends against letting children younger than 6 use full-size trampolines, and Smith said barring kids that young from even smaller, home-use bounce houses would make sense.

"There is no evidence that the size or location of an inflatable bouncer affects the injury risk," he said.

Other recommendations, often listed in manufacturers' instruction pamphlets, include not overloading bounce houses with too many kids and not allowing young children to bounce with much older, heavier kids or adults, said Laura Woodburn, a spokeswoman for the National Association of Amusement Ride Safety Officials.

The study didn't include deaths, but some accidents are fatal. Separate data from the product safety commission show four bounce house deaths from 2003 to 2007, all involving children striking their heads on a hard surface.

Several nonfatal accidents occurred last year when bounce houses collapsed or were lifted by high winds.

A group that issues voluntary industry standards says bounce houses should be supervised by trained operators and recommends that bouncers be prohibited from doing flips and purposefully colliding with others, the study authors noted.

Bounce house injuries are similar to those linked with trampolines, and the American Academy of Pediatrics has recommended against using trampolines at home. Policymakers should consider whether bounce houses warrant similar precautions, the authors said.

___

Online:

Pediatrics: http://www.pediatrics.org

Trade group: http://www.naarso.com

___

AP Medical Writer Lindsey Tanner can be reached at http://www.twitter.com/LindseyTanner

Read More..

Stock futures signal slightly higher open

NEW YORK (Reuters) - Stock futures were little changed on Tuesday despite news that international lenders agreed to reduce Greece's debt, as the market's focus turned back to the "fiscal cliff".

* Market sentiment had improved after Euro zone finance ministers and the International Monetary Fund clinched agreement late on Monday on reducing Greece's debt in a breakthrough to release urgently needed loans to keep the near-bankrupt economy afloat.

* But as U.S. budget negotiations continued in Washington, the market quickly reverted to a more cautious stance on concerns over the fast-approaching fiscal cliff. Futures cut earlier gains to trade flat.

* S&P 500 futures were little changed and in line with fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures fell 6 points, while Nasdaq 100 futures were up 2.5 points,

* As of Monday's close, the S&P 500 was holding above the 1,400 level it retook last week, and volume continued to be weak as traders awaited any advance in talks between the Obama administration and Congress to avert a series of spending cuts and tax increases scheduled to begin next year, which threaten to drag the economy into recession.

* The Commerce Department releases October durable goods orders at 8:30 a.m. ET (1330 GMT). Economists expect a 0.6 percent fall in orders in October, compared with a 9.8 percent rise in September.

* Standard & Poor's releases its S&P Case/Shiller Home Price Index for September at 9:00 a.m. ET (1400 GMT). Economists expect an adjusted 20 city index to rise 0.4 percent, versus a 0.5 percent increase in the previous month.

* Conference Board releases November consumer confidence at 10 a.m. ET (1500 GMT). Economists expect a reading of 73.0, compared with 72.2 in October.

* ConAgra Foods Inc will acquire Ralcorp, the largest private label food manufacturer in the U.S. for $90 per share in cash, a deal valued about $6.8 billion.

* ConocoPhillips' partners in Kazakhstan's Kashagan field have 60 days to exercise pre-emption rights to prevent India's ONGC Videsh from buying an 8.4 percent stake in the project held by the U.S. company, the Indian firm's managing director said.

* Europe is preparing to follow the United States in delaying the introduction of stricter rules on bank capital, while it lobbies for a rethink of the U.S. stance, EU sources said.

* However, the head of the Basel Committee at the Bank of International Settlements told Reuters on Tuesday that the introduction of stricter capital rules for banks will go ahead as planned on January 1.

(Reporting By Angela Moon; Editing by Theodore d'Afflisio)

Read More..