Russia rejects Assad exit as precondition for Syria deal

MOSCOW/BEIRUT (Reuters) - Russia voiced support on Saturday for international peace envoy Lakhdar Brahimi but insisted Syrian President Bashar al-Assad's exit cannot be a precondition for a deal to end the country's conflict.

Some 60,000 Syrians have been killed during the 21-month-old revolt and world powers are divided over how to stop the escalating bloodshed. Government aircraft bombed outer districts of Damascus on Saturday after being grounded for a week by stormy weather, opposition activists in the capital said.

A Russian Foreign Ministry statement following talks on Friday with the United States and Brahimi reiterated calls for an end to violence in Syria, but there was no sign of a breakthrough.

Brahimi said the issue of Assad, whom the United States, European powers and Gulf-led Arab states insist must step down to end the civil war, appeared to be a sticking point at the meeting in Geneva.

Russia's Foreign Ministry said: "As before, we firmly uphold the thesis that questions about Syria's future must be decided by the Syrians themselves, without interference from outside or the imposition of prepared recipes for development."

Russia has been Assad's most powerful international backer, joining with China to block three Western- and Arab-backed U.N. Security Council resolutions aimed to pressure him or push him from power. Assad can also rely on regional powerhouse Iran.

In Geneva, Russia called for "a political transition process" based on an agreement by foreign powers last June.

Brahimi, who is trying to build on the agreement reached in Geneva on June 30, has met three times with senior Russian and U.S. diplomats since early December and met Assad in Damascus.

Russia and the United States disagreed over what the June agreement meant for Assad, with Washington saying it sent a clear signal he must go and Russia contending it did not.

CONFLICT INTENSIFIES

Moscow has been reluctant to endorse the "Arab Spring" popular revolts of the last two years, saying they have increased instability in the Middle East and created a risk of radical Islamists seizing power.

Although Russia sells arms to Syria and rents one of its naval bases, the economic benefit of its support for Assad is minimal. Analysts say President Vladimir Putin wants to prevent the United States from using military force or support from the U.N. Security Council to bring down governments it opposes.

However, as rebels gain ground in the war, Russia has given indications it is preparing for Assad's possible exit, while continuing to insist he must not be forced out by foreign powers.

Opposition activists say a military escalation and the hardship of winter have accelerated the death toll.

Rebel forces have acquired more powerful anti-tank and anti-aircraft weapons during attacks on Assad's military bases.

President Assad's forces have employed increasing amounts of military hardware including Scud-type ballistic missiles in the past two months. New York-based Human Rights Watch said they had also used incendiary cluster bombs that are banned by most nations.

STALEMATE IN CITIES

The week-long respite from aerial strikes has been marred by snow and thunderstorms that affected millions displaced by the conflict, which has now reached every region of Syria.

On Saturday, the skies were clear and jets and helicopters fired missiles and dropped bombs on a line of towns to the east of Damascus where rebels have pushed out Assad's ground forces, the Syrian Observatory for Human Rights said.

The British-based group, which is linked to the opposition, said it had no immediate information on casualties from the strikes on districts including Maleiha and farmland areas.

Rebels control large swathes of rural land around Syria but are stuck in a stalemate with Assad's forces in cities, where the army has reinforced positions.

State TV said government forces had repelled an attack by terrorists - a term it uses for the armed opposition - on Aleppo's international airport, now used as a helicopter base.

Reuters cannot independently confirm reports due to severe reporting restrictions imposed by the Syrian authorities and security constraints.

On Friday, rebels seized control of one of Syria's largest helicopter bases, Taftanaz in Idlib province, their first capture of a military airfield.

Eight-six people were killed on Friday, including 30 civilians, the Observatory said.

(Writing by Oliver Holmes; Editing by Tom Pfeiffer)

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Jennie Finch Welcomes Third Child

Mom & Babies
Celebrity Baby Blog

01/12/2013 at 12:00 PM ET

Jennie Finch‘s daughter has arrived!

The Olympic softball star and husband Casey Daigle welcomed their third child, Paisley Faye Daigle, in the early morning hours of Saturday, Jan. 12.

“We are so thrilled to announce the birth of our sweet baby girl,” Finch, 32, tells PEOPLE.

Paisley weighed in at 8 lbs., 1 oz. and joins big brothers Diesel Dean, 18 months, and Ace Shane, 6½.

Finch, 32, who has blogged her last two pregnancies for PEOPLE.com, said in October that she was leaning towards a Southern-sounding name for her third child.

“Everyone is expecting something crazy and outrageous with having Ace and Diesel,” she joked at the time.

Courtesy Jennie Finch

RELATED: Jennie Finch’s PEOPLE.com Blog Series

– Sarah Michaud

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Flu season puts businesses and employees in a bind

WASHINGTON (AP) — Nearly half the 70 employees at a Ford dealership in Clarksville, Ind., have been out sick at some point in the past month. It didn't have to be that way, the boss says.

"If people had stayed home in the first place, a lot of times that spread wouldn't have happened," says Marty Book, a vice president at Carriage Ford. "But people really want to get out and do their jobs, and sometimes that's a detriment."

The flu season that has struck early and hard across the U.S. is putting businesses and employees alike in a bind. In this shaky economy, many Americans are reluctant to call in sick, something that can backfire for their employers.

Flu was widespread in 47 states last week, up from 41 the week before, the Centers for Disease Control and Prevention said Friday. The only states without widespread flu were California, Mississippi and Hawaii. And the main strain of the virus circulating tends to make people sicker than usual.

Blake Fleetwood, president of Cook Travel in New York, says his agency is operating with less than 40 percent of its staff of 35 because of the flu and other ailments.

"The people here are working longer hours and it puts a lot of strain on everyone," Fleetwood says. "You don't know whether to ask people with the flu to come in or not." He says the flu is also taking its toll on business as customers cancel their travel plans: "People are getting the flu and they're reduced to a shriveling little mess and don't feel like going anywhere."

Many workers go to the office even when they're sick because they are worried about losing their jobs, says John Challenger, CEO of Challenger, Gray & Christmas, an employer consulting firm. Other employees report for work out of financial necessity, since roughly 40 percent of U.S. workers don't get paid if they are out sick. Some simply have a strong work ethic and feel obligated to show up.

Flu season typically costs employers $10.4 billion for hospitalization and doctor's office visits, according to the CDC. That does not include the costs of lost productivity from absences.

At Carriage Ford, Book says the company plans to make flu shots mandatory for all employees.

Linda Doyle, CEO of the Northcrest Community retirement home in Ames, Iowa, says the company took that step this year for its 120 employees, providing the shots at no cost. It is also supplying face masks for all staff.

And no one is expected to come into work if sick, she says.

So far, the company hasn't seen an outbreak of flu cases.

"You keep your fingers crossed and hope it continues this way," Doyle says. "You see the news and it's frightening. We just want to make sure that we're doing everything possible to keep everyone healthy. Cleanliness is really the key to it. Washing your hands. Wash, wash, wash."

Among other steps employers can take to reduce the spread of the flu on the job: holding meetings via conference calls, staggering shifts so that fewer people are on the job at the same time, and avoiding handshaking.

Newspaper editor Rob Blackwell says he had taken only two sick days in the last two years before coming down with the flu and then pneumonia in the past two weeks. He missed several days the first week of January and has been working from home the past week.

"I kept trying to push myself to get back to work because, generally speaking, when I'm sick I just push through it," says Blackwell, the Washington bureau chief for the daily trade paper American Banker.

Connecticut is the only state that requires some businesses to pay employees when they are out sick. Cities such as San Francisco and Washington have similar laws.

Challenger and others say attitudes are changing, and many companies are rethinking their sick policies to avoid officewide outbreaks of the flu and other infectious diseases.

"I think companies are waking up to the fact right now that you might get a little bit of gain from a person coming into work sick, but especially when you have an epidemic, if 10 or 20 people then get sick, in fact you've lost productivity," Challenger says.

___

Associated Press writers Mike Stobbe in Atlanta, Eileen A.J. Connelly in New York, Paul Wiseman in Washington, Barbara Rodriguez in Des Moines, Iowa, and Jim Salter in St. Louis contributed to this report.

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Wall Street Week Ahead: Attention turns to financial earnings

NEW YORK (Reuters) - After over a month of watching Capitol Hill and Pennsylvania Avenue, Wall Street can get back to what it knows best: Wall Street.

The first full week of earnings season is dominated by the financial sector - big investment banks and commercial banks - just as retail investors, free from the "fiscal cliff" worries, have started to get back into the markets.

Equities have risen in the new year, rallying after the initial resolution of the fiscal cliff in Washington on January 2. The S&P 500 on Friday closed its second straight week of gains, leaving it just fractionally off a five-year closing high hit on Thursday.

An array of financial companies - including Goldman Sachs and JPMorgan Chase - will report on Wednesday. Bank of America and Citigroup will join on Thursday.

"The banks have a read on the economy, on the health of consumers, on the health of demand," said Quincy Krosby, market strategist at Prudential Financial in Newark, New Jersey.

"What we're looking for is demand. Demand from small business owners, from consumers."

EARNINGS AND ECONOMIC EXPECTATIONS

Investors were greeted with a slightly better-than-anticipated first week of earnings, but expectations were low and just a few companies reported results.

Fourth quarter earnings and revenues for S&P 500 companies are both expected to have grown by 1.9 percent in the past quarter, according to Thomson Reuters I/B/E/S.

Few large corporations have reported, with Wells Fargo the first bank out of the gate on Friday, posting a record profit. The bank, however, made fewer mortgage loans than in the third quarter and its shares were down 0.8 percent for the day.

The KBW bank index <.bkx>, a gauge of U.S. bank stocks, is up about 30 percent from a low hit in June, rising in six of the last eight months, including January.

Investors will continue to watch earnings on Friday, as General Electric will round out the week after Intel's report on Thursday.

HOUSING, INDUSTRIAL DATA ON TAP

Next week will also feature the release of a wide range of economic data.

Tuesday will see the release of retail sales numbers and the Empire State manufacturing index, followed by CPI data on Wednesday.

Investors and analysts will also focus on the housing starts numbers and the Philadelphia Federal Reserve factory activity index on Thursday. The Thomson Reuters/University of Michigan consumer sentiment numbers are due on Friday.

Jim Paulsen, chief investment officer at Wells Capital Management in Minneapolis, said he expected to see housing numbers continue to climb.

"They won't be that surprising if they're good, they'll be rather eye-catching if they're not good," he said. "The underlying drive of the markets, I think, is economic data. That's been the catalyst."

POLITICAL ANXIETY

Worries about the protracted fiscal cliff negotiations drove the markets in the weeks before the ultimate January 2 resolution, but fear of the debt ceiling fight has yet to command investors' attention to the same extent.

The agreement was likely part of the reason for a rebound in flows to stocks. U.S.-based stock mutual funds gained $7.53 billion after the cliff resolution in the week ending January 9, the most in a week since May 2001, according to Thomson Reuters' Lipper.

Markets are unlikely to move on debt ceiling news unless prominent lawmakers signal that they are taking a surprising position in the debate.

The deal in Washington to avert the cliff set up another debt battle, which will play out in coming months alongside spending debates. But this alarm has been sounded before.

"The market will turn the corner on it when the debate heats up," Prudential Financial's Krosby said.

The CBOE Volatility index <.vix> a gauge of traders' anxiety, is off more than 25 percent so far this month and it recently hit its lowest since June 2007, before the recession began.

"The market doesn't react to the same news twice. It will have to be more brutal than the fiscal cliff," Krosby said. "The market has been conditioned that, at the end, they come up with an agreement."

(Reporting by Gabriel Debenedetti; editing by Rodrigo Campos)

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Syria rebels seize base as envoy holds talks

BEIRUT/GENEVA (Reuters) - Rebels seized control of one of Syria's largest helicopter bases on Friday, opposition sources said, in their first capture of a military airfield used by President Bashar al-Assad's forces.

Fighting raged across the country as international mediator Lakhdar Brahimi sought a political solution to Syria's civil war, meeting senior U.S. and Russian officials in Geneva.

But the two world powers are still deadlocked over Assad's fate in any transition.

The United States, which backs the 21-month-old revolt, says Assad can play no future role, while Syria's main arms supplier Russia said before the talks that his exit should not be a precondition for negotiations.

Syria is mired in bloodshed that has cost more than 60,000 lives and displaced millions of people. Severe winter weather is compounding their misery. The U.N. children's agency UNICEF says more than 2 million children are struggling to stay warm.

The capture of Taftanaz air base, after months of sporadic fighting, could help rebels solidify their hold on northern Syria, according to Rami Abdelrahman, head of the pro-opposition Syrian Observatory for Human Rights.

TACTICAL, NOT STRATEGIC GAIN

But Yezid Sayigh, at the Carnegie Middle East Centre in Beirut, said it was not a game-changer, noting that it had taken months for the rebels to overrun a base whose usefulness to the military was already compromised by the clashes around it.

"This is a tactical rather than a strategic gain," he said.

In Geneva, U.N.-Arab League envoy Brahimi's closed-door talks began with individual meetings with U.S. Deputy Secretary of State William Burns and Russian Deputy Foreign Minister Mikhail Bogdanov. He later held talks with both sides together.

A U.S. official said negotiations would focus on "creating the conditions to advance a political solution - specifically a transitional governing body".

Six months ago, world powers meeting in Geneva proposed a transitional government but left open Assad's role. Brahimi told Reuters on Wednesday that the Syrian leader could play no part in such a transition and suggested it was time he quit.

Responding a day later, Syria's foreign ministry berated the veteran Algerian diplomat as "flagrantly biased toward those who are conspiring against Syria and its people".

Russia has argued that outside powers should not decide who should take part in any transitional government.

"Only the Syrians themselves can agree on a model or the further development of their country," Foreign Ministry spokesman Alexander Lukashevich said.

REFUGEE MISERY

But Syrians seem too divided for any such agreement.

The umbrella opposition group abroad, the Syrian National Coalition, said on Friday it had proposed a transition plan that would kept government institutions intact at a meeting with diplomats in London this week. But the plan has received no public endorsement from the opposition's foreign backers.

With no end to fighting in sight, the misery of Syrian civilians has rapidly increased, especially with the advent of some of the worst winter conditions in years.

Saudi Arabia said it would send $10 million worth of aid to help Syrian refugees in Jordan, where torrential rain has flooded hundreds of tents in the Zaatari refugee camp.

A fierce storm that swept the region has raised concerns for 600,000 Syrian refugees who have fled to neighboring countries, as well as more than 2.5 million displaced inside Syria, many of whom live in flimsy tents at unofficial border camps.

Opposition activists report dozens of weather-related deaths in Syria in the last four days. UNICEF said refugee children are at risk because conditions have hampered access to services.

Earlier this week, another United Nations agency said around one million Syrians were going hungry. The World Food Programme cited difficulties entering conflict zones and said that the few government-approved aid agencies allowed to distribute aid were stretched to the limit.

The WFP said it supplying rations to about 1.5 million people in Syria each month, far short of the 2.5 million deemed to be in need.

(Additional reporting by Alexander Dzsiadosz in Beirut and Raissa Kasolowsky in Abu Dhabi; Editing by Alistair Lyon)

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Sprint confirms it will launch BlackBerry 10 later this year

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Ben Affleck Wins Critics Choice Best Director, Thanks the Academy That Snubbed Him

By Paul Chi and Melody Chiu

01/11/2013 at 12:50 PM EST

Take that, Academy!

Hours after Ben Affleck was snubbed by the Academy of Motion Picture Arts and Sciences, which did not give him a Best Director nomination for his film Argo, he won in the same category at Thursday night's 18th Annual Critics Choice Movie Awards in Santa Monica.

"I'd like to thank the Academy," joked Affleck, 40, while on stage to collect his hardware. "I'm kidding, I'm kidding! This is the one that counts."

Affleck's victory was greeted by thunderous applause and a standing ovation from the crowd. His absence from the field of Best Director Oscar nominees was considered one of the biggest shocks when the nominations were announced Thursday morning. Meanwhile, Argo was nominated for a Best Picture Oscar.

"It actually is very, very cool for me," Affleck said while accepting his Critics Choice Award. "There was a time where the Ben Affleck Critics Award was a Saturday Night Live sketch, so this is a very, very cool and exciting thing."

Affleck, who attended the show without wife Jennifer Garner, went on to thank his family by saying, "My daughter wrote my name on my hand for luck. I don't know how that works, but I guess it worked," he said. "I want to thank my kids and I want to thank my wife, without whom I would not be anywhere, much less here."

When Affleck returned to his table, George Clooney – a producer on Argo – greeted him with a congratulatory hug and smile, while fellow nominee David O. Russell (Silver Linings Playbook) offered his congrats by rubbing Affleck's back.

Argo also was named best picture at the Critics Choice Awards.

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Flu more widespread in US; eases off in some areas

NEW YORK (AP) — Flu is more widespread across the nation, but the number of hard-hit states has declined, health officials said Friday.

Flu season started early this winter, and includes a strain that tends to make people sicker. Health officials have forecast a potentially bad flu season, following last year's unusually mild one.

The latest numbers, however, hint that the flu season may already have peaked in some spots.

Flu was widespread in 47 states last week, up from 41 the week before, the Centers for Disease Control and Prevention said on Friday. Many cases may be mild. The only states without widespread flu are California, Mississippi and Hawaii

The hardest hit states dropped to 24 from 29. Those are states where large numbers of people have been treated for flu-like illness.

Those with less activity include Florida, Arkansas and South Carolina in South, the first region hit in the current flu season.

Nationally, 20 children have died from the flu. There is no running tally of adult deaths, but the CDC estimates that the flu kills about 24,000 people in an average year.

Flu vaccinations are recommended for everyone 6 months or older. Health officials are still recommending vaccinations, even in areas with widespread flu reports.

Nearly 130 million doses of flu vaccine were distributed this year, and at least 112 million have been used, according to CDC officials.

Vaccine is still available, but supplies may have run low in some locations, health officials say.

Also on Friday, CDC officials said a recent study of more than 1,100 people has concluded the current flu vaccine is 62 percent effective. That's in line with how effective the vaccine has been in other years.

The flu vaccine is reformulated each year, and officials say this year's version is a good match to the viruses going around.

Flu usually peaks in midwinter. Symptoms can include fever, cough, runny nose, head and body aches and fatigue. Some people also suffer vomiting and diarrhea, and some develop pneumonia or other severe complications.

Most people with flu have a mild illness. But people with severe symptoms should see a doctor. They may be given antiviral drugs or other medications to ease symptoms.

___

Online:

CDC flu: http://www.cdc.gov/flu/index.htm

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Wall Street slips, weighed by Wells Fargo, banks

NEW YORK (Reuters) - Stocks dipped on Friday, weighed by losses in the banking sector, after Wells Fargo & Co reported a decline in net interest margin despite a record profit in the latest quarter.

"It (Wells Fargo results) is weighing on the sector. We are keeping our fingers crossed that this won't be a sector thing and more confined to Wells Fargo, but it's definitely playing a factor today," said Larry Peruzzi, senior equity trader at Cabrera Capital Markets LLC in Boston.

Wells Fargo, the fourth-biggest U.S. bank and the nation's largest home lender, said its fourth-quarter net interest margin - a key measure of how much money banks make from loans - fell, even as profit jumped 24 percent. The bank also made fewer mortgage loans than in the third quarter.

The bank's shares were down more than 1 percent at $35.02. The S&P 500 financial sector index <.gspf> fell 0.5 percent and the KBW Banks index <.bkx> fell 0.9 percent.

Wells Fargo was the first big U.S. bank to report fourth-quarter results. Bank of America Corp , JPMorgan Chase & Co and Citigroup Inc are due to report next week.

The Dow Jones industrial average <.dji> was up 0.70 points, or 0.01 percent, at 13,471.92. The Standard & Poor's 500 Index <.spx> was down 2.56 points, or 0.17 percent, at 1,469.56. The Nasdaq Composite Index <.ixic> was down 4.49 points, or 0.14 percent, at 3,117.27.

Keenly watched Friday were also shares of Dow component Boeing , which fell 2.4 percent to $75.25 after a cracked cockpit window and an oil leak on separate flights in Japan added to other mishaps earlier in the week, compounding safety concerns about its new 787 Dreamliner. The US Department of Transportation said the jet would be subject to a review of its critical systems by regulators.

Best Buy shares rallied after its results showed a bit of a turnaround in its U.S. stores, though same-store sales were flat during the key holiday season. Shares jumped 11.4 percent to $13.60.

Basic materials shares were pressured after China's annual consumer inflation rate picked up to a seven-month high, narrowing the scope for the central bank to boost the economy by easing monetary policy. The S&P basic materials sector <.gspm> fell 0.6 percent.

Dendreon Corp shares jumped 15.3 percent to $5.89 after Sanford C. Bernstein upgraded the drugmaker's stock to "outperform" from "market-perform" and said it could be one of the best performers in 2013.

(Editing by Bernadette Baum)

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Syria denounces peace envoy who hinted Assad must go

BEIRUT (Reuters) - Syria denounced international envoy Lakhdar Brahimi as "flagrantly biased" on Thursday, casting doubt on how long the U.N.-Arab League mediator can pursue his peace mission.

The Syrian Foreign Ministry was responding to remarks by Brahimi a day earlier in which he ruled out a role for President Bashar al-Assad in a transitional government and effectively called for the Baathist leader to quit.

"In Syria...what people are saying is that a family ruling for 40 years is a little bit too long," Brahimi told the BBC, referring to Assad, who inherited his post from his father Hafez al-Assad, who seized power in 1970 and ruled for 30 years.

"President Assad could take the lead in responding to the aspiration of his people rather than resisting it," the veteran Algerian diplomat said, hinting the Syrian leader should go.

The Foreign Ministry in Damascus said it was very surprised at Brahimi's comments, which showed "he is flagrantly biased for those who are conspiring against Syria and its people".

The ministry later said it was nevertheless still willing to work with the envoy to find a political solution to the crisis.

Brahimi has had no more success than his predecessor Kofi Annan in his quest to resolve the 21-month-old conflict in which more than 60,000 people have been killed.

British Foreign Secretary William Hague warned that violence in Syria might worsen and said the international community must "step up" its response if it does.

So far regional rivalries and divisions among big powers have stymied any concerted approach to the upheaval, one of the bloodiest to emerge from a series of revolts in the Arab world.

Russian and U.S. diplomats, who back opposing sides of the war, will meet Brahimi in Geneva on Friday.

Ahead of the meeting, Russia repeated its insistence that Assad must not be pushed from power by external forces and that his exit must not be a precondition for negotiations.

"Only the Syrians themselves can agree on a model or the further development of their country," Foreign Ministry spokesman Alexander Lukashevich said.

"MASK OF IMPARTIALITY"

Syria's al-Watan newspaper said Brahimi had removed his "mask of impartiality" to reveal his true face as a "a tool for the implementation of the policy of some Western countries".

On Sunday Assad, making his first public speech in six months, offered no concessions and said he would never talk to foes he branded terrorists and Western puppets.

As peace efforts floundered, rebels battled for a strategic air base for a second day, pursuing a civil war that had briefly receded for some Damascus residents who set aside their differences to play in a rare snowfall that blanketed the city.

For a few hours, people in the capital dropped their weapons for snowballs and traded hatred for giggles.

"Last night, for the first time in months, I heard laughter instead of shelling. Even the security forces put down their guns and helped us make a snowman," Iman, a resident of the central Shaalan neighborhood, said by Skype.

There was no respite on other battlefronts, with heavy fighting around the Taftanaz base in northwestern Syria, which insurgents are trying to capture to extend their grip on Idlib province and weaken Assad's control of the skies.

Rebels assaulted the airport's main buildings and armory using heavy guns, tanks and other weapons and appeared to have overrun half the area of the base, said Rami Abdelrahman, director of the Syrian Observatory for Human Rights, a pro-opposition group that monitors the conflict from abroad.

"Now, it's serious," he said.

The air base has been used to launch helicopter attacks in the region, and its loss would be a blow to the government's ability to defend its positions there, Abdelrahman said.

MISSILE LAUNCH

Insurgents have tried to take the base for months, but have been bolstered by the recent arrival of Islamist fighters including the al Qaeda-linked al-Nusra Front, he added.

There was no immediate government account of the fighting, which could not be confirmed independently.

Opposition forces have seized swathes of territory in northern Syria in recent months, but remain vulnerable to attack by the military's planes and helicopters - hence their strategy of trying to capture air bases such as the one at Taftanaz.

There was no word on whether the firing of a short-range ballistic missile inside Syria on Wednesday, reported by a NATO official, was linked to the fighting at Taftanaz.

NATO could not confirm the type of missile used, but the description fit the Scuds that are in the Syrian military's armory, the official added, describing the latest launch and similar ones last week as "reckless".

A NATO official said that since the start of December 2012, the alliance had detected at least 15 launches of unguided, short-range ballistic missile inside Syria.

Neither side has gained a clear military advantage in the war pitting mostly Sunni Muslim rebels against security forces dominated by Assad's minority, Shi'ite-linked Alawite sect.

The Observatory also reported fighting between rebels and troops in the Sayyida Zeinab area of Damascus, and air raids were reported in the capital's Maleiha area and eastern suburbs.

Despite some support from Sunni regional powers including Turkey, Saudi Arabia and Qatar, the rebels remain largely disorganized, fragmented and ill-equipped. Poor discipline, looting and insecurity in some insurgent-held areas have also eroded their support from civilians.

Turf wars between rebel units and with Kurdish groups have also beleaguered the armed opposition. On Thursday, a senior Islamist commander was assassinated near the border with Turkey, Syrian rebels and political opposition sources said.

Thaer al-Waqqas, northern commander of al-Farouq Brigades, had been suspected of involvement in the killing four months ago of a member of al-Nusra Front.

He was shot dead at a rebel position in the town of Sermin, a few kilometers from Turkey, the sources said.

(Additional reporting by Oliver Holmes, Mariam Karouny and Erika Solomon in Beirut, Steve Gutterman in Moscow, Khaled Yacoub Oweis in Amman and Mohammed Abbas in London; Editing by Alistair Lyon and Jason Webb)

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Justin Timberlake: 'I'm Ready' to Release New Music

By Kevin O'Donnell

01/10/2013 at 12:20 PM EST

Is Justin Timberlake bringing music back?

Despite reports in August that a new album wasn't forthcoming soon, the musician and actor revealed on Twitter Thursday he'll be releasing new music.

"I think I'M READY," he Tweeted before posting a link to a YouTube video which shows him walking into a studio and explains his absence from releasing new songs.

While he doesn't explicitly state what he's releasing – the video ends with a countdown that expires on Sunday at midnight – the pop star says in the clip, "I don't want to put anything out that I feel like is anything I don't love. You just don't get that every day. You have to wait for it. ... I'm ready."

Timberlake, who wed Jessica Biel in Italy in October, teased fans online about his announcement Wednesday night. "Thursday, January 10th, 2013 at 9:01 am PST…" he posted cryptically. That Tweet caused him to become a top trending topic almost immediately.

Despite the denial of a new album, a source told PEOPLE this summer that he had been cooking up new material with longtime collaborator Timbaland. The source added he was waiting for "the right time" to put it out. It seems that moment has come.

Since the release of Futuresex/Lovesounds in 2006, Timberlake has focused primarily on acting projects as well as MySpace, in which he took on a major role in June for the social networking site's re-launch.

• Reporting by JESSICA HERNDON

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Retooling Pap test to spot more kinds of cancer

WASHINGTON (AP) — For years, doctors have lamented that there's no Pap test for deadly ovarian cancer. Wednesday, scientists reported encouraging signs that one day, there might be.

Researchers are trying to retool the Pap, a test for cervical cancer that millions of women get, so that it could spot early signs of other gynecologic cancers, too.

How? It turns out that cells can flake off of tumors in the ovaries or the lining of the uterus, and float down to rest in the cervix, where Pap tests are performed. These cells are too rare to recognize under the microscope. But researchers from Johns Hopkins University used some sophisticated DNA testing on the Pap samples to uncover the evidence — gene mutations that show cancer is present.

In a pilot study, they analyzed Pap smears from 46 women who already were diagnosed with either ovarian or endometrial cancer. The new technique found all the endometrial cancers and 41 percent of the ovarian tumors, the team reported Wednesday in the journal Science Translational Medicine.

This is very early-stage research, and women shouldn't expect any change in their routine Paps. It will take years of additional testing to prove if the so-called PapGene technique really could work as a screening tool, used to spot cancer in women who thought they were healthy.

"Now the hard work begins," said Hopkins oncologist Dr. Luis Diaz, whose team is collecting hundreds of additional Pap samples for more study and is exploring ways to enhance the detection of ovarian cancer.

But if it ultimately pans out, "the neat part about this is, the patient won't feel anything different," and the Pap wouldn't be performed differently, Diaz added. The extra work would come in a lab.

The gene-based technique marks a new approach toward cancer screening, and specialists are watching closely.

"This is very encouraging, and it shows great potential," said American Cancer Society genetics expert Michael Melner.

"We are a long way from being able to see any impact on our patients," cautioned Dr. Shannon Westin of the University of Texas MD Anderson Cancer Center. She reviewed the research in an accompanying editorial, and said the ovarian cancer detection would need improvement if the test is to work.

But she noted that ovarian cancer has poor survival rates because it's rarely caught early. "If this screening test could identify ovarian cancer at an early stage, there would be a profound impact on patient outcomes and mortality," Westin said.

More than 22,000 U.S. women are diagnosed with ovarian cancer each year, and more than 15,000 die. Symptoms such as pain and bloating seldom are obvious until the cancer is more advanced, and numerous attempts at screening tests have failed.

Endometrial cancer affects about 47,000 women a year, and kills about 8,000. There is no screening test for it either, but most women are diagnosed early because of postmenopausal bleeding.

The Hopkins research piggybacks on one of the most successful cancer screening tools, the Pap, and a newer technology used along with it. With a standard Pap, a little brush scrapes off cells from the cervix, which are stored in a vial to examine for signs of cervical cancer. Today, many women's Paps undergo an additional DNA-based test to see if they harbor the HPV virus, which can spur cervical cancer.

So the Hopkins team, funded largely by cancer advocacy groups, decided to look for DNA evidence of other gynecologic tumors. It developed a method to rapidly screen the Pap samples for those mutations using standard genetics equipment that Diaz said wouldn't add much to the cost of a Pap-plus-HPV test. He said the technique could detect both early-stage and more advanced tumors. Importantly, tests of Paps from 14 healthy women turned up no false alarms.

The endometrial cancers may have been easier to find because cells from those tumors don't have as far to travel as ovarian cancer cells, Diaz said. Researchers will study whether inserting the Pap brush deeper, testing during different times of the menstrual cycle, or other factors might improve detection of ovarian cancer.

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Wall Street slightly higher on China data; S&P near resistance level

NEW YORK (Reuters) - U.S. stocks inched higher on Thursday, helped by stronger-than-expected exports in China, the world's second-biggest economy, but gains were capped as the S&P 500 hovered near a 5-year high.

Financial and telecommunications stocks were the day's top gainers, while the material sector was the biggest drag. The S&P 500 material sector index <.gspm> was off 0.3 percent. The financial sector index <.gspf> rose 0.6 percent and the telecom sector <.gspl> was up 0.5 percent.

The benchmark Standard & Poor's 500 index was near a five-year closing high of 1,466.47. On Friday, the index had ended at the highest close since December 2007.

"The market is technically right at the level of resistance, near 1,465-1,467. A solid breakthrough above the level would be the start of a next leg higher, but it looks like it is going to be difficult to break above that level for now," said Randy Frederick, managing director of active trading and derivatives at Charles Schwab. He cited concerns about the earnings season and upcoming debt ceiling talks.

The Dow Jones industrial average <.dji> was up 9.84 points, or 0.07 percent, at 13,400.35. The Standard & Poor's 500 Index <.spx> was up 2.55 points, or 0.17 percent, at 1,463.57. The Nasdaq Composite Index <.ixic> was down 2.01 points, or 0.06 percent, at 3,103.80.

In company news, shares of upscale jeweler Tiffany dropped 3.6 percent to $60.98 after it said earnings for the year through January 31 will be at the lower end of its forecast.

U.S.-traded Nokia shares jumped 17.3 percent to $4.40 after the Finnish handset maker said its fourth-quarter results were better than expected and that the mobile phone business achieved underlying profitability.

Herbalife Ltd stepped up its defense against activist investor Bill Ackman, stressing it was a legitimate company with a mission to improve nutrition and help public health. The stock was up 1.4 percent to $40.47.

Data showed China's export growth rebounded sharply to a seven-month high in December, a strong finish to the year after seven straight quarters of slowdown, even as demand from Europe and the United States remained subdued.

In the U.S., claims for unemployment benefits rose last week, though seasonal volatility made it difficult to get a clear picture of the labor market's health.

Also, U.S. wholesale inventories rose more than expected in November and sales rose by the most in more than 1-1/2 years. The market's reaction to both reports was muted.

(Reporting By Angela Moon; Editing by Nick Zieminski)

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Freed Iranians arrive in Damascus after prisoner swap

DAMASCUS/ISTANBUL (Reuters) - Forty-eight Iranians freed by Syrian rebels in exchange for more than 2,000 civilian prisoners held by the Syrian government arrived in central Damascus on Wednesday, a Reuters witness reported.

The Syrian government has not referred to the prisoner swap and the whereabouts of the civilian prisoners was not immediately known.

Opposition groups accuse it of detaining tens of thousands of political prisoners during his 12 years in office and say those numbers have spiked sharply during the 21-month-old civil war.

The Syrian rebel al-Baraa brigade seized the Iranians in early August and initially threatened to kill them, saying they were members of Iran's elite Islamic Revolutionary Guard Corps sent to fight for President Bashar al-Assad.

The Islamic Republic, one of his staunchest allies, denied this, saying they were Shi'ite Muslim pilgrims visiting shrines, and it asked Turkey and Qatar to use their connections with Syrian insurgents to help secure their release.

The freed Iranians arrived at a Damascus hotel in six small buses, looking tired but in good health, each carrying a white flower, and they were welcomed by Iranian Ambassador Mohammad Reza Sheibani. They did not speak to reporters.

Bulent Yildirim, head of the Turkish humanitarian aid agency IHH which helped broker the deal, told Reuters by telephone from Damascus shortly beforehand that the reciprocal release of 2,130 civilian prisoners - most of them Syrian but also including Turks and other foreign citizens - had begun.

Syrian government forces have struck local deals with rebel groups to trade prisoners but the release announced on Wednesday was the first time non-Syrians were freed in an exchange.

The Damascus government has periodically freed hundreds of prisoners during the conflict but always stressed such detainees "do not have blood on their hands."

Given the number of political prisoners held during the course of Assad's rule, missing persons became a key issue when street protests against him first erupted in March 2011.

Turkey is one of Assad's fiercest critics, a strong backer of his opponents and proponent of international intervention. It has denounced Iran's stance during the Syrian uprising, which has killed around 60,000 people according to a U.N. estimate.

Turkey, Gulf Arab states, the United States and European allies support the mainly Sunni Muslim Syrian rebels, while Shi'ite Iran supports Assad, whose Alawite minority is an offshoot of Shi'ite Islam.

A pro-government newspaper said on December 31 that Syrian forces arrested four Turkish fighter pilots who were trying to sneak into a military airport with an armed group in the northern province of Aleppo.

The Damascus-based al-Watan newspaper said the arrests at the Koers military base, 24 km (15 miles) east of Aleppo city, proved "scandalous Turkish involvement" in Syria's crisis.

TURKEY, QATAR INTERVENE

The al-Baraa brigade, part of the umbrella rebel organization, the Free Syrian Army, said in October it would start killing the Iranians unless Assad freed Syrian opposition detainees and stopped shelling civilian areas.

But Qatar, following a request from Iran, urged the rebels not to carry out the threat.

Insurgents fighting to topple Assad accuse Iran of sending fighters from the Revolutionary Guards to help his forces crush the revolt, a charge the Islamic Republic denies.

The rebels now control wide areas of northern and eastern Syria, most of its border crossings with Turkey and a crescent of suburbs around the capital Damascus.

But Assad's government is still firmly entrenched in the capital and controls most of the densely populated southwest, the Mediterranean coast and the main north-south highway.

The IHH has been involved in previous negotiations in recent months to release prisoners, including two Turkish journalists and Syrian citizens, held in Syria.

The humanitarian group came to prominence in May 2010 when Israeli marines stormed its Mavi Marmara aid ship to enforce a naval blockade of the Palestinian-run Gaza Strip and killed nine Turks in clashes with activists on board.

(Additional reporting by Oliver Holmes in Beirut and Marcus George in Dubai; Writing by Nick Tattersall)

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Why bother with a Facebook phone? Facebook’s app is already on 86% of iPhones and iPads

Rumors suggesting Facebook (FB) is working on a smartphone have resurfaced a number of times over the past year. Each time, Facebook denied the various claims. Facebook may indeed still be working on its own phone but as a new report from market research firm NPD Group shows, it probably doesn’t need to.

[More from BGR: Is Samsung the new Apple?]

Facebook makes money by gathering information about its users and serving targeted ads based on that data. Allowing users to update Facebook with fresh data as often as possible is obviously beneficial to the company, and smartphones present a terrific opportunity to give users access to their Facebook accounts from anywhere. The more people using Facebook’s mobile apps, the better, and Facebook’s smartphone penetration is absolutely staggering right now.

[More from BGR: iPhone 5 now available with unlimited service, no contract on Walmart’s $ 45 Straight Talk plan]

According to data published by NPD Group on Tuesday, Facebook’s iOS application was used by 86% of iPhone, iPad and iPod touch owners as of November 2012. On the Android platform, 70% of smartphone and tablet owners used Facebook’s mobile app in November.

No other third-party app even comes close to approaching Facebook’s mobile penetration. Google’s (GOOG) YouTube app is the next most popular third-party app on iOS with 40% penetration and Amazon’s (AMZN) mobile application is the second most popular third-party Android app with just 28% penetration.

So why would Facebook bother making its own phone?

One answer — perhaps the obvious one — is that an own-brand smartphone with custom software would give Facebook access to far more personal data than it can reach using third-party applications. Considering Facebook’s track record with matters relating to privacy, however, users may be reluctant to buy a Facebook phone.

In any case, a Facebook phone certainly doesn’t seem like a necessity for the time being. Instead, focusing on ways to effectively monetize the hundreds of millions of users who interact with Facebook from a smartphone or tablet each month might be a wiser use of resources.

This article was originally published on BGR.com

Social Media News Headlines – Yahoo! News

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Chasing the Saturdays: First Look at the British Girl Group's U.S. Reality Show

From the Beatles in the '60s to the Spice Girls in the '90s and One Direction these days, American music fans have a long-running infatuation with British singing groups.

Now: meet The Saturdays!

The pop quintet – Rochelle Humes, Frankie Sandford, Mollie King, Vanessa White and Una Healy, who's Irish – are bringing their vivacious music and sexy dance moves to the U.S., and they're getting a boost from E!

Chasing the Saturdays, a new reality show on the network premiering Jan. 20, will follow the group's attempt to break into the U.S. market after their success at home.

"It's been our dream as a band since day one to actually come to America and try and break it," says Vanessa, the youngest member of the group, in a first look their series.

"It's a little bit like starting over for us," Frankie says.

"It's scary," adds Rochelle, "and a little bit daunting."

Their first U.S. single, "What About Us," featuring Sean Paul, is out now. The video is due out on Friday.

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Flu season has Boston declaring health emergency

BOSTON (AP) — Massachusetts public health officials are reporting 18 flu-related deaths in the state already this season, and Boston has declared a public health emergency.

A spokeswoman for Mayor Thomas Menino says the city is working with health care centers to offer free flu vaccines and also hopes to set up public locations where people can go for vaccinations. The city is reporting four flu-related deaths.

There have been about 700 confirmed cases of the flu in Boston so far this season, about 10 times more than in the same period last year.

The Massachusetts Department of Public Health says the state is one of many reporting above average flu hospitalization rates. The Centers for Disease Control and Prevention has warned of a harsh flu season, which usually peaks in midwinter.

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Wall Street edges up after Alcoa beats revenue estimates

NEW YORK (Reuters) - Stocks edged higher on Wednesday after Alcoa got the earnings season under way with better-than-expected revenue and an encouraging outlook for the year.

The market's rise came after two-days of declines as there were few catalysts to give direction and investors fretted about the start of earnings season after the prior quarter's lackluster performance.

Alcoa Inc said late on Tuesday it expects global demand for aluminum to grow in 2013, though the company expressed concern about the impact on business from a confrontation in Washington over the U.S. budget. Shares of Alcoa, the largest U.S. aluminum producer, rose 0.5 percent to $9.15.

Profits were expected to beat the previous quarter's meager 0.1 percent rise. Both earnings and revenues in the fourth quarter were expected to grow by 1.9 percent, according to Thomson Reuters data.

But the lowered expectations leave room for companies to surprise investors even if their results aren't particularly strong, analysts said.

The current quarter was shaping up like the one before, with companies lowering expectations in recent weeks, James Dailey, portfolio manager of TEAM Asset Strategy Fund in Harrisburg, Pennsylvania, said.

"So the big question and focus is on revenue, and Alcoa had better-than-expected revenue," calming the market a little, Dailey said.

The Dow Jones industrial average <.dji> was up 73.35 points, or 0.55 percent, at 13,402.20. The Standard & Poor's 500 Index <.spx> was up 5.16 points, or 0.35 percent, at 1,462.31. The Nasdaq Composite Index <.ixic> was up 14.83 points, or 0.48 percent, at 3,106.64.

Among other earnings, Constellation Brands , whose labels include Robert Mondavi and Ravenswood wines, reported higher profit and raised its earnings forecast. The stock was down 0.8 percent at $35.74.

Apollo Group Inc slid more than 11 percent after it reported lower student sign-ups for the third straight quarter and cut its operating profit outlook for 2013. Apollo's shares were last at $18.63.

Dish Network Corp late Tuesday announced a bid for Clearwire Corp that trumped Sprint Nextel Corp's $2.2 billion offer, setting the stage for a battle over the wireless service provider.

Dish Network shares were up 2.1 percent at $36.73. Clearwire was up 7.5 percent at $3.14, while Sprint lost 2 percent to $5.85.

Hard drive maker Seagate Technology rose 4.2 percent to $32.70 after it raised its second-quarter revenue forecast.

(Reporting By Angela Moon; Editing by Kenneth Barry)

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Tunisia frees man held over attack on U.S. consulate in Libya

Tunis (Reuters) - Tunisia has freed, for lack of evidence, a Tunisian man who had been suspected of involvement in an Islamist militant attack in Libya last year in which the U.S. ambassador was killed, his lawyer said on Tuesday.

Ali Harzi was one of two Tunisians named in October by the Daily Beast website as having been detained in Turkey over the violence in which Christopher Stevens, the U.S. ambassador to Libya, and three other American officials were killed.

"The judge decided to free Harzi and he is free now," lawyer Anouar Awled Ali told Reuters. "The release came in response to our request to free him for lack of evidence and after he underwent the hearing with American investigators as a witness in the case."

A Tunisian justice ministry spokesman confirmed the release of Harzi but declined to elaborate.

A month ago, Harzi refused to be interviewed by visiting U.S. FBI investigators over the September 11 assault on the U.S. consulate in the eastern Libyan city of Benghazi.

The Daily Beast reported that shortly after the attacks began, Harzi posted an update on an unspecified social media site about the fighting.

It said Harzi was on his way to Syria when he was detained in Turkey at the behest of U.S. authorities, and that he was affiliated with a militant group in North Africa.

(Reporting by Tarek Amara; Editing by Mark Heinrich)

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Target to match some rivals’ online prices year-round

(Reuters) – Target Corp said on Tuesday it will match on a year-round basis the prices found on the websites of key rivals Amazon.com Inc, Best Buy Co Inc, Wal-Mart Stores Inc and Toys R Us, its latest tactic to hold onto shoppers focused on price.

The move extends an online price-matching program that Target introduced over the holiday season and which was supposed to last only from November 1 to December 16. It also comes after Target last week reported flat sales growth in December at stores open at least a year.

In November Chief Executive Gregg Steinhafel said the retailer was not seeing a lot of price-match activity in its stores.

While shopping online has grown rapidly in recent years, it still represents a small fraction of overall shopping in the United States. Target’s policy of matching online prices differs from policies at several chains, which match only printed advertised prices for items sold at stores.

Target said that throughout the year it will match the price when a customer buys an eligible item at one of its stores and finds the same item at a lower price in the following week’s Target circular or in a local competitor’s printed ad. It will also match the price if the customer finds the same item at a lower price within a week on Target’s website or the websites of Amazon, Walmart, Best Buy and Toys R Us.

Amazon says it offers competitive prices and does not offer price matching when an item’s price drops after a customer buys it, with the exception of televisions. Walmart matches the prices of print ads from competitors. Walmart also says it checks the prices of 30,000 items at competing chains each week to make sure it has the lowest prices.

Best Buy matches the price from a local competitor’s store, a local Best Buy store or its own web site. Toys R Us matches in-store prices and certain online prices.

(Reporting By Jessica Wohl in Chicago and Phil Wahba in New York; Editing by Alden Bentley and John Wallace)

Internet News Headlines – Yahoo! News

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Alison Sweeney Blogs: 'Oh, Dreaded Week Two' on The Biggest Loser

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By Alison Sweeney

01/08/2013 at 12:00 PM EST

Oh, dreaded week two! Emotions run high and numbers are typically low at the second weigh-in on The Biggest Loser. Never ones to keep things the same from season to season, it seemed like the prefect time to introduce the outdoor gyms created by each of the trainers.

Dolvett's dungeon pushed his team, but nothing compared to Jillian's gym ... or to Jillian's frustration with her team. As I watched the workout, I felt for Danni and Pam. Jillian's tenacity and relentlessness was hard to watch. I thought their conversation the next day was really important – and not just for each of them as individuals but for the audience, as well, to help us understand why Jillian fights so hard for, and how to not give up when the going gets tough.

I personally also love NFL week because of the incredible athletes that motivate our contestants. This season, eight-time NFL Pro Bowler Antonio Gates didn't disappoint. The best part of the challenge was the kids being reunited with their teams and how encouraging everyone was with each other. I loved every aspect of the challenge – I thought it did equalize everything, giving each team a chance at the prize. And yet the white team has now won back-to-back challenges!

It was so fun to see Bob teasing Gina. "This is not the Biggest Loser Resort & Spa!" he told her. He cracks me up! And WOW, what a change from Jillian in the last chance work out with Pam! I was so impressed! She had the conversation with them, followed through on her end of the bargain, and so did Pam. When Jill told me about it at the weigh-in I was shocked, but to watch it in the context of the show ... I was moved.

Those kid statistics in the Biggest Loser Fitness test are so important. As Dolvett said, "We are responsible. We have to do something." It's such a great idea to get kids motivated and taking those first steps. Remember that test – it definitely comes back into play later in the season!

The hardest part for all of us was in losing Nate. He and TC were both such strong influences in the house and worked so hard. They deserved every second on the Ranch and so much more time. But the changes Jillian made with them in a short time will hopefully last a long and healthy lifetime.

Favorite moment of the week: when Jillian was confronting Pam and she accidentally (Freudian slip?) said "bear claw" instead of "bear CRAWL." I loved the way it broke the tension, the way they both took a moment and laughed about it. I would never admit to Jill I know the name of any donut. Lol! It was a great moment.

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Report: Death rates from cancer still inching down

WASHINGTON (AP) — Death rates from cancer are continuing to inch down, researchers reported Monday.

Now the question is how to hold onto those gains, and do even better, even as the population gets older and fatter, both risks for developing cancer.

"There has been clear progress," said Dr. Otis Brawley of the American Cancer Society, which compiled the annual cancer report with government and cancer advocacy groups.

But bad diets, lack of physical activity and obesity together wield "incredible forces against this decline in mortality," Brawley said. He warned that over the next decade, that trio could surpass tobacco as the leading cause of cancer in the U.S.

Overall, deaths from cancer began slowly dropping in the 1990s, and Monday's report shows the trend holding. Among men, cancer death rates dropped by 1.8 percent a year between 2000 and 2009, and by 1.4 percent a year among women. The drops are thanks mostly to gains against some of the leading types — lung, colorectal, breast and prostate cancers — because of treatment advances and better screening.

The news isn't all good. Deaths still are rising for certain cancer types including liver, pancreatic and, among men, melanoma, the most serious kind of skin cancer.

Preventing cancer is better than treating it, but when it comes to new cases of cancer, the picture is more complicated.

Cancer incidence is dropping slightly among men, by just over half a percent a year, said the report published by the Journal of the National Cancer Institute. Prostate, lung and colorectal cancers all saw declines.

But for women, earlier drops have leveled off, the report found. That may be due in part to breast cancer. There were decreases in new breast cancer cases about a decade ago, as many women quit using hormone therapy after menopause. Since then, overall breast cancer incidence has plateaued, and rates have increased among black women.

Another problem area: Oral and anal cancers caused by HPV, the sexually transmitted human papillomavirus, are on the rise among both genders. HPV is better known for causing cervical cancer, and a protective vaccine is available. Government figures show just 32 percent of teen girls have received all three doses, fewer than in Canada, Britain and Australia. The vaccine was recommended for U.S. boys about a year ago.

Among children, overall cancer death rates are dropping by 1.8 percent a year, but incidence is continuing to increase by just over half a percent a year. Brawley said it's not clear why.

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Wall Street loses ground as earnings season starts

NEW YORK (Reuters) - U.S. stocks fell on Tuesday as the market consolidated from last week's rally on the "fiscal cliff" deal in Congress and investors awaited the start of the earnings season with lowered expectations.

Profits in the fourth quarter are seen above the previous quarter's lackluster results, but analysts' current estimates are down sharply from where they were in October. Quarterly earnings are expected to grow by 2.7 percent, according to Thomson Reuters data.

The benchmark S&P index has fallen 0.7 percent in the wake of the 4.3 percent jump in the two days surrounding the conclusion of the fiscal cliff debate, and investors have found few catalysts to extend the brief rally.

"The path of least resistance at the moment is lower just because we had that explosion to the upside after (the debate) in Washington," said Ken Polcari, director of the NYSE floor division at O'Neil Securities in New York.

"People are concerned about earnings," Polcari said, adding that other worries include raising the federal debt ceiling and automatic spending cuts set to take effect in weeks unless Congress acts.

"You are going to get this kind of apathetic market until we start to see what earnings look like," he said.

In Tuesday's results, Monsanto Co shares rose 2.6 percent to $98.46 after hitting a more than four-year high at $99.99. The world's largest seed company raised its earnings outlook for fiscal 2013 and posted strong first-quarter results.

Education provider Apollo Group and Dow component Alcoa Inc , the largest U.S. aluminum producer, round out the start of earnings season after the closing bell.

The Dow Jones industrial average <.dji> dropped 66.38 points, or 0.50 percent, to 13,317.91. The Standard & Poor's 500 Index <.spx> lost 7.88 points, or 0.54 percent, to 1,454.01. The Nasdaq Composite Index <.ixic> shed 17.31 points, or 0.56 percent, to 3,081.51.

AT&T Inc , which fell 1.8 percent to $34.30, was the biggest drag on the S&P 500 after the company said it had sold more than 10 million smartphones in the quarter, topping the same quarter in 2011 but also increasing costs for the wireless service provider.

Providers like AT&T pay hefty subsidies to handset makers so that they can offer device discounts to customers who commit to two-year contracts. Rival Verizon Wireless said on Monday it had its strongest fourth quarter ever.

The S&P telecom services index <.gspl>, down 2.8 percent, was the worst performing of the 10 major S&P sectors.

Shares of restaurant-chain operator Yum Brands Inc fell 4.5 percent to $64.82 a day after the KFC parent warned sales in China, its largest market, shrank more than expected in the fourth quarter.

Sears Holdings shares slumped 5.4 percent to $40.59 a day after the company said Chairman Edward Lampert would take over as CEO from Louis D'Ambrosio, who is stepping down due to a family member's health issue. The U.S. retailer also reported a 1.8 percent decline in quarter-to-date sales at stores open at least a year.

GameStop shares dropped 4.8 percent to $23.57 as the worst performer on the S&P 500 after the video game retailer reported sales for the holiday season and cut its guidance.

(Reporting by Chuck Mikolajczak; Editing by Kenneth Barry)

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Five accused in India rape case charged in court

NEW DELHI (Reuters) - Five men accused of raping and murdering an Indian student were read the charges in a near-empty courtroom on Monday after the judge cleared out lawyers for bickering over whether the men deserved a defense.

The 23-year-old physiotherapy student died two weeks after being gang-raped and beaten on a moving bus in New Delhi, then thrown bleeding onto the street. Protests followed, along with a fierce public debate over police failure to stem rampant violence against women.

With popular anger simmering against the five men and a teenager accused in the case, most lawyers in the district where the trial will be held refuse to represent them.

Before the men arrived for a pre-trial hearing on Monday, heckling broke out in a chamber packed with jostling lawyers, journalists and members of the public after two of the lawyers, Manohar Lal Sharma and V. K. Anand, offered to defend the men.

"We are living in a modern society," declared Lal Sharma, defending his decision. "We all are educated. Every accused, including those in brutal offences like this, has the legal right ... to defend themselves."

One woman lawyer prodded V. K. Anand in the chest, saying: "I'll see how you can represent the accused."

Unable to restore order, presiding magistrate Namrita Aggarwal ordered everyone to leave except the prosecution, and set police to guard the entrance.

She said the trial would now be held behind closed doors because of the sensitivity of the case.

FACES COVERED

Reuters video images showed the men stepping out of a blue police van that brought them from Tihar jail and walking, their faces covered, through a metal detector into the South Delhi court building.

The court was across the street from the cinema where the victim watched a film before she was attacked on her way home.

Aggarwal gave the men copies of the charges, which include murder, rape and abduction, a prosecutor in the case told Reuters.

Police have conducted extensive interrogations and say they have recorded confessions, even though the men have no lawyers.

If the men, most of them from a slum neighborhood, cannot arrange a defense, the court will offer them legal aid before the trial begins.

Two of them, Vinay Sharma and Pawan Gupta, have offered to give evidence against the others - Mukesh Kumar, Ram Singh and Akshay Thakura - possibly in return for a lighter sentence.

Mohan, describing what he called a heinous crime, said: "The five accused persons deserve not less than the death penalty."

The case has sharpened long-standing anger against the government and police for a perceived failure to protect women.

A male friend who was assaulted with the woman on December 16 said on Friday that passers-by left her unclothed and bleeding in the street for almost an hour and that, when police arrived, they spent a long time arguing about where to take them.

The woman lived for two weeks after her attack, dying in a Singapore hospital where she had been taken for treatment.

FAST-TRACK COURT

Aggarwal said the next hearing would be on January 10. The case is due to move later to another, fast-track court set up since the woman was attacked to help reduce a backlog of sex crime cases in Delhi.

Legal experts say the lack of representation for the five men may give grounds for appeal if they are found guilty. Convictions in similar cases have often been overturned years later.

Some legal experts have also warned that previous attempts to fast-track justice in India in some cases led to imperfect convictions that were later challenged.

The sixth member of the group alleged to have lured the student and a male friend into the private bus is under 18 and will be tried in a separate juvenile court.

The government is aiming to lower the age at which teenagers can be tried as adults, acknowledging public anger that the boy will face a maximum three-year sentence.

The victim was identified by a British newspaper at the weekend but Reuters has opted not to name her.

Indian law generally prohibits the identification of victims of sex crimes. The law is intended to protect victims' privacy and keep them out of the glare of media in a country where the social stigma associated with rape can be devastating.

The dead woman's father repeated on Monday that he wanted her identified and said he would be happy to release a photograph of her.

"We don't want to hide her identity. There is no reason for that. The only condition is it should not be misused," he told Reuters.

He said he was confident the trial would be quick and reiterated a call that the perpetrators be hanged.

(Writing by Frank Jack Daniel; Editing by Robert Birsel and Tom Pfeiffer)

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Kuwait sentences second man to jail for insulting emir: lawyer

DUBAI (Reuters) – A Kuwaiti court sentenced a man to two years in prison on Monday for insulting the country’s ruler on Twitter, his lawyer said, the second to be jailed for the offence in as many days.

The U.S.-allied Gulf Arab state has clamped down in recent months on political activists who have been using social media websites to criticize the government and the ruling family.

Kuwait has seen a series of protests, including one on Sunday night, organized by the opposition since the ruling emir, Sheikh Sabah al-Ahmad al-Sabah, used emergency powers in October to change the voting system.

The court sentenced Ayyad al-Harbi, who has more than 13,000 followers on Twitter, to the prison term two months after his arrest and release on bail.

Harbi used his Twitter account to criticize the Kuwait government and the emir. He tweeted on Sunday: “Tomorrow morning is my trial’s verdict on charges of slander against the emir, spreading of false news.”

His lawyer, Mohammed al-Humidi, said Harbi would appeal against the verdict. “We’ve been taken by surprise because Kuwait has always been known internationally and in the Arab world as a democracy-loving country,” Humidi told Reuters by telephone. “People are used to democracy, but suddenly we see the constitution being undermined.”

On Sunday, Rashid Saleh al-Anzi was given two years in prison over a tweet that “stabbed the rights and powers of the emir”, according to the online newspaper Alaan. Anzi, who has 5,700 Twitter followers, was expected to appeal.

Kuwait, a U.S. ally and major oil producer, has been taking a firmer line on politically sensitive comments aired on the Internet.

In June 2012, a man was sentenced to 10 years in prison after he was convicted of endangering state security by insulting the Prophet Mohammad and the Sunni Muslim rulers of Saudi Arabia and Bahrain on social media.

Two months later, authorities detained Sheikh Meshaal al-Malik Al-Sabah, a member of the ruling family, over remarks on Twitter in which he accused authorities of corruption and called for political reform, a rights activist said.

Public demonstrations about local issues are common in a state that allows the most dissent in the Gulf, and Kuwait has avoided Arab Spring-style mass unrest that has ousted four veteran Arab dictators in the past two years.

But tensions have risen between Kuwait’s hand-picked government, in which ruling family members hold the top posts, and the elected parliament and opposition groups.

(Reporting by Mahmoud Habboush; Editing by Mark Heinrich)

Internet News Headlines – Yahoo! News

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Kate Falls Under Vogue's Microscope

By Stephen M. Silverman

01/07/2013 at 12:45 PM EST

Duchess of Cambridge

Fame; Landov (2); WireImage

What's a little more scrutiny?

Arguably the most-watched fashion icon – certainly the most closely followed expectant mother – in the world, the Duchess of Cambridge has been placed under the microscope of U.K. Vogue for its February issue.

Before determining the key to her "feminine and traditional" style (at least, before her baby bump), the publication first categorizes Kate's look as "International Sleekness."

Just how close is the mag's inspection? Close enough to note exactly how often and the manner in which Kate, who turns 31 Jan. 9, holds her clutch bags: hands together, 48% of the time; one-handed, 31%.

As for when the Kate phenomenon actually started, the article's author, Lisa Armstrong, fashion editor of the Daily Telegraph, turns to Reiss's brand director, Andy Rogers. He pinpoints the moment to "when Kate wore that nude-pink Shola dress to meet the Obamas at Buckingham Palace in May 2011."

Comparing the two women's styles, Rogers says, "Michelle wore a beautiful blue silk dress and fuchsia jacket, very bold, and probably bang-on trend – but whoa, it clashed with the [gaudy] decor." As a result, "Kate," he insists, "dominates the picture."

She also helped put the fashion brand on the map. "In the past 18 months, thanks to the Kate Effect, Reiss's reputation has grown globally," Armstrong writes. "Before Kate, Reiss had eight stores in America. Now it has 14 more concessions, all in Bloomingdale's."

By Vogue's calculation, Kate also helped boost sales of hosiery at the British supermarket chain Asda by a staggering 500%.

Apparently, too, Kate is strictly hands-on when it comes to her appearance. "She's got someone who organizes appointments with designers," a fashion-industry fixer tells Vogue. "Obviously there are ladies-in-waiting who do the packing. But she had to work out her look herself."

Other vitals: the royal ringlets measure nearly one inch; she works out "all the time, apparently"; necklines are "usually curved"; she wears blue 24% of the time and cream or yellow only 5%; she positions her hats "to the right of the royal 'do at a 50-degree angle, thus emphasizing her cheekbones"; and she prefers three-quarter-length sleeves, the better to reveal her wrist bling and confirm the fact that her arms are not too thin.

So, what's ahead? "Diverting looks," writes Armstrong, "and a fair few raised waists that accommodate, rather than flaunt, the royal belly." But wait, there's more: "And even more luxuriant hair."

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Your medical chart could include exercise minutes

CHICAGO (AP) — Roll up a sleeve for the blood pressure cuff. Stick out a wrist for the pulse-taking. Lift your tongue for the thermometer. Report how many minutes you are active or getting exercise.

Wait, what?

If the last item isn't part of the usual drill at your doctor's office, a movement is afoot to change that. One recent national survey indicated only a third of Americans said their doctors asked about or prescribed physical activity.

Kaiser Permanente, one of the nation's largest nonprofit health insurance plans, made a big push a few years ago to get its southern California doctors to ask patients about exercise. Since then, Kaiser has expanded the program across California and to several other states. Now almost 9 million patients are asked at every visit, and some other medical systems are doing it, too.

Here's how it works: During any routine check of vital signs, a nurse or medical assistant asks how many days a week the patient exercises and for how long. The number of minutes per week is posted along with other vitals at the top the medical chart. So it's among the first things the doctor sees.

"All we ask our physicians to do is to make a comment on it, like, 'Hey, good job,' or 'I noticed today that your blood pressure is too high and you're not doing any exercise. There's a connection there. We really need to start you walking 30 minutes a day,'" said Dr. Robert Sallis, a Kaiser family doctor. He hatched the vital sign idea as part of a larger initiative by doctors groups.

He said Kaiser doctors generally prescribe exercise first, instead of medication, and for many patients who follow through that's often all it takes.

It's a challenge to make progress. A study looking at the first year of Kaiser's effort showed more than a third of patients said they never exercise.

Sallis said some patients may not be aware that research shows physical inactivity is riskier than high blood pressure, obesity and other health risks people know they should avoid. As recently as November a government-led study concluded that people who routinely exercise live longer than others, even if they're overweight.

Zendi Solano, who works for Kaiser as a research assistant in Pasadena, Calif., says she always knew exercise was a good thing. But until about a year ago, when her Kaiser doctor started routinely measuring it, she "really didn't take it seriously."

She was obese, and in a family of diabetics, had elevated blood sugar. She sometimes did push-ups and other strength training but not anything very sustained or strenuous.

Solano, 34, decided to take up running and after a couple of months she was doing three miles. Then she began training for a half marathon — and ran that 13-mile race in May in less than three hours. She formed a running club with co-workers and now runs several miles a week. She also started eating smaller portions and buying more fruits and vegetables.

She is still overweight but has lost 30 pounds and her blood sugar is normal.

Her doctor praised the improvement at her last physical in June and Solano says the routine exercise checks are "a great reminder."

Kaiser began the program about three years ago after 2008 government guidelines recommended at least 2 1/2 hours of moderately vigorous exercise each week. That includes brisk walking, cycling, lawn-mowing — anything that gets you breathing a little harder than normal for at least 10 minutes at a time.

A recently published study of nearly 2 million people in Kaiser's southern California network found that less than a third met physical activity guidelines during the program's first year ending in March 2011. That's worse than results from national studies. But promoters of the vital signs effort think Kaiser's numbers are more realistic because people are more likely to tell their own doctors the truth.

Dr. Elizabeth Joy of Salt Lake City has created a nearly identical program and she expects 300 physicians in her Intermountain Healthcare network to be involved early this year.

"There are some real opportunities there to kind of shift patients' expectations about the value of physical activity on health," Joy said.

NorthShore University HealthSystem in Chicago's northern suburbs plans to start an exercise vital sign program this month, eventually involving about 200 primary care doctors.

Dr. Carrie Jaworski, a NorthShore family and sports medicine specialist, already asks patients about exercise. She said some of her diabetic patients have been able to cut back on their medicines after getting active.

Dr. William Dietz, an obesity expert who retired last year from the Centers for Disease Control and Prevention, said measuring a patient's exercise regardless of method is essential, but that "naming it as a vital sign kind of elevates it."

Figuring out how to get people to be more active is the important next step, he said, and could have a big effect in reducing medical costs.

___

Online:

Exercise: http://1.usa.gov/b6AkMa

___

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

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Wall Street falls after five-year high, earnings in focus

NEW YORK (Reuters) - Stocks fell on Monday as banks agreed to pay billions in a settlement with U.S. regulators and investors speculated that U.S. earnings for the end of 2012 would be only modestly better than in the previous quarter.

Financials declined after a group of home mortgage servicers, including major U.S. banks, agreed to pay a total of $8.5 billion to end a government-ordered, case-by-case review of foreclosures.

The KBW bank index <.bkx>, a gauge of U.S. bank stocks, was down 0.7 percent.

Earnings are expected to be only slightly better than the third-quarter's lackluster results, and analysts' current estimates are down sharply from what they were in October.

"There is little doubt that concerns about the fiscal cliff created spending hesitancy in both consumers and businesses in the fourth quarter, and it is likely that will adversely impact earnings season," said Randy Frederick, managing director of active trading and derivatives at Charles Schwab.

Aluminum company Alcoa Inc will unofficially launch the reporting season by announcing its results after Tuesday's market close.

The Dow Jones industrial average <.dji> was down 77.33 points, or 0.58 percent, at 13,357.88. The Standard & Poor's 500 Index <.spx> was down 8.69 points, or 0.59 percent, at 1,457.78. The Nasdaq Composite Index <.ixic> was down 12.39 points, or 0.40 percent, at 3,089.26.

The day's decline came a session after the S&P 500 finished at a five-year high and investors booked profits on stocks' best weekly gain in more than a year, boosted by a budget deal and economic data. The S&P 500 rose 4.6 percent last week.

Ten mortgage servicers - including Bank of America , Citigroup , JPMorgan , and Wells Fargo - agreed on Monday to pay $8.5 billion to end a case-by-case review of foreclosures required by U.S. regulators.

Bank of America also announced roughly $11.6 billion of settlements with mortgage finance company Fannie Mae and a $1.8 billion sale of collection rights on home loans.

The bank also entered into agreements with Nationstar Mortgage Holdings and Walter Investment Management to sell about $306 billion of residential mortgage servicing rights.

Bank of America shares were down 0.6 percent at $12.04 while Nationstar Mortgage Holdings jumped 11.3 percent to $36.97.

JPMorgan shares were down 0.4 percent at $45.16 and Citigroup shares were down 0.8 percent to $42.07. Wells Fargo shares fell 1.1 percent to $34.55.

Walt Disney Co started an internal cost cutting review several weeks ago that may include layoffs at its studio and other units, three people with knowledge of the effort told Reuters. Disney shares fell 2.4 percent to $50.95.

Video-streaming service Netflix Inc shares gained 5.8 percent to $101.55 after it said it will carry previous seasons of some popular shows produced by Time Warner's Warner Bros Television.

Amazon.com shares hit their highest price ever at $269.22 after Morgan Stanley raised its rating on the stock. Shares were up 3.3 percent at $267.77.

Major U.S. technology companies could miss estimates for fourth-quarter earnings as budget worries likely led some corporate clients to tighten their belts last month.

(Reporting By Angela Moon; Editing by Kenneth Barry)

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