Stock futures mixed on "fiscal cliff" worries


NEW YORK (Reuters) - Stock futures were mixed on Thursday as a new round of stimulus for the economy was not enough to offset worries over the impact of the impending "fiscal cliff".


* In the European Union, finance ministers reached a deal to make the European Central Bank the bloc's top banking supervisor. The move could boost confidence in leaders' ability to tackle the region's sovereign debt crisis.


* But the set of U.S. tax hikes and spending cuts that are set to come into effect in the new year remained at the forefront of investors' minds. Negotiators on Wednesday warned the showdown over reaching a deal could drag on past Christmas.


* The Federal Reserve on Wednesday announced a fresh bout of stimulus for the U.S. economy, but markets focused on comments from Chairman Ben Bernanke, who reiterated that monetary policy would not be enough to offset going over the fiscal cliff.


* Investors are worried that doing so could send the economy back into recession, though most expect a deal will be struck eventually.


* The central bank also took the unprecedented step of indicating interest rates would remain near zero until unemployment falls to at least 6.5 percent.


* In a busy day of data, reports on U.S. producer prices, retail sales and first time claims for unemployment benefits will all be released at 8:30 am ET (1330 GMT). Business inventories are due at 10:00 am ET (1500 GMT).


* S&P 500 futures fell 0.70 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 were up 11 points, while Nasdaq 100 futures added 1.25 points.


* Sprint Nextel Corp is looking to buy Clearwire Corp stock it does not already own for $2.90 per share, it said in a regulatory filing. Shares of Clearwire were up 5.5 percent at $2.90 in premarket trading.


* Knight Capital Group Inc expects to make a decision on its future ownership by early next week, the Wall Street Journal reported, citing people familiar with the matter.


* Australia's GrainCorp Ltd rejected a sweetened $2.9 billion bid from Archer Daniels Midland Co . Analysts said ADM was likely to lift its bid for the company.


(Reporting by Leah Schnurr)



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Pope Benedict offers blessings with his first tweet






VATICAN CITY (Reuters) – After weeks of anticipation, Pope Benedict sent his first tweet on Wednesday.


“Dear friends, I am pleased to get in touch with you through Twitter. Thank you for your generous response. I bless all of you from my heart.”






The tweet was sent when the 85-year-old pope tapped on a touch screen at the end of his weekly general audience in the Vatican before thousands of people.


(Reporting By Philip Pullella, editing by Paul Casciato)


Internet News Headlines – Yahoo! News


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The Voice: Team Blake Goes Two-For-Two






The Voice










12/12/2012 at 07:40 AM EST







From left: Judges Adam Levine, Cee Lo Green, Christina Aguilera and Blake Shelton


Trae Patton/NBC


And then there were three – thanks to Tuesday night's episode of The Voice.

Team Blake's Cassadee Pope and Terry McDermott and Team Cee Lo's Trevin Hunte and Nicholas David all awaited their fates during the elimination round to decide the top three, with the coaches seeming to be relieved that they would not have a role in the challenging decision.

McDermott was the first to learn that America's votes had guaranteed him another round of competition. To their coach's delight, Team Blake went two-for-two when Pope joined her teammate in celebration.

While Shelton's team remained intact, Green waited for his contestants' moment of truth. The coaches struggled to say goodbye to either one of the beloved singers.

Christina Aguilera advised Hunte and David to soak up all the lessons they learned on The Voice and move forward no matter what happened. Adam Levine opened up about his own regrets, having not turned his chair around the first time for the singers.

"I have grown to love you as people and love your talent so much," Levine said. "I was wrong not to turn around."

Their coach was also upset. "It's very disheartening and very difficult to see two of my best people on this show being pinned against each other," Green said.

David was the last contestant saved, while Hunte was sent home. "Thank you for pushing and motivating me." Hunte told his coach. "I love you, Cee Lo."

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DA investigating Texas' troubled $3B cancer agency


AUSTIN, Texas (AP) — Turmoil surrounding an unprecedented $3 billion cancer-fighting effort in Texas worsened Tuesday when its executive director offered his resignation and the state's chief public corruption prosecutor announced an investigation into the beleaguered agency.


No specific criminal allegations are driving the latest probe into the Cancer Prevention and Research Institute of Texas, said Gregg Cox, director of the Travis County district attorney's public integrity unit. But his influential office opened a case only weeks after the embattled agency disclosed that an $11 million grant to a private company bypassed review.


That award is the latest trouble in a tumultuous year for CPRIT, which controls the nation's second-largest pot of cancer research dollars. Amid the mounting problems, the agency announced Tuesday that Executive Director Bill Gimson had submitted his letter of resignation.


"Unfortunately, I have also been placed in a situation where I feel I can no longer be effective," Gimson wrote in a letter dated Monday.


Gimson said the troubles have resulted in "wasted efforts expended in low value activities" at the agency, instead of a focused fight against cancer. Gimson offered to stay on until January, and the agency's board must still approve his request to step down.


His departure would complete a remarkable house-cleaning at CPRIT in a span of just eight months. It began in May, when Dr. Alfred Gilman resigned as chief science officer in protest over a different grant that the Nobel laureate wanted approved by a panel of scientists. He warned it would be "the bomb that destroys CPRIT."


Gilman was followed by Chief Commercialization Officer Jerry Cobbs, whose resignation in November came after an internal audit showed Cobbs included an $11 million proposal in a funding slate without a required outside review of the project's merits. The lucrative grant was given to Dallas-based Peloton Therapeutics, a biomedical startup.


Gimson chalked up Peloton's award to an honest mistake and has said that, to his knowledge, no one associated with CPRIT stood to benefit financially from the company receiving the taxpayer funds. That hasn't satisfied some members of the agency's governing board, who called last week for more assurances that no one personally profited.


Cox said he has been following the agency's problems and his office received a number of concerned phone calls. His department in Austin is charged with prosecuting crimes related to government officials; his most famous cases include winning a conviction against former U.S. House Majority Leader Tom DeLay in 2010 on money laundering charges.


"We have to gather the facts and figure what, if any, crime occurred so that (the investigation) can be focused more," Cox said.


Gimson's resignation letter was dated the same day the Texas attorney general's office also announced its investigation of the agency. Cox said his department would work cooperatively with state investigators, but he made clear the probes would be separate.


Peloton's award marks the second time this year that a lucrative taxpayer-funded grant authorized by CPRIT instigated backlash and raised questions about oversight. The first involved the $20 million grant to M.D. Anderson Cancer Center in Houston that Gilman described as a thin proposal that should have first been scrutinized by an outside panel of scientific peer-reviewers, even though none was required under the agency's rules.


Dozens of the nation's top scientists agreed. They resigned en masse from the agency's peer-review panels along with Gilman. Some accused the agency of "hucksterism" and charting a politically-driven path that was putting commercial product-development above science.


The latest shake-up at CPRIT caught Gilman's successor off-guard. Dr. Margaret Kripke, who was introduced to reporters Tuesday, acknowledged that she wasn't even sure who she would be answering to now that Gimson was stepping down. She said that although she wasn't with the agency when her predecessor announced his resignation, she was aware of the concerns and allegations.


"I don't think people would resign frivolously, so there must be some substance to those concerns," Kripke said.


Kripke also acknowledged the challenge of restocking the peer-review panels after the agency's credibility was so publicly smeared by some of the country's top scientists. She said she took the job because she felt the agency's mission and potential was too important to lose.


Only the National Institutes of Health doles out more cancer research dollars than CPRIT, which has awarded more than $700 million so far.


Gov. Rick Perry told reporters in Houston on Tuesday that he wasn't previously aware of the resignation but said Gimson's decision to step down was his own.


Joining the mounting criticism of CPRIT is the woman credited with brainstorming the idea for the agency in the first place. Cathy Bonner, who served under former Texas Gov. Ann Richards, teamed with cancer survivor Lance Armstrong in selling Texas voters in 2007 on a constitutional amendment to create an unprecedented state-run effort to finance a war on disease.


Now Bonner says politics have sullied an agency that she said was built to fund research, not subsidize private companies.


"There appears to be a cover-up going on," Bonner said.


Peloton has declined comment about its award and has referred questions to CPRIT. The agency has said the company wasn't aware that its application was never scrutinized by an outside panel, as required under agency rules.


___


Follow Paul J. Weber on Twitter: www.twitter.com/pauljweber


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Stock futures edge higher as investors focus on Fed


NEW YORK (Reuters) - Stock futures edged higher on Wednesday, setting Wall Street up for a sixth day of gains, as investors anticipated the U.S. Federal Reserve will announce a new round of bond buying to support the economy.


* The Fed is expected to unveil a fresh round of bond buying on Wednesday as part of efforts to support a fragile economic recovery threatened by political wrangling over the government's budget. The monetary policy committee's decision is expected around 12:30 p.m. ET.


* Negotiations intensified to avert the "fiscal cliff" - tax hikes and spending cuts that kick in early in 2013 - ahead of a year-end deadline as President Barack Obama and U.S. House of Representatives Speaker John Boehner spoke by phone on Tuesday after exchanging new proposals.


* On the macroeconomic front, import and export price data is due at 8:30 a.m. ET. Economists in a Reuters survey expect import prices edged down by 0.5 percent last month, while export prices remained flat.


* S&P 500 futures rose 2 points and were slightly 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 gained 14 points, and Nasdaq 100 futures added 6.75 points.


* India's government announced an inquiry into lobbying practices by Wal-Mart Stores Inc. on Wednesday after a report that the giant retailer had pressed U.S. lawmakers to help gain access to foreign markets.


* Costco Wholesale Corp posted a 30 percent rise in quarterly profit, beating expectations, as the largest U.S. warehouse club chain saw sales rise and got a lift from higher membership fees.


* Sprint Nextel Corp is in talks with Intel Corp and Comcast Corp to buy out their stakes in the U.S. wireless provider Clearwire Corp , two people familiar with the matter said on Tuesday.


* U.S. stocks rose on Tuesday, led by technology companies. The S&P 500 closed at its highest since Election Day on November 6.


(Reporting by Angela Moon; Editing by Bernadette Baum)



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Mali’s Prime Minister Arrested by Military





BAMAKO, Mali – Soldiers arrested Mali’s prime minister at his residence late Monday night, in new turmoil in a West African nation racked by military interference and an Islamist takeover in the north.







Associated Press

Prime Minister Cheikh Modibo Diarra appeared on state television and announced his government’s resignation on Tuesday.







Hours later, Prime Minister Cheikh Modibo Diarra appeared grim-faced on national television to announce his government’s resignation. A spokesman for soldiers who seized power earlier in the year — and later nominally relinquished to Mr. Diarra — confirmed the prime minister’s arrest on Tuesday morning, accusing him of “playing a personal agenda” while the country faced a crisis in the north.


Mr. Diarra was taken by soldiers late Monday to the military encampment at Kati, just outside Bamako, the capital, where Capt. Amadou Sanogo, the officer who led the March military coup, and others told him “there were proofs against him that he was calling for subversion,” said a military spokesman, Bakary Mariko.


On Tuesday morning, the streets of Bamako appeared calm following what appeared to be the country’s second coup d’état in less than a year. But the new upheaval was likely to be considered a setback in western efforts to help Mali regain control of territory lost to Al Qaeda-linked militants earlier in the year.


The west has watched with growing alarm as Islamists radicals have constructed a stronghold in the country’s vast north and the United Nations, regional African bodies, France and the United States have engaged to aid the faltering Malian army in a military strike to take back the lost north. Those efforts have so far not coalesced in a coherent plan, despite numerous meetings and United Nations resolutions. More meetings at the United Nations were planned for later this month.


The latest political turmoil in the capital will almost certainly slow down any campaign in the north, however. Already, the United States has expressed reluctance to provide too much direct military assistance, given the shakiness of the political order here. Those doubts will likely only increase following the latest upheaval.


Mr. Diarra — appointed last spring as a caretaker prime minister until new elections, interrupted by the coup, could be organized — was known to disagree with Captain Sanogo on military policy.


He has been an advocate of immediate international military assistance to recapture the north from the Islamists. Captain Sanogo has rebuffed suggestions that the Malian military was incapable of handling the job on its own. Indeed, the captain for weeks resisted the notion that troops from other African nations should even approach the capital.


While Mr. Diarra has made the rounds of foreign capitals, pleading for help to fight the increasingly aggressive Islamists, military leaders have remained at the Kati base, grumbling.


That conflict was evident in the declarations of the military’s spokesman on Tuesday. “Since he has been in power, he has been working simply to position his own family,” Mr. Mariko, the spokesman, said. “There has been a paralysis in government.”


On Monday night, around 11 p.m. here, as Mr. Diarra was preparing for a flight to Paris for a medical checkup exam when the soldiers appeared at his home, and took him to Kati, Mr. Mariko said. “He was getting ready to go to the airport,” Mr. Mariko said.


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Amanda Seyfried: 'Everyone Wants to Have Sex' with Channing Tatum















12/11/2012 at 08:00 AM EST



Amanda Seyfried has worked with a lot of good-looking men, but there's one in particular who rises to the top of her list.

"Channing [Tatum] was amazing. He's a superstar," the actress, 27, tells the January issue of InStyle about PEOPLE's 2012 Sexiest Man Alive.

Seyfried, who starred opposite Tatum in 2010's Dear John, is well-aware of her former costar's appeal.

"Everybody wants to have sex with him. And the only person he wants to have sex with is his wife, Jenna [Dewan-Tatum]. He's the most loyal husband," she says.

But while Tatum and Dewan-Tatum have managed to find marital bliss in spite of being in the spotlight, Seyfried admits she's not as lucky.

"The thing is, I can't date anybody without it being portrayed as a serious relationship in the tabloids. It sucks! Like Josh Hartnett and I were friends; we hung out, we dated. I don't actually have sex with every male I come into contact with," she says.

Another of Seyfried's costars getting a lot of attention is Anne Hathaway, who chopped off her locks and went on a drastic diet for her role in the upcoming Les Misérables, opening Dec. 25 (Seyfried plays Cosette, and Hathaway is Fantine).

"I would have done that for sure," Seyfried says of the haircut, but she draws the line there. "I probably wouldn't lose or gain weight for a role, though. I'm too health-conscious. And I don't think I could actually lose weight because I couldn't be on that kind of a diet. I would lose my mind."

Stripping for Lovelace

But playing the late porn-star-turned-feminist Linda Lovelace for the upcoming biopic Lovelace did have Seyfried focusing on her physique, which she doesn't mind.

"It's not about my body. It's not about me," she says of doing nude scenes. "You're playing somebody else. You're not going to believe a love scene if the people are dressed. You're not going to believe a stripper who has on a bra and underwear the whole time. At the same time, it has to do with how comfortable you are with letting people see your skin. For me, I'm okay with it."

Seyfried also says that being diagnosed with obsessive-compulsive disorder – which she manages with Lexapro – has positively contributed to her acting.

"I don't feel like I'm struggling with it. I think OCD is a part of me that protects me. It's also the part of me that I use in my job, in a positive way," she tells the magazine. "The only thing I'd like to get beyond is my fear of driving over bridges and through tunnels. I can't overcome it."

See Amanda Seyfried's best red carpet looks at Instyle.com

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Stock futures rise after German data; Fed eyed


NEW YORK (Reuters) - Stock futures were higher on Tuesday after unexpectedly cheery data out of Europe and as the Federal Reserve was set to kick off its two-day policy meeting.


Though the pace of talks in Washington to avert impending U.S. tax hikes and spending cuts quickened, senior politicians on both sides cautioned that an agreement on all the outstanding issues remained uncertain.


The lack of progress in negotiations about the "fiscal cliff" has kept investors from making aggressive bests in recent weeks, though most expect a deal will eventually be reached.


In Germany, analyst and investor sentiment rose sharply in December, entering positive territory for the first time since May, a leading survey showed. The data helped drive European shares higher.


"We've been getting a lot of the beginning of our day from seeing what Europe has been doing and I think that's going to hold true today," said Kim Forrest, senior equity research analyst at Fort Pitt Capital Group in Pittsburgh.


The Fed will begin its policy-setting meeting on Tuesday. The central bank is expected to announce a new round of Treasury securities purchases when the meeting ends on Wednesday, according to a Reuters poll. The program would replace its "Operation Twist" stimulus which expires at the end of the year.


S&P 500 futures rose 3.2 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 gained 34 points, and Nasdaq 100 futures added 7 points.


The U.S. Treasury is selling its remaining stake in insurer American International Group Inc , bringing an end to government ownership of the company about four years after a $182 billion bailout. AIG's shares were up 1.2 percent at $33.75 in premarket trade.


Texas Instruments Inc slightly improved its profit target late on Monday, excluding a massive restructuring charge, as the company cuts costs.


Also in the tech sector, Intel Corp said it is on track to launch a new generation of chips for smartphones and tablets as it rushes to catch up with the competition.


Morgan Stanley might seek approval from the Federal Reserve to repurchase shares for the first time in four years, the Wall Street Journal reported, citing people familiar with the firm's thinking.


On the macro front, U.S. international trade data for October is due at 8:30 am ET (1330 GMT) and wholesale inventories is due at 10:00 am ET (1500 GMT).



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India Ink: Congress Party Craters in Gujarat

KESHOD, India
The prospects of the Indian National Congress party in the battleground state of Gujarat are dwindling by the day, analysts and potential voters say, a situation that could ultimately advance Gujarat chief minister Narendra Modi’s bid to become prime minister.

Sonia Gandhi, the president of the Congress party, drew smaller-than-expected crowds in Gujarat this weekend, just days ahead of state elections, and important party members and aides have defected in recent weeks. Some supporters say they have lost hope.

“I’ve been a Congress supporter since I was in college,” said Meena Raval, 44, a homemaker from Rajkot who holds a master’s degree in English literature. “But there is a vast difference between Congress leaders of the 1980s and 1990s and those of today,” she said. “It’s hard to win an election, let alone come to power, without a strong, powerful leader.”

Unlike in Rajkot in early October, when Mrs. Gandhi’s rally attracted nearly 150,000 people, there were only about 15,000 attendees at a rally in Mandvi and 10,000 at Keshod this weekend. Many seemed to be local tribal women, who were keener to see how Mrs. Gandhi, probably India’s best-known politician, looked than to listen to what she had to say.

“I didn’t understand what she was saying,” said Ramaben Prajapati, 34, a vegetable seller from a village near Keshod. “But I thought she was very honest. I was impressed by her personality and body language.”

Gujarat voters go to the polls on Dec. 13 and 17th in a two-part election, when they will decide whether to re-elect Mr. Modi for a third term. How he fares in this election could help determine whether he becomes the opposition Bharatiya Janata Party’s candidate for prime minister in India’s next national elections.

Allegations that Mr. Modi encouraged, or did not do enough to stop, the 2002 riots in Gujarat which left hundreds dead, mostly Muslims, have dogged his political career and made him one of India’s most polarizing politicians. Still, the state’s ability to attract foreign investment and build infrastructure since he took power have gained accolades, and new supporters.

Mr. Modi’s no-expenses-spared state election campaign includes rallies across the state led by a three-dimensional avatar that speaks in numerous locations at once.

The political fight has become increasingly nasty in recent weeks, with Congress party members accusing Mr. Modi of hypocrisy and lying, and he, in turn, calling Congress and the Gandhi family a corrupt organization with no other political agenda but to criticize Mr. Modi.

Meanwhile, key members of the party in Gujarat are abandoning it. Members of the state’s legislative assembly and hundreds of party officials have switched from the Congress to the opposition in recent weeks. Defectors include lawmakers Kuvarji Halpati, Lalsinh Vadodia, Brijrajsinh Jadeja, Bhavsinh Rathod and party officials Mahendrasinh Rana, Ashok Dangar, Girish Parmar, Asifa Khan Pathan and Poonam Madam.

The most high-profile departure has been former deputy chief minister Narhari Amin, from Ahmedabad, who was at the forefront of the party’s election campaign until Nov. 30. On Dec. 6, he joined the B.J.P., along with many of his aides. Mr. Amin’s defection came after the party denied him a spot on the ballot from the state capital of Gandhinagar. “As a sincere and senior leader I felt insulted because the Congress gave tickets to unknown faces,” Mr. Amin said in an interview. “Is this the price of loyalty? There was no way I could have stayed in Congress after being so treated.”

Mrs. Gandhi and one of her close aides, Ahmed Patel, rushed several top Congress leaders from New Delhi to Gujarat to persuade Mr. Amin to change his mind, but he refused. Nearly 80 key Congress workers from Ahmedabad and another 100 from across Gujarat have joined the B.J.P. along with him, Mr. Amin said. “In all, nearly 20,000 people from Congress across Gujarat have joined the B.J.P. in the last few weeks,” he said, including mayors and chiefs of district and village councils.

“Congress just can’t stop the B.J.P. juggernaut,” Mr. Amin said. “We’ll ensure that Modi makes a hat-trick of a win in Gujarat.”  

The Congress general secretary for Gujarat, Kashmira Nathwani, conceded in an interview that there have been “some cases” of defection and a “feeling of disappointment in some quarters.” Still, she said, “Congress is as strong as ever in Gujarat and it’s all thanks to its millions of supporters and strong leadership at the state as well as national level.”

Participants at last weekend’s rallies, though, said Mrs. Gandhi lacked the vigor and zeal she had displayed in Rajkot earlier this year.

“I was hoping she would forcefully answer some of the questions Narendra Modi had asked her at one of his public rallies,” said Manish Chauhan 22, an engineering student and Congress supporter from Junagadh, who had come to Keshod to hear her. “But she was a big disappointment. She appeared to be quite subdued and her attitude was defeatist.”

Some voters say that Congress has given them few reasons to vote for the party, instead telling them why they should vote against Mr. Modi.

“There are many issues the Congress leaders can take up, but all the time they are seen busy bashing Modi and hardly talking about any other serious matter,” said Popat Bharwad, 28, a roadside tea seller from Rajkot, who described himself as passionately interested in Indian politics and cricket. “This gives Modi more publicity and gradually distances people from Congress.”

Many Congress supporters in Gujarat now say they can’t see their party winning this state election, or any others in the near future.

“I’ve always been a Congress loyalist, but we have to face the reality – we have little hope to regain power in Gujarat,” said one sociology professor from Rajkot, who asked not to be identified because he did not want to offend associates from the Congress party. “The problem is Congress just doesn’t have a leader of Modi’s charisma and dynamism.”

Bharatiya Janata Party leaders, not surprisingly, agreed. “There is so much defection in Congress that it will be wiped out from Gujarat in coming years,” predicted Naresh Kanodiya, a Gujarati actor and a former member of the state legislative assembly for the B.J.P.

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Prince Harry Will Be a 'Wonderful Uncle,' Says Family Friend









12/10/2012 at 07:45 AM EST



He may be serving in Afghanistan, but Prince Harry is already gearing up for uncle duty when sister-in-law Kate gives birth.

And expect fun and fireworks from the playful prince.

"He will be a wonderful uncle – [think of] the mischief he will want to get up to with the [children]!" a friend tells PEOPLE. "I can see it already."

That would match his behavior at that other great occasion in William and Kate's life – their wedding. It was Harry, 28, who had the young flower girls scurrying around his feet at the Palace reception, a guest told PEOPLE at the time.

Harry, who is serving as an Apache attack helicopter pilot on a tour of Afghanistan until early next year, has had to make do with phone calls to and from his brother and sister-in-law since they broke the happy news of their pregnancy.

And he is said to have sent Kate, who is recuperating at home following her attack of severe morning sickness, a get-well message from the frontline.

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