With hours remaining, hopes rise for stopgap fiscal deal

WASHINGTON (Reuters) - Hopes rose on Sunday that lawmakers could reach at least a limited deal to prevent the still-recovering economy from tumbling off a "fiscal cliff" at the New Year, sending the country into another recession.

Aides to Senate Majority Leader Harry Reid, a Democrat, and Senate Republican leader Mitch McConnell worked on a compromise over the weekend to stop automatic tax hikes for most Americans on January 1. Any agreement needs to be rushed through both chambers of Congress before midnight on Monday.

The main focus of negotiations was tax hikes on the wealthy, an increase sought by President Barack Obama but opposed by Republicans, particularly fiscal conservatives in the House of Representatives.

"Well, there are certainly no breakthroughs yet between Senator McConnell and Senator Reid, but there's a real possibility of a deal," Senator Charles Schumer, a Democrat from New York, said on the ABC program "This Week."

"I don't disagree with Chuck," said Senator Jon Kyl, a Republican from Arizona.

Another Republican senator, Lindsey Graham, conceded that an agreement would end up raising income taxes on the wealthy, thus sparing the rest of the country from the looming income tax hikes.

"President Obama is going to get tax rate increases. The president won," Graham tweeted, echoing earlier comments he made on "Fox News Sunday." He told the show that the chances of a bipartisan deal before the New Year's deadline were "exceedingly good."

Obama has alternatively offered Republicans a deal to increase income taxes for households earning over $250,000 a year, and over $400,000 a year.

Any deal on taxes in the Senate might meet resistance in the House from conservative Republicans.

If the politicians cannot agree, then tax increases and across-the-board government spending cuts will begin on January 1. That would take $600 billion out of the economy, push unemployment up and curb federal spending.

"I think people don't want to go over the cliff if we can avoid it," said Graham, a conservative.

Putting pressure on Congress, Obama made a rare appearance on a Sunday television talk show where he warned of the fallout on financial markets if the two sides did not reach an agreement.

"If people start seeing that on January 1st this problem still hasn't been solved, that we haven't seen the kind of deficit reduction that we could have, had the Republicans been willing to take the deal that I gave them ... then obviously that's going to have an adverse reaction in the markets," Obama said on NBC's "Meet the Press."

He said he would avoid tax increases for most Americans, even if the talks fall apart.

"And if all else fails, if Republicans do in fact decide to block it, so that taxes on middle class families do in fact go up on January 1st, then we'll come back with a new Congress on January 4th and the first bill that will be introduced on the floor will be to cut taxes on middle class families," Obama said.

The Senate - where the Democrats hold sway - was scheduled to hold a rare Sunday session beginning at 1 p.m. EST (1800 GMT), but it was not clear whether the chamber would have fiscal-cliff legislation to act upon.

The Republican-controlled House also returns on Sunday and can vote on any deal in the evening if need be.

(Additional reporting by Tabassum Zakaria, Fred Barbash and Richard Cowan. Writing by Alistair Bell)

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Apple still said to account for 87% of North American tablet traffic as Kindle Fire, Nexus 7 gain

Apple’s (AAPL) share of the global tablet market is in decline now that low-cost Android slates are proliferating, but the iPad still appears to be the most used tablet by a huge margin. Ad firm Chitika regularly monitors tablet traffic in the United States and Canada and in its latest report, Apple’s iPad was responsible for almost 90% of all tablet traffic across the company’s massive network.

[More from BGR: Samsung looks to address its biggest weakness in 2013]

Using a sample of tens of millions of impressions served to tablets between December 8th and December 14th this year, Chitika determined that various iPad models collectively accounted for 87% of tablet traffic in North America. That figure is down a point from the prior month but still represents a commanding lead in the space.

[More from BGR: New purported BlackBerry Z10 specs emerge: 1.5GHz processor, 2GB RAM, 8MP camera]

The next closest device line, Amazon’s (AMZN) Kindle Fire tablet family, had a 4.25% share of tablet traffic during that period, up from 3.57% in November. Samsung’s (005930) Galaxy tablets made up 2.65% of traffic, up from 2.36%, and Google’s (GOOG) Nexus 7 and Nexus 10 tablets combined to account for 1.06% of tablet traffic in early December.

“Despite these gains by some of the bigger players in the tablet marketplace, there has been a negligible impact to Apple’s dominant usage share,” Chitika wrote in a post on its blog.

This article was originally published by BGR

Gadgets News Headlines – Yahoo! News

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Just Kidding! Shakira's Baby News Is a Prank

Mom & Babies
Celebrity Baby Blog

12/28/2012 at 11:00 AM ET

XPosure

Hold off on the congratulations — at least for now.

News and social media sites lit up on Thursday after Shakira‘s boyfriend, FC Barcelona soccer star Gerard Piqué, posted a message on Twitter, announcing the arrival of their baby boy.

“”Our son has been born!” he wrote in Spanish. “We’re very happy! Thank you all for your messages!”

But the baby buzz was short-lived after the father-to-be’s fan following started calling out the coincidental timing of it all — Dec. 28 is Dia de Los Santos Inocentes in Spain and parts of Latin America, a holiday much like April Fools’ Day.

And all bets on baby’s birth were officially off when Piqué confessed to his prank with a follow-up message Friday morning.

“He has a name! His name is Innocence!” he Tweeted. “Happy Day of the Innocents to everyone!”

– Aaron Parsley and Anya Leon

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Kenya hospital imprisons new mothers with no money

NAIROBI, Kenya (AP) — The director of the Pumwani Maternity Hospital, located in a hardscrabble neighborhood of downtown Nairobi, freely acknowledges what he's accused of: detaining mothers who can't pay their bills. Lazarus Omondi says it's the only way he can keep his medical center running.

Two mothers who live in a mud-wall and tin-roof slum a short walk from the maternity hospital, which is affiliated with the Nairobi City Council, told The Associated Press that Pumwani wouldn't let them leave after delivering their babies. The bills the mothers couldn't afford were $60 and $160. Guards would beat mothers with sticks who tried to leave without paying, one of the women said.

Now, a New York-based group has filed a lawsuit on the women's behalf in hopes of forcing Pumwani to stop the practice, a practice Omondi is candid about.

"We hold you and squeeze you until we get what we can get. We must be self-sufficient," Omondi said in an interview in his hospital office. "The hospital must get money to pay electricity, to pay water. We must pay our doctors and our workers."

"They stay there until they pay. They must pay," he said of the 350 mothers who give birth each week on average. "If you don't pay the hospital will collapse."

The Center for Reproductive Rights, which filed the suit this month in the High Court of Kenya, says detaining women for not paying is illegal. Pumwani is associated with the Nairobi City Council, one reason it might be able to get away with such practices, and the patients are among Nairobi's poorest with hardly anyone to stand up for them.

Maimouna Awuor was an impoverished mother of four when she was to give birth to her fifth in October 2010. Like many who live in Nairobi's slums, Awuor performs odd jobs in the hopes of earning enough money to feed her kids that day. Awuor, who is named in the lawsuit, says she had saved $12 and hoped to go to a lower-cost clinic but was turned away and sent to Pumwani. After giving birth, she couldn't pay the $60 bill, and was held with what she believes was about 60 other women and their infants.

"We were sleeping three to a bed, sometimes four," she said. "They abuse you, they call you names," she said of the hospital staff.

She said saw some women tried to flee but they were beaten by the guards and turned back. While her husband worked at a faraway refugee camp, Awuor's 9-year-old daughter took care of her siblings. A friend helped feed them, she said, while the children stayed in the family's 50-square-foot shack, where rent is $18 a month. She says she was released after 20 days after Nairobi's mayor paid her bill. Politicians in Kenya in general are expected to give out money and get a budget to do so.

A second mother named in the lawsuit, Margaret Anyoso, says she was locked up in Pumwani for six days in 2010 because she could not pay her $160 bill. Her pregnancy was complicated by a punctured bladder and heavy bleeding.

"I did not see my child until the sixth day after the surgery. The hospital staff were keeping her away from me and it was only when I caused a scene that they brought her to me," said Anyoso, a vegetable seller and a single mother with five children who makes $5 on a good day.

Anyoso said she didn't have clothes for her child so she wrapped her in a blood-stained blouse. She was released after relatives paid the bill.

One woman says she was detained for nine months and was released only after going on a hunger strike. The Center for Reproductive Rights says other hospitals also detain non-paying patients.

Judy Okal, the acting Africa director for the Center for Reproductive Rights, said her group filed the lawsuit so all Kenyan women, regardless of socio-economic status, are able to receive health care without fear of imprisonment. The hospital, the attorney general, the City Council of Nairobi and two government ministries are named in the suit.

___

Associated Press reporter Tom Odula contributed to this report.

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Wall Street heads for longest losing streak in three months

NEW YORK (Reuters) - Stocks fell on Friday, putting the S&P 500 on track for a fifth straight decline, as President Barack Obama and top congressional leaders were set to make a last-ditch attempt to steer the country away from severe fiscal austerity next year.

Obama and lawmakers from both political parties will meet at the White House on Friday afternoon for talks in an effort to agree on a solution before a New Year's deadline to keep large tax hikes and spending cuts from taking effect. Economists say that combination of automatic higher taxes and lower government spending - known as the "fiscal cliff" - could push the U.S. economy into a recession.

Trading was volatile and stocks rebounded from their session lows after unconfirmed reports that President Obama was about to offer a new plan to Republicans.

But investors' pessimism about achieving anything more than a stop-gap deal by the deadline was reflected in the benchmark S&P 500's drop of 1.3 percent so far this week. The broad index was on pace for its worst weekly performance since mid-November.

A five-day decline would be the S&P 500's longest losing streak in three months.

"There's a pretty good chance that we won't have something in hand by year-end," said Jonathan Golub, chief U.S. equity strategist at UBS, in New York. "It should be pretty obvious that that is now the majority case."

Golub, however, said investors were still counting on a deal that would avoid most of the tax hikes and spending cuts next year even if it does come after the deadline.

"It is widely believed that we're going to get a deal," he said. "We are not going to go over the cliff to the extent that we have a huge economic contraction."

With time running short, members of Congress may attempt to pass a retroactive fix to neutralize tax increases and spending cuts soon after the automatic fiscal policies come into effect on January 1.

The Dow Jones industrial average <.dji> fell 65.65 points, or 0.50 percent, to 13,030.66. The Standard & Poor's 500 Index <.spx> dropped 6.03 points, or 0.43 percent, to 1,412.07. The Nasdaq Composite Index <.ixic> slipped 7.29 points, or 0.24 percent, to 2,978.62.

"It doesn't matter which side wins, but at this point, nobody wants to play a game where there aren't rules," said Joe Costigan, director of equity research at Bryn Mawr Trust, in Bryn Mawr, Pennsylvania.

"So everybody is talking about what the prospects are for changes in the rules. But at the end of the day, nothing is happening."

Highlighting Wall Street's sensitivity to developments in Washington, stocks tumbled slightly more than 1 percent on Thursday after Senate Majority Leader Harry Reid warned that a deal was unlikely before the deadline. But late in the day, the three major U.S. stock indexes rebounded and ended down just 0.1 percent after the U.S. House of Representatives said it would hold an unusual Sunday session to work on a fiscal solution.

With many investors away for the holiday-shortened week, volume is expected to remain light and that could exacerbate the stock market's swings.

Positive economic data failed to alter the market's downtrend.

The National Association of Realtors said contracts to buy previously owned U.S. homes rose in November to their highest level in 2-1/2 years, while a report from the Institute for Supply Management-Chicago showed business activity in the U.S. Midwest expanded in December.

Barnes & Noble Inc shares rose 6.2 percent to $15.24 after the top U.S. bookstore chain said British publisher Pearson Plc had agreed to make a strategic investment in its Nook Media subsidiary. But Barnes & Noble also said its Nook business will not meet its previous projection for fiscal year 2013.

Shares of magicJack VocalTec Ltd jumped 8.5 percent to $17.67 after the company, which provides VoIP or voice over Internet protocol services, forecast more than $39 million in GAAP revenue and over 70 cents per share in operating income for the fourth quarter. The company also said it has appointed Gerald Vento as president and CEO, effective January 1.

The U.S.-listed shares of Canadian drugmaker Aeterna Zentaris Inc surged 16.1 percent to $2.52 after the company said it had reached an agreement with the U.S. Food and Drug Administration on a special protocol assessment by the FDA for a Phase 3 registration trial in endometrial cancer with AEZS-108 treatment.

(Reporting by Edward Krudy; Editing by Jan Paschal)

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Japan Might Revise Apology on Wartime Sex Slaves

TOKYO — A top official hinted on Thursday that Japan’s newly installed conservative government might seek to revise a two-decade-old official apology to women forced into sexual slavery during World War II, a move that would most likely outrage South Korea and possibly other former victims of Japanese militarism.

Speaking a day after the new cabinet was named, Chief Cabinet Secretary Yoshihide Suga, who serves as the government’s top spokesman, refused to say clearly whether the new prime minister, Shinzo Abe, would uphold the 1993 apology, which was issued by the chief cabinet secretary at the time, Yohei Kono.

Mr. Suga said at a news conference, however, that it would be “desirable for experts and historians to study” the statement, which acknowledged the Imperial Army’s involvement in forcing thousands of Asian and Dutch women to provide sex for Japanese soldiers.

Mr. Suga seemed to keep his comments intentionally vague, adding only that the matter “should not be made into a political or diplomatic issue.” He also said the Abe government would uphold a broader apology, issued in 1995 to observe the 50th anniversary of the end of World War II, to all victims of Japan’s colonialism and aggression.

The sex slaves issue remains highly emotional in South Korea, a former Japanese colony. On Thursday, the South Korean Foreign Ministry responded to Mr. Suga’s comments by calling on Japan not to forget its militaristic past.

The Kono Statement has long been a sore point for Japanese rightists, who deny either that the women had been coerced or that the military had a hand in forcing them to become what many Japanese euphemistically call “comfort women.” These critics include Mr. Abe, an outspoken nationalist who has repeatedly called for revising the statement, most recently during an internal Liberal Democratic Party election in September.

The issue does not resonate broadly, however, among the general public, which would rather avoid confrontation with other Asian countries. During the national parliamentary elections this month that swept his Liberal Democrats back into power, Mr. Abe avoided talking about the matter, apparently so as not to be seen as too far to the right of mainstream voters.

His position has also caused concern in Washington, where the United States government has urged Japan and South Korea, its two closest Asian allies, to increase cooperation against security threats like North Korea.

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Ex-President George H.W. Bush Moved to Intensive Care After 'Setbacks'

By Mike Fleeman

12/27/2012 at 01:00 PM EST

George H. W. Bush in 2009

Ron Sachs-Pool/Getty

After suffering "a series of setbacks," including a "persistent fever," 88-year-old former President George H.W. Bush is in the intensive care unit of a Houston hospital, his spokesman says.

Originally admitted to Methodist Hospital on Nov. 23 with a stubborn cough related to bronchitis, Bush came down with the fever that prompted doctors to put him on a liquids-only diet this week, says spokesman Jim McGrath.

"He remains in guarded condition," says McGrath in a statement. "Doctors at Methodist continue to be cautiously optimistic about the current course of treatment. The President is alert and conversing with medical staff, and is surrounded by family."

Among those visiting the 41st president on Christmas were his wife Barbara, son Neil and a grandson. Since his hospitalization, he also has received visits from sons George W. Bush, the 43rd president, and Jeb Bush, the ex-governor of Florida, the Associated Press reports.

"He appreciates all the good wishes coming his way," his close aide, Jean Becker, says in an auto-reply to emails Thursday. "He would ask you to please put the harps away. He plans on staying put."

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Kenya hospital imprisons new mothers with no money

NAIROBI, Kenya (AP) — The director of the Pumwani Maternity Hospital, located in a hardscrabble neighborhood of downtown Nairobi, freely acknowledges what he's accused of: detaining mothers who can't pay their bills. Lazarus Omondi says it's the only way he can keep his medical center running.

Two mothers who live in a mud-wall and tin-roof slum a short walk from the maternity hospital, which is affiliated with the Nairobi City Council, told The Associated Press that Pumwani wouldn't let them leave after delivering their babies. The bills the mothers couldn't afford were $60 and $160. Guards would beat mothers with sticks who tried to leave without paying, one of the women said.

Now, a New York-based group has filed a lawsuit on the women's behalf in hopes of forcing Pumwani to stop the practice, a practice Omondi is candid about.

"We hold you and squeeze you until we get what we can get. We must be self-sufficient," Omondi said in an interview in his hospital office. "The hospital must get money to pay electricity, to pay water. We must pay our doctors and our workers."

"They stay there until they pay. They must pay," he said of the 350 mothers who give birth each week on average. "If you don't pay the hospital will collapse."

The Center for Reproductive Rights, which filed the suit this month in the High Court of Kenya, says detaining women for not paying is illegal. Pumwani is associated with the Nairobi City Council, one reason it might be able to get away with such practices, and the patients are among Nairobi's poorest with hardly anyone to stand up for them.

Maimouna Awuor was an impoverished mother of four when she was to give birth to her fifth in October 2010. Like many who live in Nairobi's slums, Awuor performs odd jobs in the hopes of earning enough money to feed her kids that day. Awuor, who is named in the lawsuit, says she had saved $12 and hoped to go to a lower-cost clinic but was turned away and sent to Pumwani. After giving birth, she couldn't pay the $60 bill, and was held with what she believes was about 60 other women and their infants.

"We were sleeping three to a bed, sometimes four," she said. "They abuse you, they call you names," she said of the hospital staff.

She said saw some women tried to flee but they were beaten by the guards and turned back. While her husband worked at a faraway refugee camp, Awuor's 9-year-old daughter took care of her siblings. A friend helped feed them, she said, while the children stayed in the family's 50-square-foot shack, where rent is $18 a month. She says she was released after 20 days after Nairobi's mayor paid her bill. Politicians in Kenya in general are expected to give out money and get a budget to do so.

A second mother named in the lawsuit, Margaret Anyoso, says she was locked up in Pumwani for six days in 2010 because she could not pay her $160 bill. Her pregnancy was complicated by a punctured bladder and heavy bleeding.

"I did not see my child until the sixth day after the surgery. The hospital staff were keeping her away from me and it was only when I caused a scene that they brought her to me," said Anyoso, a vegetable seller and a single mother with five children who makes $5 on a good day.

Anyoso said she didn't have clothes for her child so she wrapped her in a blood-stained blouse. She was released after relatives paid the bill.

One woman says she was detained for nine months and was released only after going on a hunger strike. The Center for Reproductive Rights says other hospitals also detain non-paying patients.

Judy Okal, the acting Africa director for the Center for Reproductive Rights, said her group filed the lawsuit so all Kenyan women, regardless of socio-economic status, are able to receive health care without fear of imprisonment. The hospital, the attorney general, the City Council of Nairobi and two government ministries are named in the suit.

___

Associated Press reporter Tom Odula contributed to this report.

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Wall Street falls for fourth day over "fiscal" fears

NEW YORK (Reuters) - Stocks fell for a fourth day in a row on Thursday and a measure of investor anxiety hit its highest in five months after the top Senate Democrat warned a deal to avoid fiscal austerity measures may not be reached by the December 31 deadline.

The comments by Senate Majority Leader Harry Reid just days before the hefty tax hikes and spending cuts go into effect pushed stocks down. The S&P 500 has lost 2.7 percent over the past four days, its worst such run in over a month.

A four-day drop would also mark the S&P 500's longest losing streak in three months as Wall Street wakes up to the possibility that a deal may not be reached until next year.

The CBOE VIX volatility index <.vix>, a measure of investor fear, jumped above 20 for the first time since July, climbing around 4 percent in another sign of growing concern. Investors fear the so-called fiscal cliff could push the economy into recession next year.

The VIX's "recent spike seems to suggest that market participants are bracing for a rather significant uptick in market volatility in early 2013," said Frederic Ruffy, options strategist at WhatsTrading.com.

Stocks in the materials and the financial sectors, which are more vulnerable to the economy's performance, took the brunt of the selling. Shares in Bank of America fell 2 percent to $11.29, while Freeport-McMoRan Copper & Gold fell 1.6 percent to $33.38.

Reid criticized Republicans for refusing to go along with any tax increases as part of a compromise solution with Democrats. Referring to the fiscal cliff, he said: "It looks like where we're headed."

The Dow Jones industrial average <.dji> was down 106.63 points, or 0.81 percent, at 13,007.96. The Standard & Poor's 500 Index <.spx> was down 12.33 points, or 0.87 percent, at 1,407.50. The Nasdaq Composite Index <.ixic> was down 27.48 points, or 0.92 percent, at 2,962.68.

Frank Lesh, a futures analyst and broker at FuturePath Trading in Chicago, said his clients have been delaying trading due to uncertainty about the fiscal cliff, making the year-end period quieter than usual.

"With the added drama in Washington, we have got even more people sidelined," he said. "No one knows how this turns out or how the markets are going to react to it."

President Barack Obama arrived back in Washington from Hawaii to restart stalled negotiations with Congress. House Speaker John Boehner and other Republican leaders were to hold a conference call with Republican lawmakers. The expectation was that lawmakers would be told to get back to Washington quickly if the Senate passed a bill.

Treasury Secretary Timothy Geithner announced the first of a series of measures that should push back the date when the U.S. government will hit its legal borrowing authority - a limit known as the debt ceiling - by about two months.

Economic data seemed to confirm worries about the impact of the fiscal cliff on the economy.

The Conference Board, an industry group, said its index of consumer attitudes in December fell to 65.1 as the budget crisis dented growing optimism about the economy. The gauge fell more than expected from 71.5 in November.

However, the job market continues to mend. Initial claims for unemployment benefits dropped 12,000 to a seasonally adjusted 350,000 last week and the four-week moving average fell to the lowest since March 2008.

But recent signs that the economy is improving have taken a back seat to the political uncertainty.

"The U.S. equity market has not yet adequately responded to a genuinely improving macro backdrop, and is probably held back by uncertainties surrounding the resolution of the 'fiscal cliff'," said Goldman Sachs in a research note.

Marvell Technology Group fell 4.2 percent to $7.09 after it said it would seek to overturn a jury's finding of patent infringement. The stock had fallen more than 10 percent in the previous session after a jury found the company infringed patents held by Carnegie Mellon University and ordered the chipmaker to pay $1.17 billion in damages.

(Reporting by Edward Krudy; Additional reporting by Doris Frankel; Editing by Jan Paschal and Kenneth Barry)

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United Arab Emirates Arrests Suspects in Terror Plots

DUBAI, United Arab Emirates (Reuters) — Security forces in the United Arab Emirates have arrested members of a cell made up of militants from Saudi Arabia and the emirates who were planning to carry out attacks in both countries and in other states, the official Emirates News Agency said on Wednesday.

The federation of seven emirates, a major oil exporter and an ally of the United States, has had no attacks by Al Qaeda and other terrorist groups. But Islamist sentiment has risen in recent years, and Dubai, a business and tourism hub that attracts many Westerners, could make an attractive target for militants, analysts say.

The suspects had acquired materials and equipment for use in what the news agency called terrorist operations.

“The security authorities in the U.A.E., in coordination with the related security parties in Saudi Arabia, announced the arrest of an organized cell from the deviant group that was planning to carry out actions against national security of both countries and some brotherly states,” the agency said, without elaborating.

The phrase “deviant group” is often used by the authorities in Saudi Arabia to describe Al Qaeda.

In August, the Saudi authorities arrested a group of militants in Riyadh — mostly Yemeni nationals — suspected of having links to Al Qaeda. Thousands of people believed to be militants have been arrested since dozens were killed in terrorist attacks between 2003 and 2006 on Saudi residential compounds and offices for foreign workers and on government facilities.

The United States has poured aid into Yemen to stem the threat of attacks from the group Al Qaeda in the Arabian Peninsula and to try to prevent any spillover of violence into Saudi Arabia, the world’s top oil exporter.

In 2010, Al Qaeda in the Arabian Peninusla, formed with the merger of Al Qaeda’s Yemeni and Saudi branches, said it was behind a plot to send two parcel bombs to the United States. The bombs were intercepted in Britain and Dubai.

Though the emirates have escaped much of the upheaval that has shaken the Arab world, the authorities there have moved swiftly to stem any sign of political dissent, detaining more than 60 Islamists this year over suspected threats to state security and links to foreign groups.

Those detainees, who belong to an Islamist group called Al-Islah, have confessed to setting up a secret organization with an armed force whose aim was to take power and establish an Islamic state, the local news media reported in September. The group denied the accusations.

Many of the detained Islamists are from the more religiously conservative northern emirates like Sharjah and Ras al-Khaimah, which produced one of the Sept. 11 hijackers.

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