Brotherhood official urges Egypt’s Jews to return






CAIRO (AP) — A leading Muslim Brotherhood member and adviser to Islamist President Mohammed Morsi created a stir in Egypt when he called on Egyptian Jews in Israel to return home because Egypt is now a democracy and because the Jewish state won’t survive.


Essam el-Erian’s remarks in a TV appearance put the Brotherhood, which holds power in Egypt, on the spot as opponents — and some allies — jumped on the comments to denounce the group. Morsi’s office this week disassociated the president from the comments, saying they were el-Erian’s personal opinion.






The criticism ran an unusual gamut of Egyptians’ attitudes toward Jews, Israel and the Brotherhood itself.


Some denounced the Brotherhood for trying to put up a veneer of tolerance by inviting Jews to return while Egypt’s other religious minorities, particularly Christians, are increasingly worried about persecution under the new Islamist rulers and an Islamist-slanted constitution.


Others saw the comments as a sort of outreach to Zionists, considered the enemy, and as a new example of how the Brotherhood has had a hard time melding its longtime anti-Israeli and anti-Jewish rhetoric with its new responsibilities since coming to power. Under Morsi — who hails from the Brotherhood — the government has continued cooperation with Israel, upheld the two countries’ peace deal and Morsi last month helped mediate a cease-fire between Hamas and Israel.


Some warned that el-Erian was opening the door for Egyptian Jews to demand compensation for property taken from them or left behind in Egypt and could even undermine the Palestinians’ right to return to homes in Israel. Still others were simply outraged that a Brotherhood official would invite back Jews, and one hardline Islamist politician threatened any Jews who come back.


And there were a few voices calling for Egypt to sincerely look at past treatment of its Jewish community — including why they left or were expelled — and whether they should have the right to return.


Speaking on private ONTV, historian Khaled Fahmy suggested taking el-Erian’s comments at face value. “I am taking the call seriously. I would like to see it in part as respectable, as addressing morals and high principles.” He said Egyptians should talk about the past “harm to Egyptian Jews” and consider them as still having Egyptian nationality.


“I wish this was put to a public discussion,” he said.


Egypt’s once thriving Jewish community largely left Egypt more than 60 years ago amid the hostilities between Egypt and Israel. Estimates say about 65,000 Jews left Egypt since the creation of the state of Israel in 1948, most of them to Europe and the West, with a small portion settling in Israel. Their departure was fueled by rising nationalist sentiment during the Arab-Israeli wars, harassment and some direct expulsions by then-President Gamal Abdel-Nasser, and attacks on Jewish properties, some of them blamed on the Brotherhood, which renounced violence in the 1970s.


Now only a handful of Jews, mostly elderly, remain in Egypt, along with a number of heavily guarded synagogues, open only to Jews.


El-Erian, who is also deputy of the Brotherhood’s political party, made his comments last week on a late night talk show on the private station Dream TV.


“I wish our Jews return to our country, so they can make room for the Palestinians to return, and Jews return to their homeland in light of the democracy” evolving in Egypt, he said. “I call on them now. Egypt is more deserving of you.”


“Why stay in a racist entity, an occupation, and be tainted with war crimes that will be punished, all occupation leaders will be punished,” he said. He added in separate comments that the Zionist “project” will end.


The comments didn’t make much of an impact in Israel, and there was no official comment about them and little discussion of them in the press. In contrast, they raised widespread ridicule and debate in Egypt on TV shows, newspapers and social websites.


Belal Fadl, a popular Egyptian columnist and satirical writer, said the comments were hypocritical given other Brotherhood officials’ statements accusing Egypt’s Christians of threatening Morsi’s legitimacy as president, fueling anger against the minority community.


“How can we believe the tolerance of el-Erian amid all the sectarian statements by leaders of the groups and other sheiks that all seek to chase away Egypt’s Christians in the footsteps of the Jews,” Fadl wrote in the daily al-Shorouk Thursday.


Youssef el-Husseini, a prominent TV presenter known for his liberal views and harsh criticism of Morsi and the Brotherhood, said el-Erian was showing a fake tolerance for Jews to impress Israel and the United States — setting aside the anti-Israel parts of his statement. El-Husseini said that if a liberal made the comments he would be branded a traitor and would be accused of inviting Zionists back to Egypt.


“Is el-Erian flirting with the Zionist state to say we are fine and you are friends,” el-Husseini said on a Sunday morning talk show. “Or is he flirting with Obama” because of U.S. aid to Egypt. “Is the group taking their political garb bit by bit?”


On Tuesday, Morsi’s spokesman said the presidency is not responsible for comments made by el-Erian. “These are his personal opinion,” Yasser Ali, the presidential spokesman said.


Mohammed Salmawy, the head of Egypt’s Writers Union, called el-Erian’s comments “delirium.”


“What is this superficial understanding of matters that borders naiveté?” he wrote, saying the problem of Palestinian refugees is not one of “making room” for their return.


“What the Jews who were living in Egypt want is not to return, particularly in the current circumstances. What they want is compensation for their properties” they left behind.


He said el-Erian was recognizing a right of return for Israeli Jews of Arab origin, which he said would allow for a quid-pro-quo forcing Palestinians refugees to drop their demand to return to homes in Israel so that Jews drop demands to return to Arab nations.


“It seems the way to deny the Palestinians the right of return or compensation is to exchange that right for … the right of the return of Jewish refugees to Arab countries,” he wrote Thursday.


The leading member of a former Islamic militant group, Gamaa Islamiya, which is now a political party allied to the Brotherhood, simply said Jews were not welcome back.


Quoted in the Rose el-Youssef newspaper, Tarek el-Zumor said his group will not tolerate their return “except over our dead bodies or after they change their religion and become Muslims.”


Middle East News Headlines – Yahoo! News





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iPad still dominates tablet Web traffic; Microsoft Surface has smaller share than PlayBook







The iPad is still by far the most widely used tablet for surfing the Web in North America, but it can no longer claim to lord over 90% of all North American tablet traffic. Via AppleInsider, the latest numbers from mobile advertising firm Chitika show that the iPad accounted for roughly 79% of all mobile traffic in the last week of December, a dominant share that was nonetheless a seven percentage point drop from the previous week.


[More from BGR: Samsung confirms plan to begin inching away from Android]






In contrast, Amazon’s (AMZN) Kindle Fire HD saw its traffic grow by three percentage points over the same period to account for 7.5% of all North American tablet traffic while Samsung’s (005930) Galaxy Tab models saw their share increase by nearly 1.5 percentage points to 4.39% of all North American tablet traffic.


[More from BGR: ‘iPhone 5S’ to reportedly launch by June with multiple color options and two different display sizes]


Microsoft’s (MSFT) Surface was practically a non-factor in Chitika’s measurements, accounting for 0.4% of North American tablet traffic — even less than RIM’s (RIMM) BlackBerry PlayBook.


This article was originally published by BGR


Gadgets News Headlines – Yahoo! News




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‘Star Wars’ creator George Lucas engaged to businesswoman






LOS ANGELES (Reuters) – “Star Wars” creator George Lucas will marry his longtime girlfriend Mellody Hobson, the director’s production company Lucasfilm Ltd said on Thursday.


Lucas, 68, and Hobson, the president of Chicago investment firm Ariel Investments LLC, have been together for the past six years. It will be Lucas’ second marriage. He was married to Oscar-winning film editor Marcia Lucas from 1969 to 1983.






No date or location for the wedding has been made public.


Hobson, 43, serves on the board of directors for Hollywood studio Dreamworks Animation SKG Inc, cosmetics company Estee Lauder Companies Inc, coffeehouse chain Starbucks Corp and Internet coupon company Groupon Inc.


Lucas, who rose to fame directing the 1971 science-fiction film “THX 1138,” launched “Star Wars” in 1977 developed it into one of the highest-grossing film franchises of all time.


Lucas sold Lucasfilm and the “Star Wars” franchise to the Walt Disney Co in November for $ 4.05 billion.


(Reporting by Eric Kelsey, editing by Jill Serjeant and Lisa Shumaker)


Celebrity News Headlines – Yahoo! News





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Trial set to begin in Boston over pregnancy drug






BOSTON (AP) — At first, the Melnick sisters thought it was just a cruel coincidence that two of them were diagnosed with breast cancer.


But when two more sisters were given the same diagnosis, they came to suspect that a drug their mother took in the 1950s while she was pregnant had something to do with it.






The four sisters are now suing a former maker of DES, or diethylstilbestrol, in a case set to unfold in federal court on Friday, when it will become one of the first of scores of such claims around the U.S. to go to trial. The Melnick women are seeking unspecified damages.


The numerous pharmaceutical companies that made or marketed the drug argue that no firm link has been established between breast cancer and DES, a synthetic estrogen that was prescribed to millions of women from the late 1930s to the early 1970s to prevent miscarriage, premature births and other problems.


It was eventually pulled from the market after being linked to a rare vaginal cancer in women whose mothers used DES. And studies showed the drug did not prevent miscarriages after all.


All four Melnick sisters had miscarriages, fertility problems or other reproductive tract problems long suspected of being caused by prenatal exposure to DES. Then in 2008, one of the sisters read about a study reporting an increased incidence of breast cancer in the daughters of women who took DES during pregnancy.


“That’s when we really started to say, ‘Wow, there really could be a link. It’s not just in our head,’” said Donna Melnick McNeely, a special education assistant from Las Cruces, N.M., who was diagnosed with breast cancer at 49.


The sisters, who grew up in Tresckow, Pa., say they have compelling anecdotal evidence within their family: Their mother took DES while pregnant with Donna, Michele, Andrea and Francine. All had reproductive problems and developed breast cancer in their 40s. But their mother did not take DES while pregnant with the oldest sister, Mary Ann. She did not have fertility issues and has not had breast cancer.


Eli Lilly and Co., the Indianapolis-based drug company being sued by the sisters, dominated the market for DES. The company argues in court documents that there is no evidence that the women’s mother, Frances Melnick, even took DES. She and her doctor are dead, and the drug company says there are no medical records documenting her treatment.


The Melnick sisters are among 51 women who have DES lawsuits pending in Boston against more than a dozen drug companies. Mediation ordered by a federal judge failed to produce settlements. Jury selection in the Melnick case is set to begin Friday.


“We believe these claims are without merit and are prepared to defend against them vigorously,” said Eli Lilly spokesman J. Scott MacGregor.


The Food and Drug Administration told doctors to stop prescribing DES to pregnant women in 1971 after a study found that the drug appeared to increase the risk of their daughters developing a rare vaginal cancer. Thousands of lawsuits have been filed since then alleging links between DES and vaginal and cervical cancer, as well as fertility problems. Many of those cases were settled.


Lawyers for the Melnick sisters cite a study published in 2011 that suggests the risk of breast cancer is nearly double in DES daughters over 40. The study, led by Dr. Robert Hoover, a researcher at the National Cancer Institute, found that the chances that a DES daughter will develop breast cancer by age 55 are about 1 in 25. For the average woman, it is about 1 in 50.


“This is a drug that was never adequately tested and never adequately warned,” said Aaron Levine, a lawyer for the Melnick sisters and the other women who have sued in Boston. “There were no warnings at all, except in their literature they warned that it could be carcinogenic to the mother, but they never warned about the babies.”


The four Melnick sisters were diagnosed with breast cancer between 1997 and 2003 and went through varying treatments ranging from lump-removal surgery to a full mastectomy, chemotherapy and radiation.


Michele Melnick Fecho, who was 42 when she became the first sister diagnosed, said she hopes the trial will prompt more women to ask their mothers if they took DES.


“I think it’s important to be your own advocate,” she said. “If a woman — a DES daughter — knew this, she could get earlier screening.”


Parenting/Kids News Headlines – Yahoo! News





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Transocean agrees oil spill fine







Transocean, which owned the Deepwater Horizon oil rig, has agreed to a settlement with the US government.






The Swiss-based company will pay $ 400m (£248m) in criminal penalties and a $ 1bn civil fine after pleading guilty to violating the Clean Water Act.


The rig, which was leased by BP, exploded on 20 April 2010, killing 11 workers.


The oil spill damaged the Gulf of Mexico coast causing one of the biggest environmental disasters in US history.


In November, BP agreed a settlement with the US government worth $ 4.5bn, including a $ 1.26bn criminal fine.


A report from the US Chemical Safety Board in July 2012 criticised both BP and Transocean for having inadequate safety rules.


The two companies disagreed about who was in charge of interpreting a negative pressure test that could have warned workers of the problems.


Transocean’s agreement with the Department of Justice still has to be approved by a federal judge.


As part of the settlement, the company has to make a series of improvements to the safety and emergency responses on its rigs.


“This resolution of criminal allegations and civil claims against Transocean brings us one significant step closer to justice for the human, environmental and economic devastation wrought by the Deepwater Horizon disaster,” said US Attorney General Eric Holder.


The $ 1.4bn will mainly be spent on environmental projects, and research and training to prevent future spills.


In a statement, Transocean said: “These important agreements, which the company believes to be in the best interest of its shareholders and employees, remove much of the uncertainty associated with the accident.”


The company plans to pay the fines over the next five years.


BBC News – Business





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GM recalls 145,628 mid-sized pickups for hood latch issue






(Reuters) – General Motors Co said on Thursday it is recalling 145,628 mid-sized pickup trucks globally as the hood could open unexpectedly due to a possible missing latch.


Of the Chevrolet Colorado and GMC Canyon pickups affected by the recall, 118,800 are in the United States, 15,264 are in Canada, 7,492 are in Mexico and the rest are exports, GM said.






GM is recalling the model year 2010 to 2012 trucks because the hood may be missing a secondary hood latch, so if the primary latch is not engaged the hood could open and block the driver’s view and increase the risk of a crash, according to documents filed with the U.S. National Highway Traffic Safety Administration.


There are no reports of crashes or injuries related to the issue, and there are four known cases of the secondary hood latch being missing, GM said.


GM said it will notify owners and instruct them to inspect their trucks for the presence of a secondary hood latch or take the truck to a dealer for inspection. If the secondary latch is missing, a new hood will be installed, the company said.


Dealers were notified of the issue on December 18 and GM expects to begin mailing letters to owners on January 17, according to NHTSA.


(Reporting By Ben Klayman in Detroit; Editing by Gerald E. McCormick)


Canada News Headlines – Yahoo! News





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Review: Nintendo’s TVii tops button-laden remotes






LOS ANGELES (AP) — Nintendo‘s TV-watching tool for the new Wii U game console beats my regular remote control hands down.


Called TVii, the service transforms how you watch television in three key ways. It turns the touch-screen GamePad controller for the Wii U into a remote control for your TV and set-top box. It groups your favorite shows and sports teams together, whether it’s on live TV or an Internet video service such as Hulu Plus. And it offers water-cooler moments you can chat about on social media.






It takes some getting used to, and I had a lot of re-learning to do after years of using my thumb to channel surf. But once I did, I found the service an advance from the mass of buttons on most TV remote controls.


TVii comes free with the Wii U, although it didn’t become available in the U.S. until mid-December, about a month after the game machine’s debut.


One nice touch is that TVii gives you a way to search for shows over Internet video apps and live TV all in one place. I can then choose whether to watch it on the big TV or on my controller’s touch screen, which measures 6.2 inches diagonally.


Handling these different sources of video at once is a tall order, and Nintendo Co. does it pretty well. No one else has combined live and Web TV as seamlessly before. As the lines blur between the two, I would hope some of TVii’s advances are copied and improved upon by other gadget makers and TV signal providers.


For starters, TVii asks for your TV maker, your set-top box maker, your location and your TV provider (that could be an antenna). TVii then uses infrared codes to control your TV just like the old remote, and it can offer a traditional channel guide for live TV shows. TVii also asks for your favorite shows, sports teams and movies. This helps it create an easy-to-understand grouping of shows you might want to watch.


I appreciate the way TVii walked me through the setup process. It was refreshing, given the misfortune I recently had of trying to program the remote control that came with my cable set-top box, which is about as fun as doing your tax returns. TVii takes away the need to read folded-up instruction manuals that appear to be written by and for electronics hobbyists.


After the setup, TVii presents you with a series of icons for Favorites, TV, Movies, Sports and Search. A little avatar of your identity is in one corner, and tapping on it lets you adjust your favorites or go through the setup again. Each person in a household can have a different avatar and set of favorites.


In Favorites, your shows are listed with cover art, and you can swipe through the offerings. Tapping one, say, “The Mindy Project,” will pull up an episode list with pictures and brief summaries. Choosing an episode will bring up a range of options — the channel if it’s on live TV, or buttons for Hulu Plus or Amazon, where you can pay for monthly access or just one episode through the service’s app. (The free version of Hulu is blocked on gadgets, including the Wii U and tablet computers. Apple’s iTunes, unsurprisingly, isn’t integrated.) The option of clicking through to Netflix will be added some time in 2013.


One hiccup is that if you want to watch a show on live TV now, it asks if your TV’s input source is already set to the set-top box, rather than the Wii U or another gadget such as a DVD player. If it is, you tap “yes” and the channel changes. If not, you have to tap until the source switches to the right one and then tap “yes.” Still, there’s no need to go back to your TV’s remote control.


The other menu items for TV, Movies, Sports and Search operate pretty similarly. Eventually you’ll get a range of options to watch. In the case of sports, you’ll likely see several game possibilities, with the latest score showing up on each game icon.


As an alternative, you can resort to a physical TV button on the GamePad that brings up touch controls that mimic a simplified, standard remote.


Another option is using an altogether separate interface in which favorite channels and other controls are displayed graphically on a semi-circular wheel. It looks strange, and I wouldn’t recommend it.


Anyone who is frustrated by the jumble of cables and boxes that now surround TVs will see TVii’s appeal. My wife said she liked the ease of holding and touching the controller, rather than fiddling with the button-laden remote. One downside I can see with TVii is that you have to keep looking down to figure out what to watch. And you have to plug it in frequently, as the GamePad controller will die out after three to five hours of use.


TVii also offers a standard channel guide in which you can scroll up and down for programs on different channels or right and left for different times of day. A touch will change the channel to the program, which is nice.


For certain shows and sporting events, TVii will supply a running list of key events called “TV tags.” These descriptions of events, like the precise moment when Mindy’s Christmas party descends into chaos, are displayed on the GamePad’s screen, along with a screenshot. Tapping on one opens up a comment window, and an onscreen keyboard allows you to make a comment. For sports, you get a description of each play, such as the number of yards thrown in a pass, beside a graphic that gets updated.


Not many people have Wii U consoles yet, nor is everyone tuned to TVii. As a result, I found myself with only one or two commenters to share my thoughts with.


If you’ve connected TVii to Facebook and Twitter (again, some sign-up is involved), your comments will go out to your friends and followers, but the TV tag that you are commenting on won’t show up, so they might not know what you’re talking about. TVii adds the hashtag “NintendoTVii” to help readers take a guess.


In the end, TVii isn’t perfect.


It isn’t yet able to program your digital video recorder, although it will do so for TiVo DVRs by March. Sports are limited to pro and college basketball and football, and there’s no integration with fantasy sports leagues. And the battery life of the GamePad is short.


A review unit I was sent failed to take a charge and had to be replaced, although I haven’t found others who have had the same problem.


These irritations aside, Nintendo has given us a way to control the clutter of channels, apps and devices crowding around the TV. It’s relatively easy and intuitive and some updates are on the way. Considering the garble of the TV universe, that’s pretty good.


___


About TVii:


TVii turns the GamePad controller for the Wii U into a remote control that integrates your live TV and Internet video experience. The service is free, but you’ll need a Wii U game console, which starts at $ 300. You’ll also need to pay extra to use video services such as Hulu Plus, Amazon and Netflix.


Gaming News Headlines – Yahoo! News





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U.S. pop singer Patti Page dies at age 85






LOS ANGELES (Reuters) – American pop singer Patti Page, whose 1950 hit “Tennessee Waltz” topped the charts for months, has died in Southern California, her manager said on Wednesday. She was 85.


Nicknamed “The Singing’ Rage,” Page sold more than 100 million albums in her 67-year career, which included 1950s chart toppers “(How Much Is That) Doggie in the Window,” “I Went to Your Wedding” and “All My Love (Bolero).”






She died on Tuesday in a nursing home in Encinitas, north of San Diego, after suffering congestive heart failure, her manager, Michael Glynn, told Reuters.


“She’d been having some health issues for the past couple of years,” Glynn said. “She was actually doing better yesterday. I spoke to her and she sounded well.”


Page won a Grammy for her 1998 album “Live at Carnegie Hall: The 50th Anniversary Concert” and will be honored with a lifetime achievement Grammy in February. She had expected to attend the ceremony, Glynn said.


Page was born in Oklahoma as Clara Ann Fowler in 1927 and was known for her light, every-girl voice. Her first big hit was “With My Eyes Wide Open, I’m Dreaming,” which peaked at No. 11 on the charts in 1950.


Eight years later, Page scored her penultimate top-10 song, “Left Right Out of Your Heart,” as rock ‘n’ roll was emerging as the dominant trend in popular music.


Her final big hit was “Hush … Hush Sweet Charlotte” in 1965. The song served as the theme of a film of the same name starring Bette Davis.


Her reputation was burnished in recent years when rock group The White Stripes covered her 1952 song “Conquest” on their Grammy-winning 2007 album “Icky Thump.”


She was married three times, most recently in 1990.


Page is survived by her two children, and several grandchildren and great-grandchildren.


(Reporting by Eric Kelsey; Editing by Jill Serjeant and Peter Cooney)


Music News Headlines – Yahoo! News





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Clinton discharged from hospital, doctors expect full recovery






WASHINGTON (Reuters) – Secretary of State Hillary Clinton was discharged from a New York hospital on Wednesday after being treated for a blood clot near her brain and her doctors expect her to make a full recovery, the State Department said.


Clinton, who has not been seen in public since December 7, was at New York-Presbyterian Hospital under treatment for a blood clot behind her right ear that stemmed from a concussion she suffered in mid-December, the department said on Sunday.






The concussion was the result of an earlier illness, described by the State Department as a stomach virus she had picked up during a trip to Europe that led to dehydration and a fainting spell after she returned to the United States.


Secretary Clinton was discharged from the hospital this evening. Her medical team advised her that she is making good progress on all fronts, and they are confident she will make a full recovery,” Philippe Reines, a deputy assistant secretary of state, said in a statement.


Reines said Clinton was “eager to get back to the office.”


Earlier, State Department spokeswoman Victoria Nuland told reporters at her daily briefing Clinton had been talking with her staff by telephone and receiving memos.


Clinton also spoke to two foreign officials – the U.N. envoy on Syria and the prime minister of Qatar – on Saturday, the day before the State Department disclosed the blood clot and her stay at the hospital.


In a statement released by the State Department on Monday, Clinton’s doctors said she was being treated with blood thinners and would be released from the hospital once the correct dosage had been determined.


(Reporting by Arshad Mohammed; Editing by Sandra Maler and Todd Eastham)


Health News Headlines – Yahoo! News





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A Relief Rally, a Dead-Cat Bounce, or an Ephemeral Rise






Though Maryland born and bred, Josh Scheinker affects a SoCal zen, complete with what seems like a surfer-dude tan and coif. But the senior vice president of Janney Montgomery Scott’s Baltimore-based Scheinker Investment Partners admits that fear and loathing toward the fiscal cliff had shattered his calm. “My wife and kids,” Scheinker says, “were all wondering why my New Year’s was so stressful, why I was watching C-SPAN, and whether I needed to be in a white padded room.”


Scheinker, along with rest of Wall Street and global markets, celebrated Wednesday after Washington churned out a 13th-hour deal to stave off $ 600 billion in tax increases and spending cuts. All manner of risk assets, including stocks and commodities, surged to start 2013, after the House’s 257-167 vote on the hastily cobbled-together deal. The Dow Jones Industrial Average, Standard & Poor’s 500, and Nasdaq rallied an average of 2.65 percent. Europe and emerging markets rejoiced. Catastrophe avoided. At least mostly, for now.






Uncle Sam will permanently tax dividends and long-term capital gains at a 10 percent, 15 percent, or 20 percent rate, depending on a person’s or household’s overall income. Without this new certainty, the levy on dividends would have automatically jacked up to taxpayers’ ordinary income-tax rate. The bad news: Taxpayers with modified adjusted gross incomes of more than $ 200,000 for individuals and $ 250,000 for married joint filers will have to pay an additional 3.8 percent Affordable Care Act tax on their net investment income.


It’s a tricky grab for lawmakers on both sides of the partisan divide: How much and where, specifically, do you tax investors, who have been privy to a multiyear bull market in equities and fixed-income—an unavoidably attractive target for badly needed government revenue? How do you tap that source without choking off the undeniable wealth effect of a rising market? Love them or hate them, the top 20 percent of American income earners own about 90 percent of shares, a relationship that correlates disproportionately with retail sales, the health of which courses through the broader economy.


“Today the stock market has increasingly become the disciplining force in spurring action in Washington,” wrote Merrill Lynch economist Ethan Harris on Monday. “‘Stock market vigilantes’ have replaced ‘bond market vigilantes.’”


That’s a curious observation in light of how big a year markets had in the face of what was widely bandied as looming budgetary catastrophe. How urgently will lawmakers finish the substantial unfinished business of raising the country’s $ 16.4 trillion debt limit or deal with sequestration’s huge budget cuts if the market goes into panic mode?


For his part, Blackstone’s Byron Wien said the Standard & Poor’s 500 Index will fall below 1,300 this year (from its current 1,456). He correctly called the S&P’s ascent last year above 1,400. Not once last year did the market have a single day when it was down for the year.


“The hard work,” says Janney Montgomery chief fixed-income strategist Guy LeBas, “is far from done. The cliff represented the confluence of opposing needs to reduce the long-term budget deficit and support short-term economic growth. Congress, in this instance, opted for the immediate benefits of the latter rather than the stability of the former. That decision delays what will inevitably be tougher decisions in the long run.”


“So, is this a relief rally, a dead-cat bounce, or just an ephemeral rise?” asks Scheinker, who says he plans to glue himself to C-SPAN again next month. “Do I feel comfortable here? No, not really. Does the market truly understand what deal was just signed off on? I am not too sure. I can tell you that my clients are very worried about the future of America.”


Businessweek.com — Top News





Title Post: A Relief Rally, a Dead-Cat Bounce, or an Ephemeral Rise
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Link To Post : A Relief Rally, a Dead-Cat Bounce, or an Ephemeral Rise
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