Film defrocks church hierarchy over handling of sex abuse
















NEW YORK (Reuters) – Four deaf Wisconsin men were some of the first to seek justice after suffering childhood sexual abuse at the hands of a priest, and a new documentary about the Catholic Church‘s poor handling of such cases stemming from the Vatican seeks to make their voices heard.


Mea Maxima Culpa: Silence in the House of God” explores the impact of the Roman Catholic Church’s protocol as dictated from the Vatican for dealing with pedophile priests. It opens in U.S. cinemas on November 16, and will air on cable channel HBO in February.













Though American media coverage about child sex abuse by clergy has been extensive since a slew of cases came to light in Boston in 2002, Oscar-winning documentary director Alex Gibney wanted to connect individual stories with what he sees as systemic failures stemming from the top of the church.


“A lot of individual stories had been done about clerical sex abuse, but I hadn’t seen one that really connected the individual stories with the larger cover-up by the Vatican, so that was important,” Gibney told Reuters in an interview.


The film centers on the group of deaf men and their experiences as young boys attending St. John’s School for the Deaf in St. Francis, Wisconsin.


In a letter to the Vatican in 1998, the late Rev. Father Lawrence Murphy admitted abusing some 200 deaf boys over two decades beginning in the 1950s.


Murphy claimed he had repented, and asked to live out his last years as a priest, and was never defrocked or punished by civil authorities. He died in 1998.


In the film, the men communicate their frustrating attempts to bring their experiences to the attention of religious and civil authorities with effusive sign language and facial expressions, paired with voiceovers by actors such as Ethan Hawke.


The film also traces a convoluted bureaucracy – right up to the cardinal who is now Pope Benedict – to reveal a set of policies that the film portrays as often seeming more interested in preserving the Church’s image.


STRUGGLING TO BE HEARD


“These were deaf men whose voices literally couldn’t be heard, so there was a silence from them, and there was also this silence coming from the church, a refusal to confront this obvious crime, in part because they were covering it up,” said Gibney.


The Vatican has denied any cover-up in the Murphy case and in 2010 issued a statement condemning his abuse. It has criticized media reports about the Church’s handling of the cases as anti-Catholic.


Contrasting that, the film shows interviews with former church officials who talk openly of church policies to handle cases by “rehabilitating” abusive clergymen and snuffing out scandal.


Gibney said that all of the Vatican officials he contacted declined his interview requests.


Raised Catholic himself, Gibney no longer practices organized religion, but empathizes with Catholics who feel a sense of loyalty to the religion’s institutions and acknowledges that criticism of the church can feel like a personal attack.


“Mea Maxima Culpa,” a Latin phrase meaning “my most grievous fault” focuses on the failures of the Catholic Church‘s hierarchy. But Gibney – who won an Oscar for “Taxi to the Dark Side” – said the film’s theme transcends religion and is also relevant for secular institutions.


“This is obviously about the church, but it’s also a crime film,” he said. “It’s about abuse of power and it’s about how institutions instead of reckoning with problems try to cover them up. It’s always the cover-up that creates the problem.”


He cited the Jerry Sandusky sex abuse scandal that rocked Penn State University recently, and the BBC’s poor handling of abuse allegations against the late British TV personality Jimmy Savile as examples of secular institutions brought low by similar issues.


“The thing about predators is that they tend to hide in plain sight,” Gibney said. “You’re seeing it now with Sandusky, you’re seeing it now with Jimmy Savile in Great Britain, and you saw it with Father Murphy in the film.”


Gibney thinks that the public’s stubbornly rosy perceptions of charismatic authority figures, including priests, is a major factor in such scandals.


“They’re often involved in charity or good works,” he said of high-profile abusers. “That seems to give you license to do unbelievable things because people cut you all sorts of slack that they wouldn’t normally do for other people.”


(Editing by Christine Kearney and Richard Chang)


Movies News Headlines – Yahoo! News



Read More..

Sina banks on Weibo but weak fourth quarter guidance spooks investors
















(Reuters) – Chinese Internet company Sina Corp said its fourth quarter will be hit by a softer economy and posted weaker-than-expected sales guidance, despite a stronger revenue contribution from its hot microblogging platform Weibo.


Shares in Sina fell 7 percent after it forecast adjusted net revenue of $ 132 million to $ 136 million in the current quarter, below analysts’ expectations for $ 151.9 million according to Thomson Reuters I/B/E/S.













Sina, which makes most of its revenue from online advertising both on its website and Weibo, is facing stiff headwinds as firms slash advertising budgets due to a worsening economic outlook.


“We are going to see a weaker quarter for advertising overall in the fourth quarter,” said Charles Chao, Sina’s chief executive on an earnings conference call. The firm forecast Q4 advertising revenues would rise 6-8 percent from a year earlier.


Chao said Weibo contributed 16 percent to total revenue in the third quarter, up from 10 percent in the previous quarter. The platform, which is very popular with white-collar workers, university students and celebrities, had 424 million registered users at the end of the quarter, up from 368 million three months earlier.


Advertisers, like luxury brands, that traditionally don’t advertise with Sina’s main portal website flocked to Weibo to test out the social platform, Chao said.


There were about 230,000 Weibo advertising accounts in the quarter, and Sina was in the process of rolling out a online payment system and new Weibo advertising product to increase monetization at the end of the fourth quarter.


“We believe a ‘promoted feed advertising’ will become one of the major forms of (Weibo) advertising going forward,” said Chao, adding that the product will be effective also on mobile platforms, allowing Sina to tap into Weibo’s growth on mobile devices.


Q3 PROFIT BEAT


For the third quarter, Sina’s net profit was $ 9.9 million compared with a loss of $ 336.3 million a year earlier, and slighly ahead of analysts’ expectations of $ 7.5 million.


Sina’s quarterly advertising revenue rose 19 percent to $ 120.6 million, while non-advertising revenue rose 9 percent to $ 31.8 million.


The company started monetizing Weibo by offering special services to business accounts and selling VIP memberships to regular users earlier this year.


For its mobile-value-added-services business, Sina said it expects revenue to continue to decline due to new regulatory policies.


The company was also affected by a spat between Japan and China over islands in the East China Sea as Japanese automakers cut back on advertising in China. Chao said he expected the impact to last into the fourth quarter.


“It did have an impact on our third quarter as well as our fourth quarter. We did see cancellations from customers related to Japanese automobiles in the month of September and it impacted the fourth quarter (too),” Chao said.


Sina shares fell 6.74 percent to $ 49.52 in extended trading. They closed at $ 53.10 on the Nasdaq on Thursday.


(Additional reporting by Aurindom Mukherjee in Bangalore; Editing by Sriraj Kalluvila and Richard Pullin)


Internet News Headlines – Yahoo! News



Read More..

Pfizer’s once-daily Lyrica trial fails to meet goal
















(Reuters) – Pfizer Inc said on Friday a late-stage trial of a once-a-day formulation of its drug pregabalin did not significantly reduce the frequency of some types of seizures in patients with epilepsy.


The drug, sold under the brand name Lyrica, is currently used to treat epilepsy when given several times a day in combination with other drugs.













Pfizer said the lack of a statistically significant improvement may have been due to a higher-than-expected response among patients taking the placebo.


The trial was the first of three trials testing the drug as a once-a-day therapy. The company is also testing it in patients with fibromyalgia and some types of nerve pain, for which it is also approved in its immediate-release formulation.


(Reporting By Toni Clarke; Editing by Gerald E. McCormick)


Diseases/Conditions News Headlines – Yahoo! News



Read More..

China’s commerce minister voted out in rare congress snub: sources
















BEIJING (Reuters) – China‘s commerce minister was surprisingly blocked from a spot on the ruling Communist Party’s elite body during a conclave this week, sources said, a rare snub for an official that could raise questions about trade policies during his tenure.


The failure of Chen Deming to secure a seat on the 25-member Politburo marks one of the few surprises to emerge from the party’s five-yearly congress that wrapped this week with the anointing of a new slate of top leaders who will run the world’s second largest economy.













It is also the first time in more than two decades that an official designated for a Politburo spot has been voted out of the party’s 205-member Central Committee in elections. Central Committee membership is a prerequisite for a Politburo seat.


“Chen Deming was voted out during multi-candidate elections to the Central Committee,” one source told Reuters. State news agency Xinhua said there were eight percent more candidates than seats in a preliminary vote before the formal election on Wednesday.


Not being name as an alternate or full member during the party’s 18th congress means Chen, who was previously an alternate member, is almost certain to step down as commerce minister next March. Party regulations require cabinet ministers to be Central Committee members.


It is unclear why Chen, who was seen as a strong candidate for a vice premiership and at 63 is young enough to serve another five-year term under party rules, did not secure the votes for a seat on the Central Committee.


Tianjin Mayor Huang Xingguo, 58, who was elected a full member of the Central Committee, is front-runner to replace Chen as commerce minister, two sources with ties to the leadership said.


Ma Kai, 66, secretary general of the State Council, or cabinet, is tipped to become a vice premier now that Chen is out of the running, the sources said, requesting anonymity to avoid repercussions for discussing secretive elite politics.


Until now, a politician designated to become a Politburo member has not been barred from the Central Committee since 1987, when Deng Liqun, an ultra-conservative and reviled Marxist ideologue, was voted out at the 13th congress in a deeply embarrassing fall from grace.


Chen’s imminent retirement as commerce minister, a post he has held since taking over from now disgraced politician Bo Xilai in late 2007, would come as China faces growing tension with major trade partners in Europe and the United States and Chinese officials warn of increasing protectionism.


China’s leaders set a goal for 10 percent export growth this year, but it is more likely to come in at around 7 percent as the world has struggled to recover from financial crisis.


DEFENDED RECORD


Some experts suggest that Chen’s age was the main factor in his ouster.


“Minister Chen didn’t get onto the Central Committee because of his age. He was born in 1949 and that makes him too old to serve a full term,” said a Commerce Ministry official who declined to be identified.


But exceptions to the mandatory retirement age of 65 are often made for cabinet ministers and provincial governors and politicians can become a vice premier before they turn 68.


Du Qinglin, 66, a vice chairman to parliament’s advisory body, was just elected to the Central Committee.


At a news conference last week on the sidelines of the congress, Chen declined to answer questions about whether he was being considered for a vice premier post, but he defended the ministry’s record at the World Trade Organisation.


“When you consider the volume of trade cases in which China is involved, we’ve won quite a few,” Chen said. “But we haven’t bragged about our wins, whereas some of our foreign colleagues have trumpeted theirs.”


Analysts said Chen had a reputation as a competent and moderate minister, suggesting his performance may not have been at the center of his failure to secure a central committee seat, and despite the questions that are bound to arise, policy would probably not change.


“China’s overall trade policy is not set by the ministry, but by the central government,” said He Weiwen, director of the China-U.S. Trade Research Centre at the University of International Business and Economics in Beijing.


Under Chen, the ministry has increased its use of WTO legal processes, in part to gain experience. China has a relatively short history of participating in multilateral institutions and while it has lost most of WTO cases filed against it, most countries defending against complaints have the same problem.


Scott Kennedy, director of the Research Centre for Chinese Politics and Business at Indiana University said Chen’s departure from the Central Committee was puzzling and political motives could be at play.


“I don’t think he could be punished for his record as minister of commerce. I think overall he’s done a pretty decent job with the hand he has been dealt,” Kennedy said.


(Additional reporting by Lucy Hornby and Nick Edwards; Editing by Robert Birsel)


Economy News Headlines – Yahoo! News



Read More..

Jamaica to abolish slavery-era flogging law
















KINGSTON, Jamaica (AP) — Jamaica is preparing to abolish a slavery-era law allowing flogging and whipping as means of punishing prisoners, the Caribbean country’s justice ministry said Thursday.


The ministry said the punishment hasn’t been ordered by a court since 2004 but the statutes remain in the island’s penal code. It was administered with strokes from a tamarind-tree switch or a cat o’nine tails, a whip made of nine, knotted cords.













Justice Minister Mark Golding says the “degrading” punishment is an anachronism which violates Jamaica’s international obligations and is preventing Prime Minister Portia Simpson Miller‘s government from ratifying the U.N. convention against torture.


“The time has come to regularize this situation by getting these colonial-era laws off our books once and for all,” Golding said in a Thursday statement.


The Cabinet has already approved repealing the flogging law and amendments to other laws in the former British colony, where plantation slavery was particularly brutal.


The announcement was welcomed by human rights activists who view the flogging law as a barbaric throwback in a nation populated mostly by the descendants of slaves.


“We don’t really see that (the flogging law) has any part in the approach of dealing with crime in a modern democracy,” said group spokeswoman Susan Goffe.


But there are no shortage of crime-weary Jamaicans who feel that authorities should not drop the old statutes but instead enforce them, arguing that thieves who steal livestock or violent criminals who harm innocent people should receive a whipping to teach them a lesson.


“The worst criminals need strong punishing or else they’ll do crimes over and over,” said Chris Drummond, a Kingston man with three school-age children. “Getting locked up is not always enough.”


The last to suffer the punishment in Jamaica was Errol Pryce, who was sentenced to four years in prison and six lashes in 1994 for stabbing his mother-in-law.


Pryce was flogged the day before being released from prison in 1997 and later complained to the U.N. Human Rights Committee, which ruled in 2004 that the form of corporal punishment was cruel, inhuman and degrading and violated his rights. Jamaican courts then stopped ordering whipping or flogging.


Latin America News Headlines – Yahoo! News



Read More..

Reckitt trumps Bayer with $1.4 billion bid for Schiff
















NEW YORK/LONDON (Reuters) – Reckitt Benckiser Group Plc has trumped Bayer AG‘s agreed deal to buy Schiff Nutrition International Inc with a higher offer of $ 1.4 billion for the U.S. vitamin maker.


The bid, which tops Bayer’s $ 1.2 billion price, opens up a potential bidding war for Schiff, whose portfolio of vitamins and nutritional supplements, such as MegaRed for heart care and Move Free for joints, is appealing to companies seeking stable sources of growth.













Reckitt, the British consumer products group behind Cillit Bang cleaner and Durex condoms, said late on Thursday it would offer $ 42 for each Schiff share, a 23.5 percent premium over the $ 34 per share that Bayer, Germany’s biggest drugmaker, agreed to pay on October 30.


Shares of Schiff Nutrition surged nearly 30 percent to $ 44 in after-hours trading on the New York Stock Exchange, above Reckitt’s offer and indicating some investors expect the bidding to go higher still.


Reckitt’s offer values Schiff at about 3.6 times its forecast 2013 annual sales, which is around the top end of deal multiples in the non-prescription drugs industry.


But it would get Reckitt into the $ 30 billion global market for vitamins and supplements for the first time, complementing its existing strength in other areas of consumer health.


“When this offer was made by Bayer – which was a bilateral agreement and not a public auction process – we knew that this was an area we would be very interested in,” Reckitt Chief Executive Officer Rakesh Kapoor told Reuters.


“That’s why we started to work and look at it once again to see whether this would be attractive to our shareholders. Based on our due diligence, we believe it is and that’s why we’ve come up with a strong offer.”


Analyst Andrew Wood at brokerage Bernstein said the deal made good strategic sense for Reckitt.


“This is particularly true given (Reckitt’s) … excellent M&A track record and its ability to quickly extract big synergies from acquired companies,” he said.


Its past deals in the health sector include buying Boots’ over-the-counter business in 2006 for 1.9 billion pounds ($ 3.0 billion), cough medicines company Adams in 2008 for $ 2.3 billion and Durex condoms group SSL for 2.5 billion pounds in 2010.


$ 22 MLN BREAKUP FEE


Reckitt said it expected the deal to boost earnings immediately on an adjusted basis and Bernstein’s Wood predicted an uplift of about 1 to 2 percent in 2013 earnings per share.


A Bayer spokesman declined to comment and representatives for Schiff could not be immediately reached for comment.


While Bayer may bide its time before reacting to Reckitt’s move, its management will be under pressure to salvage a deal that was well received by investors.


“A bidding war cannot be ruled out. Bayer probably has to match the Reckitt offer. This would result in an acquisition price which might get unattractive for Bayer,” DZ Bank analyst Peter Spengler said in a research note.


Bayer shares were 0.6 percent higher by 1145 GMT, while Reckitt dipped 0.8 percent.


Under the terms of its deal with Bayer, Schiff is allowed to entertain superior offers made in writing before November 28. If it decides to go with another offer, it would have to pay a relatively modest $ 22 million breakup fee to Bayer.


With Schiff now in play, analysts said the situation could also attract interest from other parties – in particular Johnson & Johnson , the only other leading consumer health player lacking a presence in vitamins and supplements.


Schiff Chairman Eric Weider and private equity firm TPG Capital controlled 85 percent of the company’s voting power, as of the end of October.


For Bayer, the planned acquisition of Schiff represents part of a strategy to expand into steadier, albeit less profitable, areas as a counterweight to prescription medicines, where there are high risks of clinical trial failures and patent expiries.


Reckitt, meanwhile, is keen to build up its healthcare business, which already includes painkillers, anti-acne creams and condoms. It also makes a range of household and personal care products.


Morgan Stanley is acting as financial adviser to Reckitt, while Houlihan Lokey is advising Schiff alongside Rothschild. Bayer is being advised by Bank of America Merrill Lynch. ($ 1 = 0.6300 British pounds)


(Additional reporting by Ludwig Burger in Frankfurt, Anjuli Davies in London and Zeba Siddiqui in Bangalore; Editing by Sriraj Kalluvila and David Holmes)


Health News Headlines – Yahoo! News



Read More..

World stocks flat on Europe, US woes; Japan gains
















BANGKOK (AP) — Trading on world stock markets was lethargic Friday after data showed Europe slipped back into recession and several big U.S. retailers disappointed investors with weak forecasts.


The European Union’s statistics agency said Thursday that the combined economy of the 17 countries that use the euro contracted 0.1 percent in the third quarter from the previous quarter. Surveys pointing to difficult conditions ahead suggest the recession could deepen.













“Although unsurprising, data in Europe confirmed that the region fell back into recession, an outcome that will do little to ease tensions,” analysts at Credit Agricole CIB in Hong Kong said in an email commentary.


European stocks were flat in early trading. Britain’s FTSE 100 fell 0.1 percent to 5,672.68. Germany‘s DAX was almost unchanged at 7,044.06. France‘s CAC-40 inched up less than 0.1 percent to 3,385.29.


Wall Street also flat-lined ahead of the open. Dow Jones industrial futures were almost unchanged at 12,524. S&P 500 futures inched up marginally to 1,352.10.


Trading in Asia was slightly more energetic. Hong Kong’s Hang Seng rose 0.2 percent to 21,159.01. South Korea‘s Kospi fell 0.5 percent to 1,860.83. Australia‘s S&P/ASX 200 lost 0.3 percent to 4,336.80.


Benchmarks in Taiwan, New Zealand and mainland China fell. The Shanghai Composite Index lost 0.8 percent to 2,014.72 and the Shenzhen Composite Index fell 0.7 percent to 800.20. Benchmarks in Singapore, Thailand and the Philippines rose.


Japan‘s Nikkei 225 stock index jumped 2.2 percent to close at 9,024.16, rallying for a second straight day on expectations that the opposition Liberal Democratic Party may win elections next month and pursue more aggressive stimulus policies than the current leadership.


LDP leader Shinzo Abe has said he is determined to push for such policies and to find ways to weaken the yen, whose strength against other currencies has hammered exporters.


Stan Shamu, strategist at IG Markets in Melbourne, said Abe wants an inflation target of between 2 and 3 percent as a way to cheapen the Japanese currency, perhaps by printing yen or bulking up on purchases of assets like Japanese government bonds. Still, the target might be difficult to achieve, given the economy’s weakness, he said.


“With such a big export economy, the yen has massive significance on how the local economy performs,” Shamu said.


Japan’s exporters, whose fortunes are linked to the yen’s valuation, were buoyed by the prospect of a changing of the guard. Mazda Motor Corp. soared 7.1 percent. Nissan Motor Co. jumped 5.1 percent. Nikon Corp. surged 7.2 percent and Canon Inc. gained 5.8 percent.


In Australia, Whitehaven Coal fell 1.8 percent after announcing it would scale back some operations due to the decline in global coal prices.


In the U.S., investors were dealt dual blows Thursday: worse-than-expected revenue from global retailing giant Wal-Mart and data showing that manufacturing weakened in the Philadelphia and New York regions, reflecting damage from Superstorm Sandy.


Wal-Mart, Ross Stores and Limited Brands, the owner of Victoria’s Secret, also disappointed investors by issuing profit forecasts that fell short of expectations.


Benchmark oil for December delivery was up 13 cents to $ 85.58 in electronic trading on the New York Mercantile Exchange. The contract fell 87 cents to close at $ 85.45 a barrel in New York on Thursday.


In currencies, the dollar weakened to 80.98 yen from 81.21 yen late Thursday in New York. The euro fell to $ 1.2748 from $ 1.2773.


___


Follow Pamela Sampson on Twitter at http://twitter.com/pamelasampson


Economy News Headlines – Yahoo! News



Read More..

Texas Instruments cuts 1,700 jobs, winds down tablet chips
















NEW YORK/SAN FRANCISCO (Reuters) – Texas Instruments is eliminating 1,700 jobs, as it winds down its mobile processor business to focus on chips for more profitable markets like cars and home appliances.


Texas Instruments said in September it would halt costly investments in the increasingly competitive smartphone and tablet chip business, leading Wall Street to speculate that part of the company’s processor unit, called OMAP, could be sold.













The layoffs are equivalent to nearly 5 percent of the Austin, Texas-based company’s global workforce.


“A sale would have been better than a restructuring but a restructuring is certainly better than nothing,” Sanford Bernstein analyst Stacy Rasgon said.


TI has been under pressure in mobile processors, where it has lost ground to rival Qualcomm Inc. Leading smartphone makers Apple Inc and Samsung Electronics Co Ltd have been developing their own chips instead of buying them from suppliers like TI.


Instead of competing in phones and tablets, TI wants to sell its OMAP processors in markets that require less investment, like industrial clients like carmakers.


TI is expected to continue selling existing tablet and phone processors for products like Amazon.Com Inc‘s Kindle tablets for as long as demand remains, but stop developing new chips.


“This year, the Kindle runs on the OMAP 4 and next year’s Kindle is slated, we believe, for OMAP 5. We believe that program is well along to completion and do not expect that the termination of OMAP will disrupt those plans,” said Longbow Research analyst JoAnne Feeney.


Amazon had reportedly been in talks to buy the mobile part of OMAP.


TI said it expects to take charges of about $ 325 million related to the job cuts and other cost reduction measures, most of which will be accounted for in the current quarter. Its previously announced financial targets for the fourth quarter do not include these costs, TI said.


The company, which has 35,000 employees around the world, expects annualized savings of about $ 450 million by the end of 2013 from the action.


TI shares rose to $ 29 in after-hours trading after closing at $ 28.76, down 2 percent on Nasdaq.


(Reporting By Sinead Carew in New York and Noel Randewich in San Francisco; editing by Carol Bishopric)


Tech News Headlines – Yahoo! News



Read More..

Multibillion-dollar health fund fires watchdog
















GENEVA (AP) — The board of a $ 23 billion health fund trying to restore its image fired its top internal watchdog, whose office has been uncovering financial losses.


The Global Fund to Fight AIDS, Tuberculosis and Malaria said in a statement Thursday that its board had terminated the employment of Inspector General John Parsons “after a careful review of his performance, which was found to be unsatisfactory.” It said this was based on performance and independent peer reviews and a report by the board committee that oversees Parsons’ office.













The board said it would soon name an interim inspector-general and expects to find a permanent replacement within six months.


The fund also is selecting a new executive director Thursday from among four finalists. The previous director resigned because of a review panel that the fund created after Associated Press articles last year about financial losses. The articles led some donors to withhold funding, and the fund scaled back spending.


Those losses were uncovered by the office that Parsons had headed since 2007. The office — whose teams of auditors and investigators are supposed to function independently — was created in 2005 at the urging of the fund’s biggest donor, the United States.


Before joining the Global Fund, Parsons, a British citizen, had gained more than 35 years of experience in audits, investigations and evaluations and had served as a director at U.N. agencies UNESCO and UNICEF. He headed Britain’s National Audit Office from 1989 to 1996.


Parsons could not immediately be reached for comment Thursday.


Health News Headlines – Yahoo! News



Read More..

Stock futures erase gains, Wal-Mart falls after results
















NEW YORK (Reuters) – Stock index futures were flat on Thursday, with investors again finding few reasons to buy amid weak results from retail giant Wal-Mart and tensions in the Middle East.


Futures were off their highs of the session, continuing a trend of equities having difficulty holding onto gains. Futures had also indicated gains Wednesday morning, but stocks turned lower midday and ended down more than 1 percent.













Eroding gains in Dow futures, Wal-Mart Stores fell 3.2 percent to $ 69 in premarket trading after reporting third-quarter revenue that missed expectations and saying macroeconomic conditions continued to pressure its customers.


“This is troubling because it flies in the face of other retail data we’ve seen lately, which has been positive,” said Kim Forrest, senior equity research analyst, Fort Pitt Capital Group in Pittsburgh. “There’s not much out there convincing investors that things are getting any better.”


Target Corp eased back to $ 61.36 before the bell even as the company reported higher quarterly profit.


Overseas, Israel launched a major offensive against Palestinian militants in Gaza, killing the military commander of Hamas in an air strike and threatening an invasion of the enclave. Egypt said it recalled its ambassador from Israel in response.


Crude oil may be the most directly impacted by the tensions in the region, with any disruption to oil supply leaving crude vulnerable to a spike in prices. Brent crude rose 1 percent and is up 4.7 percent over the past two weeks.


“Nothing over there seem stable, and investors are concerned other countries could be pulled into the conflict. You’re going to see oil jump on that threat,” Forest said.


S&P 500 futures were flat but still 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 fell 25 points and Nasdaq 100 futures rose 2.75 points.


With Wednesday’s drop, both the Dow and Nasdaq ended at their lowest levels since late June. The S&P 500 is down 5.1 percent in the six sessions since election night. Wednesday marked the benchmark index’s lowest close since July 25.


Investors may seek bargains at these levels, and a round of stronger economic data could prove to be a catalyst, but many analysts say strong gains may be hard to come by until at least one of the many global macroeconomic headwinds have been resolved.


“There’s all this uncertainty out there, and the market is unbalanced because those who want to buy can be very discriminate about the price they want to buy at,” Forest said.


The market will also watch the latest economic data, with weekly jobless claims, October consumer prices and a November read on New York manufacturing all due out at 8:30 a.m. (1330 GMT). The Philadelphia Federal Reserve Bank releases its November business activity survey at 10 a.m.


Claims are seen rising by 20,000 to 375,000 while consumer prices are seen up 0.1 percent, compared with a 0.6 percent rise in September, according to a Reuters poll. The Empire State manufacturing survey is seen coming in at -6.7, compared with -6.16 in October. The Philly Fed survey is seen dropping to 2 from 5.7 in October.


While the President and Congress are unlikely to reach a definitive agreement for weeks, investors will continue to monitor the situation regarding the fiscal cliff, a series of mandated tax increases and spending cuts will start to take effect early next year that could push the U.S. economy into a recession.


President Barack Obama Wednesday reiterated his position that marginal tax rates would have to rise to tackle the nation’s deficits. Taxes on capital gains and dividends also could rise as part of the negotiations, pushing investors to sell this year and pay lower taxes on their gains.


(Editing by Theodore d’Afflisio)


Business News Headlines – Yahoo! News



Read More..