Jumaat, 16 November 2012

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US stocks snap 3-day losing streak

Posted: 16 Nov 2012 04:13 PM PST

NEW YORK: US stocks snapped a three-day losing streak Friday after political leaders signalled a determination to compromise to avoid sending the economy over the fiscal cliff.

Shares opened lower but took a jump upwards as the White House opened talks with congressional leaders on closing the deficit and averting the harsh tax hikes and spending cuts slated for January 1.

The Dow Jones Industrial Average finished up 45.93 points (0.37 per cent) at 12,588.31.

The broad-market S&P 500 added 6.55 points (0.48 per cent) at 1,359.88, while the tech-rich Nasdaq Composite shed 16.19 (0.57 per cent) at 2,853.13.

President Barack Obama met with congressional leaders from the Democratic and Republican parties to open crunch talks on pulling back from the fiscal cliff, with both sides stressing a willingness to find common ground and craft a long-term deficit reduction plan.

"There is no more, 'let's do it some other time,'" said Senate Democratic leader Harry Reid. "This isn't something we're going to wait until the last day of December to get it done."

"Markets, which have fallen very quickly, want to believe in an agreement" on the cliff, said Gregori Volokhine of Meeschaert New York.

Dell shares plunged 7.5 per cent to US$8.84, the computer maker falling close to its 2009 post-crash low on weaker-than-expected results for the third quarter.

The company's numbers continued to show signs of assault from the boom in tablets, with third-quarter profit sliding 47 per cent from a year ago.

But Dell claimed its new strategy emphasizing software and cloud computing was paying off.

Dell rival Hewlett-Packard meanwhile lost 1.8 per cent.

Apple shares, on a slide since September, fell nearly four per cent in early trade before rebounding for a 0.4 per cent gain at US$527.68. -- AFP

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Rockets Target Jerusalem; Israel Girds for Gaza Invasion - New York Times

Posted: 16 Nov 2012 08:57 AM PST

JERUSALEM — Palestinian militants fired rockets for the first time at Jerusalem on Friday in a daring new escalation of hostilities with Israel on the third day of their latest lethal conflict over Gaza, triggering air raid sirens and panicking residents who had thought themselves secure from such attacks because of the holy city's multireligious heritage and large Palestinian population.

The Israeli authorities did not immediately confirm the origin of the rocket fire, but it was assumed that the source was Gaza, where the Palestinian militant group Hamas and its radical affiliates have amassed arsenals of smuggled rockets with increased ranges and more accurate trajectories in recent years. On Thursday, they launched at least two at Tel Aviv, Israel's biggest city, for the first time, and on Friday launched more as part of a response to a large-scale aerial assault by the Israelis on targets in Gaza and indications that Israel was close to launching its first ground invasion there in four years.

Jerusalem, a city holy to Jews, Muslims and Christians, had been previously thought off-limits to rocket attacks by militant Palestinians and others who reject Israel's claim to the city as its capital. Even Saddam Hussein, the Iraqi leader, had avoided targeting the city when he aimed Scud missiles at Israel during the first Persian Gulf War in 1991. The city is about 48 miles from the Gaza border.

The police in Jerusalem said no rockets fell within city limits, but one crashed harmlessly near a Jewish West Bank settlement just south of Jerusalem. A police spokesman, Micky Rosenfeld, said other explosions were heard in the same area but security forces had not located the landing sites.

The Jerusalem rocket attack came hours after scores of rockets were fired from Gaza into Israel, striking major cities of the south, causing widespread panic and damage and shattering plans for a temporary cease-fire during a remarkable visit to Gaza by the Egyptian prime minister that showed the shifting dynamics of Middle East politics since the turmoil of the Arab Spring uprisings.

The rocket fired at Tel Aviv on Friday probably landed in the sea, Mr. Rosenfeld said. Israeli officials say the only rockets in Gaza with a range that can reach Tel Aviv are the Iranian-made Fajr-5 projectiles that Israel has been targeting in its hundreds of airstrikes over the last few days.

That these rockets were still being fired seemed to weigh heavily in Israeli military calculations about a ground invasion. After a meeting with President Shimon Peres, Prime Minister Benjamin Netanyahu said the Israeli Army was "continuing to hit Hamas hard and is ready to expand the operation into Gaza," according to a statement from his office.

Mr. Netanyahu said the aim was "to take out the terrorist infrastructure in Gaza while doing everything possible not to harm civilians."

The rapidly escalating confrontation between Hamas and Israel followed an Israeli airstrike on Wednesday that killed the top commander of Hamas, and the tit-for-tat violence is widely seen as a potential catalyst for broader hostilities at a time of spreading turmoil in Syria and elsewhere in the region.

The Israeli military said Col. Amir Baram, commander of the Israel Defense Forces' paratroopers brigade, had addressed his forces during a preparatory briefing in the field, saying: "We are already 48 hours into an operation that we knew would have to happen. We have spoken about it during training, exercises and conferences. There is no doubt that we have to operate. This is why we enlisted, and why we have trained."

Witnesses on the Gaza-Israel border said Israeli tanks had massed in several places.

Early on Friday, the Israeli military said it had called up 16,000 army reservists to move against what Israel considers an unacceptable security threat from smuggled rockets amassed by Hamas, which does not recognize Israel's right to exist.

It was not initially clear whether the show of Israeli force on the ground was meant as more of an intimidation tactic to further pressure Hamas leaders, who had all been forced into hiding on Wednesday after the group's military chief, Ahmed al-Jabari, was killed in a pinpoint aerial bombing. But Israel's preparations seemed to pick up on Friday after the attempts to land rockets in Tel Aviv, while Hamas itself seemed emboldened by Egypt's support.

"The time in which the Israeli occupation does whatever it wants in Gaza is gone," said Ismail Haniya, the Hamas prime minister.

Initially, the Egyptian initiative was portrayed as a potential harbinger of reduced hostilities, and, as Prime Minister Hesham Qandil of Egypt prepared to travel to Gaza, Israel agreed to a temporary conditional cease-fire for the visit. But the truce never took hold.

Israel Radio said Palestinian militants had fired 25 rockets into southern Israel, one of them striking a house. There were no immediate reports of casualties.

What sounded like airstrikes by Israeli F-16s were also audible in Gaza City. The Israeli military said no such strikes had taken place, but the Hamas Health Ministry reported that two people, including a child, were killed in the north of Gaza City while the Egyptian delegation was on the ground.

The Palestinian death toll rose to 23 on Friday. The number included a man apparently executed by Hamas for what it said was collaboration with Israel in the deaths of 15 Palestinian leaders. Three Israelis were killed Thursday in a rocket attack in Kiryat Malachi, a small town in southern Israel, when a rocket fired from Gaza struck their apartment building.

The Egyptian prime minister's visit produced dramatic imagery to underpin his government's support for Hamas, which Israel, the United States and much of the West consider to be a terrorist organization.

Mr. Qandil and Mr. Haniya visited the Al Shifa hospital in Gaza City amid a huge scrum of bodyguards and journalists, saying they had carried the body of Mohammed Yasser, one of eight children who Palestinian health officials say have been killed in the surge of violence since Wednesday.

"This is the blood of our children on our clothes," Mr. Haniya said as he showed spatters on his clothing, "These are the Egyptian and the Palestinian blood united together."

Like the Egyptian president, Mohamed Morsi, on Thursday, Mr. Qandil walked a delicate line between support for Hamas, condemnation of Israel and a quest for calm in a region increasingly threatened by the spillovers from Syria's civil war, as well as by the long-festering impasse between the Israelis and Palestinians.

"The aim of this visit is not only to show political support but to support the Palestinian people on the ground," said Mr. Qandil, noting that he had brought with him a delegation from the Egyptian Health Ministry. He said a cease-fire between Gaza and Israel was "the only way to achieve stability in the region" and also called on the Palestinians to repair the rift between Hamas in Gaza and the Fatah group, which dominates the Palestinian Authority in the West Bank. "We call on the Palestinian people to unite because their power and strength is in their unity," Mr. Qandil said. "That's the only way to liberate Palestine."

The visit was the first of such a high-ranking Egyptian official to Gaza since the militant Hamas faction gained control in 2007, and offered a potent sign of how Egypt's revolution and new Islamist leadership since the overthrow of President Hosni Mubarak last year has shifted the geopolitics of the Israeli-Palestinian conflict.

Egypt, Mr. Qandil said, will "save nothing to stop the aggression and achieve a continuous cease-fire on the way to having a Palestinian state with Jerusalem as its capital."

Mr. Haniya said: "Egypt cannot accept the aggression as before. I welcome Egypt for this historical visit that comes in harmony with the will of the free Egypt."

Isabel Kershner reported from Jerusalem, Jodi Rudoren from Gaza City and Alan Cowell from Paris. Reporting was contributed by Fares Akram from Gaza, Rick Gladstone from New York, Rina Castelnuovo from the Gaza-Israel border, Mayy El Sheikh and David D. Kirkpatrick from Cairo, and Gabby Sobelman from Jerusalem.

Rep. King: CIA story on Benghazi changed - CBS News

Posted: 16 Nov 2012 08:29 AM PST

Former CIA Director David Petraeus told the House Intelligence Committee today that it's unclear why the Obama administration's original talking points on the Sept. 11 attack on the U.S. consulate in Benghazi, Libya, don't match the CIA's original talking points.

House Intelligence Committee member Rep. Peter King, R-N.Y., told reporters that Petraeus insisted today that he was clear with Congress from the start that the event was a terrorist attack. However, King added, Petraeus said that after the CIA prepared its talking points, they were vetted by agencies including the Justice Department and the State Department, but "no one knows yet exactly who came up with the final talking points."

"The original talking points prepared by the CIA were different than the final ones put out," King said. Originally, he said, they were "much more specific on al Qaeda involvement."

The talking points are a source of controversy because U.N. Ambassador Susan Rice used them to describe the nature of the attack on CBS' "Face the Nation" and other shows on Sept. 16. Republicans have attacked Rice, who is considered a possible nominee to replace Hillary Clinton as secretary of state, for suggesting the attack was the result of spontaneous protests.

CBS News obtained the vetted CIA talking points given both to Rice and members of the House intelligence committee on Sept. 15, and they make no reference to terrorism being a likely factor in the assault.

Petraeus briefed lawmakers on Sept. 14 about the Benghazi attack, and at that time, King said, Petraeus attributed the Sept. 11 attack to a spontaneous uprising spurred by backlash against an anti-Muslim video.

King said that Petraeus and the intelligence community gave that explanation "based on reports they were getting at the time."

However, King added, "They also at the time -- prior to Sept. 14 -- also had information there was involvement of al Qaeda affiliates, and that was not made clear in their presentation."

Rep. Dutch Ruppersberger, D-Md., didn't agree with King's take on Petraeus' Sept. 14 testimony.

Ruppersberger told reporters after the hearing, "My recollection was ... [Petraeus said] it was the result of the protest... but he also said in the group there were some extremists and some were al Qaeda affiliates."

King said the hearing was "cordial" and that Petraeus' recent resignation, prompted by his extramarital affair with his biographer Paula Broadwell, was only briefly addressed at the beginning of the hearing.

It was "made clear at the start that would not be the focus of the questioning," King said.

"The only thing he did in the beginning of his testimony is he did express deep regret to the committee for the circumstances for his depature" and reassure the committee that the Libya attacks had nothing to do with his resignation, said Rep. Jim Langevin, D-R.I.

The original version of this article identified Rep. King as the chairman of the House Intelligence Committee. He's the chairman of the House Homeland Security Committee.

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