Obama’s Other ‘Cliff’ Is in Foreign Policy





For all the talk of a “fiscal cliff” threatening the nation’s finances, President Obama also faces a foreign policy cliff of sorts, with a welter of national security issues that he put on the back burner during the campaign now clamoring for his attention.




Atop that list, administration officials and foreign policy experts say, is the bloody civil war in Syria and the standoff with Iran over its nuclear program. The United States is likely to engage the Iranian government in direct negotiations over the next few months, in perhaps a last-ditch diplomatic effort to head off a military strike on its nuclear facilities.


Administration officials said that they had not set a date for talks and that they did not know if Iran’s supreme leader, Ayatollah Ali Khamenei, would give his blessing. But with Iran’s uranium centrifuges spinning and Israel threatening its own military action, the need to avoid a war may make this high-risk diplomatic effort Mr. Obama’s No. 1 priority.


Syria, too, will demand a pressing response, given the high human toll of the violence and the danger of a spreading regional conflict. Mr. Obama, however, remains leery of being dragged into the conflict, rejecting calls to supply weapons to rebel groups. His reluctance has been partly political, experts say, but he also has strategic qualms.


“At a time when he was running on a platform of ending wars in the Middle East, he did not want to be seen as starting one,” said Martin S. Indyk, a former American ambassador to Israel.


“But if he doesn’t try to intervene in a way that gives him a way to shape a post-Assad regime on the ground,” Mr. Indyk continued, referring to the Syrian president, Bashar al-Assad, “there’s a high risk of descent into chaos in Syria, and a sectarian war that spreads to Lebanon, Bahrain and eventually Saudi Arabia.”


Beyond those flash points, the president will have to grapple with Pakistan, an unstable nuclear state whose relationship with Washington has eroded during his presidency. And he will have to oversee an orderly exit from Afghanistan, where the waning American role threatens to throw the country back into chaos and Islamic militancy.


As he does so, some question whether he will rethink his administration’s heavy reliance on drone strikes to kill people suspected of being extremists, a policy that has proved lethally efficient but has sown deep resentment in Pakistan and Afghanistan.


More broadly, Mr. Obama will face Russia under the aggressive leadership of President Vladimir V. Putin and China with the opposite problem — negotiating a tumultuous change in power after a scandal that tainted the top ranks of its Communist leadership.


None of these problems are new, but many were effectively shelved over the past year as the president waged a bitter re-election battle dominated by his stewardship of the economy. Foreign policy played such a bit part in the election that even in the debate ostensibly devoted to it, Mr. Obama and Mitt Romney detoured into a discussion of high school test scores in Massachusetts.


For reasons of history and political reality, a re-elected Mr. Obama is likely to devote more time to foreign affairs. From Richard M. Nixon to Bill Clinton, presidents have tended to make their bid for statesman status in their second terms. The prospect of continuing gridlock — with the Republicans still controlling the House — gives Mr. Obama all the more reason to favor diplomacy over domestic legislation.


There is also some unfinished business from the past four years, not least Mr. Obama’s frustrated efforts to broker a peace agreement between Israel and the Palestinians. But several experts cast doubt on whether the president would throw himself into the role of Middle East peacemaker, as Mr. Clinton did in his second term.


The Israeli prime minister, Benjamin Netanyahu, who has had a fraught relationship with Mr. Obama, faces his own voters early next year, but he seems likely to stay in power with a right-wing government. Such an arrangement could make peacemaking difficult.


“Because he got his fingers burned and was outmaneuvered by Netanyahu, he will wait to see the outcome in the Israeli election,” said Mr. Indyk, who wrote a book about Mr. Obama’s foreign policy, “Bending History.” He added that the president is “going to think long and hard about trying again.”


The added wrinkle for the United States: the Palestinian Authority is likely to petition for nonstate membership in the United Nations next month, a step it had put off until after the election. If the United Nations were to grant it, that would trigger Congress to cut off aid not only to the Palestinian Authority but also to the United Nations itself.


The mere fact of Mr. Obama’s victory does not ease these problems. But as the president himself famously said to Russia’s former president, Dmitri A. Medvedev, at a nuclear conference in South Korea, he may have more room to maneuver in dealing with them.


Ask foreign policy experts for wild cards in a second Obama term and two countries come up: India and Cuba. Little progress was made in opening the door to Havana during the past four years, but hope springs eternal for those who advocate an end to the half-century-old trade embargo. Mr. Obama also is likely to build on his ties to India.


India figures into the biggest geopolitical bet of Mr. Obama’s presidency: the American pivot from the Middle East to China and Asia. With four more years, experts said, Mr. Obama can put meat on the bones of an ambitious, but incomplete, policy.


Here, however, is where the fiscal cliff meets foreign policy. To be credible in reasserting an American presence in Asia, experts said, will require a robust military presence from the Yellow Sea to the South China Sea. But unless the White House and Congress can strike some kind of fiscal deal, the Pentagon will face deep automatic cuts in its budget, depriving it of the ability to project power as it once did.


For Mr. Obama to realize his grandest visions abroad, then, he will still have to work with the same House Republicans who thwarted him on the home front in his first term.


Read More..

Apple's shares slide 4 percent to five-month low

'},"otherParams":{"t_e":1,".intl":"US"},"events":{"fetch":{lv:2,"sp":"97570179","ps":"LREC,MON","npv":true,"bg":"#FFFFFF","em":escape('{"site-attribute":"_id=\'6fc6e2e9-b163-3060-b8dd-69df1e64d440\' rs=\'lmsid:a0770000002GZ5iAAG\' ctype=\'News\' ctopid=\'1499989;1550500;2299500;1507989;1506989;1542500;1550000;1507489\' can_suppress_ugc=\'1\' content=\'no_expandable;ajax_cert_expandable;\' ADSSA"}'),"em_orig":escape('{"site-attribute":"_id=\'6fc6e2e9-b163-3060-b8dd-69df1e64d440\' rs=\'lmsid:a0770000002GZ5iAAG\' ctype=\'News\' ctopid=\'1499989;1550500;2299500;1507989;1506989;1542500;1550000;1507489\' can_suppress_ugc=\'1\' content=\'no_expandable;ajax_cert_expandable;\' ADSSA"}')}}};var _createNodes=function(){var nIds=_conf.nodeIds;for(var i in nIds){var nId=nIds[i];var dId=_conf.destinationMap[nIds[i].replace("yom-","")];n=Y.one("#"+nId);if(n)var center=n.one("center");var node=Y.one("#"+dId);var nodeHTML;if(center && !node){nodeHTML=_conf.nodes[nId];center.insert(nodeHTML);};};};var _prepareNodes=function(){var nIds=_conf.nodeIds;for(var i in nIds){var nId=nIds[i];var dId=_conf.destinationMap[nIds[i].replace("yom-ad-","")];n=Y.one("#"+nId);if(n)var center=n.one("center");var node=Y.one("#"+dId);if(center && node){center.set("innerHTML","");center.insert(node);node.setStyle("display","block");};};};var _darla;var _config=function(){if(YAHOO.ads.darla){_darla = YAHOO.ads.darla;_createNodes();};};var _fetch=function(spaceid,adssa,ps){
if (typeof(ps)!='undefined')
_conf.events.fetch.ps = ps;if(typeof spaceid != "undefined") _conf.events.fetch.sp=spaceid;adssa = (typeof adssa != "undefined" && adssa != null) ? escape(adssa.replace(/\"/g, "'")) : "";_conf.events.fetch.em=_conf.events.fetch.em_orig.replace("ADSSA", adssa);if(_darla){_prepareNodes();_darla.setConfig(_conf);_darla.event("fetch");};};Y.on("domready", function(){_config();});;var that={"fetch":_fetch,"getNodes":_conf.nodes,"getConf":_conf};return that;}();/* Backwards compatibility - Assigning the latest instance to the main fetch function */YUI.PhotoAdsDarla.fetch=YUI.PhotoAdsDarla.photoslightboxdarla.fetch;
});
Y.later(10, this, function() {YAHOO.namespace('Media.Social').Lightbox = {};
});
Y.later(10, this, function() {Y.Media.Article.init();
});
Y.later(10, this, function() {new Y.Media.AuthorBadge();
});
Y.later(10, this, function() {new Y.Media.Branding();
});
Y.later(10, this, function() {Y.on("load", function () {
YUI.namespace("Media.SocialButtons");

var instances = YUI.Media.SocialButtons.instances || [],
globalConf = YAHOO.Media.SocialButtons.conf || {},
vplContainers = [];

Y.all(".ymsb").each(function (node) {
var id = node.get("id"),
conf = YAHOO.Media.SocialButtons.configs[id],
instance;

if (conf) {
instance = new Y.SocialButtons({
srcNode: node,
config: Y.merge(globalConf, conf.config || {}),
contentMetadata: conf.content || {},
tracking: conf.tracking || {}
});
vplContainers.push(
{
selector: "#" + id,
callback: function(node) { instance.render(); instance = conf = id = null; }
});

if (conf.config && conf.config.dynamic) {
instances.push(instance);
}
}
});

Y.Global.Media.ViewportLoader.addContainers(vplContainers);
YUI.Media.SocialButtons.instances = instances;
});
});
Y.later(10, this, function() {if (!Y.Media) {

return;

}

Y.Media.boba_lightbox_module_targets = Y.Media.boba_lightbox_module_targets || {};

Y.Media.boba_lightbox_module_configs = Y.Media.boba_lightbox_module_configs || {};

Y.Media.boba_lightbox_module_dataset = Y.Media.boba_lightbox_module_dataset || {};

Y.Media.boba_lightbox_module_whitelist = Y.Media.boba_lightbox_module_whitelist || {};


Y.Media.boba_lightbox_module_targets['lightboxfb11463e5e719400ca18bc98b9778ce3'] = {"lightboxId":"cdb195a8f28db8cb968141f778323a6b","pivotId":"94bf589f-afdb-3d01-8984-fc68fffb427d"};


Y.Media.boba_lightbox_module_dataset['cdb195a8f28db8cb968141f778323a6b'] = {"spaceid":"97570179","total":1,"photoby":"Photo By","xhrtype":"slideshow","videoconf":{"autoplay":true,"continuousPlay":true,"mute":false,"volume":"1.00","lang":"en-US","site":"news","region":"US","jurisdiction":"US","YVAP":{"accountId":"145","playContext":"default"},"pageSpaceId":"97570179","comscoreC4":"US News","comscoreC6":"","showEmbedCode":true,"showShareUrl":true,"expName":"MediaArticleRelatedLightbox","expType":"inline","apiEnv":"prod"},"slideshow_id":null,"slideshow_title":null,"slideshow_title_baked_html":null,"slideshow_desc":null,"slideshow_rev":null,"slideshow_plink_vita":null,"photos":[{"type":"image","url":"http:\/\/l.yimg.com\/bt\/api\/res\/1.2\/0Uxj2joL6qp6q19d5DnzIA--\/YXBwaWQ9eW5ld3M7Zmk9aW5zZXQ7aD0zMTI7cT03OTt3PTQ1MA--\/http:\/\/media.zenfs.com\/en_us\/News\/Reuters\/2012-11-07T195512Z_3_CBRE8A61BIA00_RTROPTP_2_CTECH-US-APPLE-SHARES.JPG","width":450,"height":312,"uuid":"94bf589f-afdb-3d01-8984-fc68fffb427d","caption":"The Apple logo hangs in a glass enclosure above the 5th Ave Apple Store in New York, September 20, 2012. Apple's iPhone 5 goes on sale tomorrow. REUTERS\/Lucas Jackson","captionBakedHtml":"

The Apple logo hangs in a glass enclosure above the 5th Ave Apple Store in New York, September 20, 2012. Apple's iPhone 5 goes on sale tomorrow. REUTERS\/Lucas Jackson","date":"Wed, Nov 7, 2012 3:02 PM EST","credit":"Reuters","byline":"LUCAS JACKSON","provider":"Reuters","photo_title":"The Apple logo hangs in a glass enclosure above the 5th Ave Apple Store in New York","pivot_alias_id":"apple-logo-hangs-glass-enclosure-above-5th-ave-photo-170604491","plink":"\/photos\/apple-logo-hangs-glass-enclosure-above-5th-ave-photo-170604491.html","plink_vita":"http:\/\/news.yahoo.com\/photos\/apple-logo-hangs-glass-enclosure-above-5th-ave-photo-170604491.html","srchtrm":"The Apple logo hangs in a glass enclosure above the 5th Ave Apple Store in New York","revsp":"","rev":"06bb1740-2916-11e2-a538-fdd62cfec5ba","surl":"http:\/\/l1.yimg.com\/bt\/api\/res\/1.2\/Z1ovHbTcLAxGeKKTypXUdw--\/YXBwaWQ9eW5ld3M7Zmk9aW5zZXQ7aD01NjtxPTc5O3c9ODE-\/http:\/\/media.zenfs.com\/en_us\/News\/Reuters\/2012-11-07T195512Z_3_CBRE8A61BIA00_RTROPTP_2_CTECH-US-APPLE-SHARES.JPG","swidth":81,"sheight":56}]};

Y.Media.boba_lightbox_module_configs['cdb195a8f28db8cb968141f778323a6b'] = {"spaceid":"97570179","ult_pt":"story-lightbox","darla_id":"","images_total":0,"xhr_url":"\/_xhr\/related-article\/lightbox\/?id=6fc6e2e9-b163-3060-b8dd-69df1e64d440","xhr_count":20,"autoplay_if_first_item_is_video":true};
});
Y.later(10, this, function() {new Y.Media.RelatedArticle({count:"2",start:"1",
mod_total:"10", total:"0",
content_id:"6fc6e2e9-b163-3060-b8dd-69df1e64d440",
spaceid:"97570179",
related_count:"-1"
});
});
Y.later(10, this, function() {(function(d){
d.getElementsByTagName('head')[0].appendChild(d.createElement('script')).src='http://d.yimg.com/oq/js/csc_news-en-US-core.js';
})(document);
});
Y.later(10, this, function() {
if(!("Media" in YAHOO)){YAHOO.Media = {};}
if(!("ugcrate" in YAHOO.Media)){YAHOO.Media.ugcrate = {};}
if(!("Media" in Y)){Y.namespace("Media");}
YAHOO.Media.ugcrate.ratings_5edd788e9527897897ec94abed6516ae = new Y.Media.UgcRate({"context_id":"09a9faf4-1bcc-43ad-ac6a-bd9f23f9f173","sCrumb":"","containerId":"yom-sentimentrate-5edd788e9527897897ec94abed6516ae","rateDimensions":"d1","appLang":"en-US","sUltSId":"97570179","sUltProperty":"news-en-US","sUltCampaign":"","sUltPlatform":"ugcwidgets","sUltIntl":"US","sUltLang":"en-US","selfPageUrl":"http:\/\/news.yahoo.com\/apples-shares-slide-4-percent-five-month-low-170604771--sector.html?_esi=0","artContentId":"6fc6e2e9-b163-3060-b8dd-69df1e64d440","sUltQstnTxt":"How confident are you that your privacy is being protected when you browse the internet?","artContentTitle":"Apple shares slide to five-month low, competition grows","artContentDesc":"SAN FRANCISCO (Reuters) - Shares of Apple Inc slid more than 4 percent on Wednesday to a five-month low as investors grew more uncertain about its ability to fend off unprecedented competition and untangle a snarled iPhone 5 supply chain. Apple\\'s slide was steeper than the S&P 500\\'s drop of about 2 percent the day after the U.S. election, putting the world\\'s most valuable technology company into bearish territory. Apple, long a mainstay of many fund portfolios, has lost 20 percent -- $130 billion of its market value -- since hitting a record high in September. ...","sUltBucketId":"test1","sUltSection":"sentirating","sUltBeaconUrl":"","sUltRecordPageviews":"1","sUltBeaconEnable":"1","serviceUrl":"\/_xhr","publisherContextId":"","propertyId":"2fcd79b5-b3a3-333e-b98e-722536a6698f","configurationId":"435db9ee-c55e-3766-b20d-c8ad3ff889d1","graphId":"","labelLeft":"Not at all confident","labelRight":"Completely confident","labelMiddle":"","itemimg":"http:\/\/l.yimg.com\/a\/i\/ww\/met\/yahoo_logo_us_061509.png","selfURI":"","aggregateRatingCount":"44588","aggregateReviewCount":"0","leftBlocksNum":"42251","rightBlocksNum":"2337","leftBlocksPerCent":"95","rightBlocksPerCent":"5","ugcrate_apihost":"api01-us.ugcl.yahoo.com:4080","publisher_id":"news-en-US","yca_cert":"yahoo.ugccloud.app.trusted_proxies","timeout_write":"5000","through_proxy":"false","optionStats":"{\"s1\":33719,\"s2\":3624,\"s3\":1658,\"s4\":1655,\"s5\":1595,\"s6\":2337,\"s7\":0,\"s8\":0,\"s9\":0,\"s10\":0}","l10N":"{\"FIRST_TO_READ\":\"You are first to read this. Share your feelings and start a conversation.\",\"SHARE_YOUR_FEELINGS\":\"You too can share your feelings and start a conversation!\",\"HOW_YOUR_FRIENDS_THINK\":\"Thank you for sharing your feeling on this article!\",\"PRE_SHARE_MSG\":\"Your Facebook friends on Yahoo! can see how you responded. To share your response on Facebook, click on the Facebook share option.\",\"START_THE_CONVERSATION\":\"Start the Conversation\",\"THANKS_FOR_SHARING\":\"Sure, that's how you feel... But what do your friends think?\",\"POLL_HEADER\":\"SOCIAL SENTIMENT\",\"SERVER_ERROR\":\"Oops there seems to be some error, please try again later\",\"LOADING\":\"Loading...\",\"SHARE_AFTER_COMMENT\":\"Your response has been shared on Facebook.\",\"UNDO\":\"Undo\",\"UNIT_PEOPLE\":\"People\",\"NUM_PEOPLE_DISAGREE\":\"disagree with your opinion.\",\"READ_MORE_TEXT\":\"Read what they have to say.\",\"SLIDER_THUMB_WORDING_BEFORE_VOTING\":\"WHAT DO YOU THINK?\",\"SLIDER_THUMB_WORDING_VERB_BEFORE_VOTING\":\"DRAG\",\"SLIDER_THUMB_WORDING_THANKS_VOTING\":\"Thanks for voting\",\"NUM_PEOPLE_ANSWERED\":\" 44,588 people have responded\",\"ONE_PERSON_ANSWERED\":\" 1 person has responded. Your response will be seen by your Facebook friends on Yahoo!\",\"TWO_PEOPLE_ANSWERED\":\" 2 people have responded. Your response will be seen by your Facebook friends on Yahoo!\",\"NUM_PEOPLE_ANSWERED_AND_SHARED\":\" 44,588 people have responded. Your response will be seen by your Facebook friends on Yahoo!\",\"NUM_PEOPLE_RATED__s1\":33719,\"NUM_PEOPLE_RATED__s2\":3624,\"NUM_PEOPLE_RATED__s3\":1658,\"NUM_PEOPLE_RATED__s4\":1655,\"NUM_PEOPLE_RATED__s5\":1595,\"NUM_PEOPLE_RATED__s6\":2337,\"NUM_PEOPLE_RATED__s7\":0,\"NUM_PEOPLE_RATED__s8\":0,\"NUM_PEOPLE_RATED__s9\":0,\"NUM_PEOPLE_RATED__s10\":0}","fbconfig":"{\"message\":\"undefined\",\"name\":\"undefined\",\"link\":\"\",\"source\":\"\",\"picture\":\"http:\\\/\\\/l.yimg.com\\\/a\\\/i\\\/ww\\\/news\\\/2011\\\/09\\\/27\\\/yahoo-tc.jpg\",\"description\":\"\",\"captionLeft\":\"undefined\",\"captionRight\":\"undefined\",\"app_id\":\"196660913708276\",\"redirect_uri\":\"\\\/_xhr\\\/ugcratefbredirect\\\/\"}","template_id":"LONG_SLIDER_SOUTH","obj_id":"ratings_5edd788e9527897897ec94abed6516ae","opt_count":"6","opt_color1":"","opt_color2":"","template_html":"
Read More..

Luck among players shaving head to support Pagano

INDIANAPOLIS (AP) — Andrew Luck has joined the shaved squad, too.

Nearly three dozen players on the Indianapolis Colts have shaved their heads in a show of support for head coach Chuck Pagano, who is undergoing treatment for a form of leukemia.

Luck became a new member of the no-hair club Wednesday morning. Players and coaches were not available for comment because they were headed to Jacksonville, but a team spokesman confirmed that Luck will indeed look quite different when he takes off his helmet Thursday night.

"Buzzed heads and orange locks in honor of Chuck," team owner Jim Irsay tweeted. He also included a link to a photo showing many of the players who had gotten buzzed.

Indianapolis (5-3) has gone to great lengths to give their ailing coach encouragement.

Reggie Wayne wore orange gloves against Green Bay, the ribbon color used to raise awareness for leukemia. Nameplates above player's lockers at the team complex now include orange stickers with Pagano's initials in the middle of Indy's trademark horseshoe. They sent Pagano a game ball after their surprising win over the Packers on Oct. 4. Irsay has placed signs reading (hash)Chuckstrong in each end zone of Lucas Oil Stadium, and the team has been trying to raise money to support leukemia research.

The newest addition to the agenda came late Tuesday when the team said Wayne, Luck and interim coach Bruce Arians would participate in a fundraiser at Dunaway's, a local restaurant, on Nov. 16. They will sign autographs and take photos with fans to help benefit The Leukemia & Lymphoma Society.

So when Pagano showed up in the Colts' locker room Sunday without his grayish hair or trademark goatee, player director of engagement David Thornton decided to bring in a barber following Tuesday's practice.

The idea was an immediate hit — and seems to be growing larger by the day.

About two dozen players, including kicker Adam Vinatieri, defensive end Cory Redding, Pro Bowl safety Antoine Bethea and punter Pat McAfee, left the team headquarters Tuesday night with no hair. It's a new look for McAfee, who had a ponytail until last fall when he cut it off and donated the hair to Locks of Love, a cancer charity.

"We haven't been together long... But we're in this together," McAfee wrote in a Twitter message.

On Wednesday morning, more players joined the contingent, including Luck, the No. 1 overall draft pick and this week's AFC offensive player of the week.

At this rate, all of the Colts could have a whole team without hair playing Thursday night at the Jaguars. Arians, one of Pagano's close friends and a prostate cancer survivor, doesn't have any hair, either, though he's donned that look all season.

Pagano was diagnosed with leukemia on Sept. 26 and remained hospitalized for treatment until Oct. 21. He watched the next two Colts games from his home before doctors allowed him to attend Sunday's victory over Miami. Pagano watched the 23-20 victory from the coaches' box and spoke with his team before and after the game.

"I've got circumstances. You guys understand it, I understand it," Pagano said in an emotional postgame speech. "It's already beat. It's already beat. My vision that I'm living is to see two more daughters get married, dance at their weddings and then lift the Lombardi Trophy several times. I'm dancing at two more weddings and we're hoisting that trophy together, men. Congratulations, I love all of you."

On Monday, Pagano's physician, Dr. Larry Cripe of the Indiana University Simon Cancer Center, said Pagano was in "complete remission." Cripe said Pagano is still scheduled to have two more rounds of chemotherapy. The second round starts this week and will last four to six weeks, Cripe said.

Arians has said the Colts hope to have Pagano back on the sideline Dec. 30, Indy's regular season finale against Houston.

___

Online: http://pro32.ap.org/poll and http://twitter.com/AP_NFL

Read More..

Global Update: Polio Eradication Efforts in Pakistan Focus on Pashtuns


Michael Kamber for The New York Times







Polio will never be eradicated in Pakistan until a way is found to persuade poor Pashtuns to embrace the vaccine, according to a study released by the World Health Organization.




A survey of 1,017 parents of young children found that 41 percent had never heard of polio and 11 percent refused to vaccinate their children against it. The survey was done in Karachi, Pakistan’s largest city and the only big city in the world where polio persists; it was published in the agency’s November bulletin.


Parents from poor families “cited lack of permission from family elders,” said Dr. Anita Zaidi, who teaches pediatrics at the Aga Khan University in Karachi. Some rich parents also disdained the vaccine, saying it was “harmful or unnecessary,” she added.


Pashtuns account for 75 percent of Pakistan’s polio cases even though they are only 15 percent of the population. Wealthy children are safer because the virus travels in sewage, and their neighborhoods may have covered sewers and be less flood-prone.


Pashtuns are the largest ethnic group in next-door Afghanistan, where polio has also never been wiped out. Most Taliban fighters are Pashtun, and some Taliban threatened to kill vaccinators earlier this year. Two W.H.O. vaccinators were shot in Karachi in July.


Rumors persist that the vaccine is a plot to sterilize Muslims. But the eradication drive is recruiting Pashtuns as vaccinators and asking prominent religious leaders from various sects to make videos endorsing the vaccine.


Read More..

Investors on Wall St. React Nervously


Henny Ray Abrams/Associated Press


A trader on the floor of the New York Stock Exchange on Wednesday. A day after the election, the outlook of continued divided government in Washington and little prospect for compromise unnerved traders.







Business leaders and investors on Wall Street reacted nervously to President Obama’s re-election Wednesday, as the focus shifted quickly from electoral politics to the looming fiscal uncertainty in Washington. A gloomy economic outlook in Europe also prompted selling in markets worldwide.




Stocks were sharply lower in afternoon trading in New York, with both the Standard & Poor’s 500-stock index and the Dow Jones industrial average down 2.2 percent, as European shares sank and Asian stocks were mixed. While many executives on Wall Street and in other industries favored Mitt Romney, many had already factored in the likelihood of Mr. Obama winning a second term.


Still, continued divided government in Washington and little prospect for compromise unnerved traders.


“The bottom line is that this looks like a status quo election,” said Dean Maki, chief United States economist at Barclays. “The problem with that is that it doesn’t resolve some of the main sources of uncertainty that are hanging over the economy.”


Companies in some sectors, like hospitals and technology, could see a short-term pop, said Tobias Levkovich, chief United States equity strategist with Citi. Other areas, like financial services as well as coal and mining, could be hurt as investors contemplate a tougher regulatory environment.


Shares of Alpha Natural Resources, a coal giant, were down 11.8 percent, while Arch Coal was off 11 percent. But HCA Holdings, a hospital operator, was up 8 percent, to $33.39 a share. As a result of Mr. Obama’s victory, Goldman Sachs said it upgraded its rating on HCA to buy from neutral, and raised its price target to $39 from $31. It also raised price targets for Tenet Healthcare and Community Health Systems, although both are still rated neutral.


Goldman downgraded shares of Humana, a leading managed care company, to sell, and its shares fell 9.9 percent. Goldman warned that Humana and other managed care providers could be hurt as health care reform moves forward, especially new rules for health insurers that become effective in 2014.


Mr. Levkovich predicted that the market would remain volatile between now and mid-January. If Congress and the president cannot come up with a plan to cut the deficit, hundreds of billions in Bush-era tax cuts are set to expire at the beginning of 2013 while automatic spending cuts will sharply cut the defense budget and other programs.


Known as the fiscal cliff, this simultaneous combination of dramatic reductions in government spending and tax increases could push the economy into recession in 2013, economists fear.


But it was not just the election results driving shares lower — there was more gloomy economic news out of Europe.


The European Union will experience only a very weak economic recovery during 2013 while unemployment will remain at “very high” levels, according to a set of forecasts issued Wednesday by the European Commission.


This year, gross domestic product will shrink by 0.3 percent for the 27 members of the union as a whole and by 0.4 percent for the 17 European Union countries that use the euro, the commission predicted. Growth in 2013 will be a meager 0.4 percent across the union and only 0.1 percent in the euro area, it said.


Not only is that level of growth far slower than even the tepid pace of the recovery in the United States, it also makes it more difficult for debt-burdened European economies to get their financial house in order. As markets neared the close in Europe, the Euro Stoxx 50 index, a barometer of euro zone blue chips, fell 2.2 percent, while the FTSE 100 index in London was 1.5 percent lower.


The S.&P./ASX 200 in Australia closed up 0.7 percent, as did the Hang Seng Index in Hong Kong. The Nikkei 225 stock average in Japan ended trading little changed.


“There’s a huge question mark hanging over what happens in the next few weeks,” said Aric Newhouse, senior vice-president of policy and government relations at the National Association of Manufacturers. “The fiscal cliff is the 800-pound gorilla out there.”


“We can’t wait,” he said. “We think the idea of going over the cliff has to be taken off the table. We’ve got to get to the middle ground.”


For all the anticipation, some observers said the election still left plenty of unanswered questions.


“While we have clarity on the players now, we don’t have any more clarity on what will happen in terms of the fiscal cliff,” Mr. Maki said. “We still have a divided government and they haven’t been able to agree on what to do.”


If the full package of tax increases and spending cuts go into effect, that would equal a $650 billion blow to the economy, Mr. Maki said, equivalent to 4 percent of the gross domestic product.


Mr. Maki envisions a partial compromise, with $200 billion in tax increases and spending cuts. Partly because of that, he estimates, the annual rate of economic growth will dip to 1.5 percent in the first quarter of 2013 from 2.5 percent in the fourth quarter. He predicted that if the full fiscal cliff were to hit, the economy would contract in the first half of 2013.


James Kanter contributed reporting.



Read More..

Egyptian Vigilantes Crack Down on Abuse of Women


Tara Todras-Whitehill for The New York Times


A self-appointed citizens patrol that tries to protect women on Cairo’s streets spray-painted a youth for identification last month.







CAIRO — The young activists lingered on the streets around Tahrir Square, scrutinizing the crowds of holiday revelers. Suddenly, they charged, pushing people aside and chasing down a young man. As the captive thrashed to get away, the activists pounded his shoulders, flipped him around and spray-painted a message on his back: “I’m a harasser.”




Egypt’s streets have long been a perilous place for women, who are frequently heckled, grabbed, threatened and violated while the police look the other way. Now, during the country’s tumultuous transition from authoritarian rule, more and more groups are emerging to make protecting women — and shaming the do-nothing police — a cause.


“They’re now doing the undoable?” a police officer joked as he watched the vigilantes chase down the young man. The officer quickly went back to sipping his tea.


The attacks on women did not subside after the uprising. If anything, they became more visible as even the military was implicated in the assaults, stripping female protesters, threatening others with violence and subjecting activists to so-called virginity tests. During holidays, when Cairenes take to the streets to stroll and socialize, the attacks multiply.


But during the recent Id al-Adha holiday, some of the men were surprised to find they could no longer harass with impunity, a change brought about not just out of concern for women’s rights, but out of a frustration that the post-revolutionary government still, like the one before, was doing too little to protect its citizens.


At least three citizens groups patrolled busy sections of central Cairo during the holiday. The groups’ members, both men and women, shared the conviction that the authorities would not act against harassment unless the problem was forced into the public debate. They differed in their tactics: some activists criticized others for being too quick to resort to violence against suspects and encouraging vigilantism.  One group leader compared the activists to the Guardian Angels in the United States.


“The harasser doesn’t see anyone who will hold him accountable,” said Omar Talaat, 16, who joined one of the patrols.


The years of President Hosni Mubarak’s rule were marked by official apathy, collusion in the assaults on women, or empty responses to the attacks, including police roundups of teenagers at Internet cafes for looking at pornography.


“The police did not take harassment seriously,” said Madiha el-Safty, a sociology professor at the American University in Cairo. “People didn’t file complaints. It was always underreported.”


Mr. Mubarak’s wife, Suzanne, who portrayed herself as a champion of women’s rights, pretended the problem hardly existed. As reports of harassment grew in 2008, she said, “Egyptian men always respect Egyptian women.”


Egypt’s new president, Mohamed Morsi, has presided over two holidays, and many activists say there is no sign that the government is paying closer attention to the problem. But the work by the citizens groups may be having an effect: Last week, after the Id al-Adha holiday, Mr. Morsi’s spokesman announced that the government had received more than 1,000 reports of harassment, and said that the president had directed the Interior Ministry to investigate them.


“Egypt’s revolution cannot tolerate these abuses,” the spokesman quoted Mr. Morsi as saying.


Azza Soliman, the director of the Center for Egyptian Women’s Legal Assistance, dismissed the president’s words as “weak.” During the holiday, she said, one of her sons was beaten on the subway after he tried to stop a man who was groping two foreign women. The police tried to stop him from filing a complaint. “The whole world is talking about harassment in our country,” Ms. Soliman said. “The Interior Ministry takes no action.”


For years, anti-harassment activists have worked to highlight the problems in Egypt, but the uprising seemed to give the effort more energy and urgency.


Asmaa Al Zohairy contributed reporting.



Read More..

Exclusive - Amazon to win e-book tussle with Apple

BRUSSELS (Reuters) - European Union regulators are to end an antitrust probe into e-book prices by accepting an offer by Apple and four publishers to ease price restrictions on Amazon, two sources said on Tuesday.


The decision hands online retailer Amazon victory in its attempt to sell e-books cheaper than its rivals in the fast-growing market that publishers hope will boost revenue and increase customer numbers.


Apple and the publishers offered in September to let retailers set their own prices or discounts for a period of two years, and also to suspend "most-favored nation" contracts for five years.


Such clauses bar Simon & Schuster, News Corp. unit HarperCollins, Lagardere SCA's Hachette Livre and Verlagsgruppe Georg von Holtzbrinck, the owner of German company Macmillan, from making deals with rival retailers to sell e-books more cheaply than Apple.


The agreements, which critics say prevent Amazon and other retailers from undercutting Apple's charges, sparked an investigation by the European Commission in December last year.


Pearson Plc's Penguin group, which is also under investigation, did not take part in the offer.


The EU antitrust authority, which in September asked for feedback from rivals and consumers about the proposal, has not asked for more concessions, said one of sources.


"The Commission is likely to accept the offer and announce its decision next month," the source said on Tuesday.


Antoine Colombani, spokesman for competition policy at the European Commission, said: "We have launched a market test in September and our investigation is still ongoing."


Amazon declined to comment, while Apple did not respond to an email for comments.


Companies found guilty of breaching EU rules could be fined up to 10 percent of their global sales, which in Apple's case could reach $15.6 billion, based on its 2012 fiscal year.


FROWNING ON ONLINE TRADE CURBS


Antitrust regulators tend to frown on restrictions on online trade and the case is a good example of this policy, said Mark Tricker, a partner at Brussels-based law firm Norton Rose.


"This case shows the online world continues to be a major focus for the Commission. They are looking at lots of different aspects of e-commerce, as this can have such a significant impact on consumers, development and innovation," he said.


"These markets change very quickly and if you don't stamp down on potential infringements of competition rules, you can have significant consequences."


UBS analysts estimate that e-books account for about 30 percent of the U.S. book market and 20 percent of sales in Britain but are minuscule elsewhere. Amazon created demand for e-books when it launched its e-Kindle reader, charging $9.99 for each book.


Apple's agency model let publishers set prices in return for a 30 percent cut to the maker of iPhone and iPad.


The U.S. Department of Justice is also investigating e-book prices. HarperCollins, Simon & Schuster and Hachette recently settled, but Apple, Penguin Group and Macmillan continue to fight the allegations.


(Editing by Rex Merrifield and David Goodman)


Read More..

Brees, Robinson lead Saints past Eagles 28-13

NEW ORLEANS (AP) — Two teams with the same record. Two teams heading in strikingly different directions.

Drew Brees and the New Orleans Saints appear to be on the rise again.

Michael Vick and the Philadelphia Eagles are down, and nearly out.

Brees threw two touchdown passes, extending his NFL record streak to 51 games in a row, while Vick was sacked seven times and took an awful beating as the Saints romped to a 28-13 victory over the Eagles on Monday night.

Not that Philadelphia didn't have its chances. But four first-and-goals resulted in two measly field goals, a tipped pass led to Patrick Robinson's 99-yard interception return for a New Orleans touchdown, and the Eagles messed up a trick play when they had the home team totally fooled, costing them a score.

"As coaches and as players, we obviously have to do a better job," embattled coach Andy Reid said of the Eagles (3-5), who are mired in a four-game losing streak. "That starts with me."

The Saints (3-5) revolve around Brees, of course, and he played much better than he did the previous week in a 34-14 loss to Denver. But his performance was more efficient than spectacular, as New Orleans seemed intent on proving it's not just a one-man team.

The NFL's worst-ranked running game relied on a trio of backs — Chris Ivory, Mark Ingram and Pierre Thomas — and finished with 140 yards, nearly double its season average. Ivory had a 22-yard touchdown run.

The defense came up with two huge turnovers near its own end zone. There was Robinson's interception and return, which matched Darren Sharper's franchise record. Then, with just over 3 minutes left and the Eagles down to their last gasp, Brent Celek caught a pass at the New Orleans 8 but fumbled it away.

The Saints recovered, and the Superdome celebration was on.

"There are defining moments throughout a season," Brees said. "Big plays, big wins, that kind of bring you together and let you see a vision of what you can be, what you can accomplish. Here we are the midway point. It's gone by fast.

"This," he added, "is the type of momentum we want going into the second half of the season."

Another dismal performance by the Eagles is sure to keep the heat on Vick and Reid.

Vick threw a 77-yard touchdown pass to DeSean Jackson in the third quarter, but that was about the only highlight for the visiting team. The elusive quarterback matched his career high for sacks; he also went down seven times when playing for the Atlanta Falcons against the New York Giants on Oct. 15, 2006.

"It's very frustrating," Vick said. "These are games that we have the opportunity to win, or get back in the game. At this point, everything has to be dead on. You can't miss, and you almost have to be perfect on every drive."

Philadelphia was far from perfect, but sure had plenty of chances. The Eagles outgained New Orleans and finished with 447 yards — the eighth straight team to put up more than 400 on the Saints.

But the offensive line just couldn't keep Vick upright, a problem that got worse after right tackle Todd Herremans went down in the first half with a strained ankle tendon. He didn't return.

"These are correctable mistakes," Reid said, repeating a familiar theme. "With some of those sacks you can look at coverage, and with some of them you can look at play calling, but we have to do better. The bottom line is we have to block the guys and do a better job."

Rubbing salt in the wound, Philadelphia squandered a chance to get back in the game with a unique trick play on a kickoff return. Riley Cooper laid flat in the end zone, unseen by the Saints, then popped up to take a cross-field lateral from Brandon Boykin.

Cooper streaked down the sideline for an apparent touchdown. Only one problem — Boykin's lateral was actually an illegal forward pass by about a yard, and the officials caught it. Cooper stood with his hands on his hips, in disbelief, when he saw the yellow flag.

Brees kept his record touchdown streak going, hooking up with Marques Colston on a 1-yard scoring pass and Jimmy Graham from 6 yards out.

The Saints quarterback finished 21 of 27 for 239 yards, a big improvement on his 22-of-42 showing against the Broncos.

Meanwhile, a Saints defense that had endured much ridicule kept the heat on Vick, and the brutal pounding made it tough for No. 7 to establish any rhythm. He finished 22 of 41 for 272 yards and really couldn't be blamed for Robinson's interception, which went off the hands of Celek, the first major miscue on a tough night for the tight end.

Cameron Jordan had three sacks, matching his total for the season, while Will Smith took down Vick twice — also matching his sack total through the first seven games.

Reid moved quickly to snuff out any talk about replacing Vick, which has become a weekly ritual.

"Michael Vick will be the quarterback," the Eagles coach said.

The Saints raced to a 21-3 halftime lead, putting the Eagles in a big hole for the second straight game. Over the last two weeks, they have been outscored 45-10 in the first and second quarters.

New Orleans was on the verge of blowing it open when it took the second-half kickoff and drove deep into Philadelphia territory. But the Eagles defense came up with a big turnover, as Brandon Graham stripped the ball from Brees and fell on it at the Eagles 17. Two plays later, Vick found Jackson wide open down the right side on a deep throw, and he took it the rest of the way for a touchdown.

Rookie Travaris Cadet, filling in on returns for the injured Darren Sproles, fumbled the ensuing kickoff and Philadelphia recovered again. Vick broke off a 14-yard run to the 8, but yet another sack stifled the drive.

The Eagles settled for Alex Henery's second field goal from 37 yards.

It was that kind of night for the Eagles.

NOTES: Graham led the Saints with a season-high eight catches for 72 yards. ... Jackson finished with 100 yards receiving on just three catches. ... Philadelphia's LeSean McCoy had 19 carries for 119 yards, but only 18 yards came after halftime. ... New Orleans gave up a season low in points. The previous best was a 31-24 victory over San Diego. ... The Saints lost two players to injuries. OT Zach Strief (groin) went down in the third quarter, and DE Junior Galette (ankle) was hurt in the first. Neither returned.

___

Follow Paul Newberry on Twitter at www.twitter.com/pnewberry1963

___

Online: http://pro32.ap.org/poll and http://twitter.com/AP_NFL

Read More..

Judge Temporarily Blocks Mandate on Birth Control





WASHINGTON — A federal judge has issued an order shielding a Michigan business from a requirement of the new health care law to provide insurance coverage for contraceptives at no charge to female employees.




The judge, Robert H. Cleland of the Federal District Court in Detroit, said last week that the requirement could infringe on “the sincere exercise of religious beliefs” by the owner of the company. He agreed to issue a preliminary injunction to stop the government from enforcing the requirement against two of the plaintiffs, Daniel Weingartz and his family-owned business, Weingartz Supply Co., in Utica, Mich.


Mr. Weingartz, a Roman Catholic, said he had devised a health plan that, in keeping with his religious beliefs, excluded coverage of contraceptives.


His business, a secular for-profit company, sells outdoor power equipment and employs about 170 people.


Judge Cleland is the second judge to issue such an order. In July, a federal district judge in Colorado issued a preliminary injunction blocking enforcement of the contraceptive mandate against Hercules Industries, a maker of heating, ventilation and air-conditioning equipment.


In September, a federal district judge in St. Louis rejected a similar challenge. The judge, Carol E. Jackson, said that the plaintiffs, a Missouri company and its owner, “remain free to exercise their religion, by not using contraceptives and by discouraging employees from using contraceptives.”


Individuals, businesses, hospitals, schools and universities have filed more than three dozen lawsuits challenging the requirement for employers and health plans to cover contraceptives.


Many plaintiffs, like Mr. Weingartz and Hercules, have invoked the First Amendment and the Religious Freedom Restoration Act of 1993. That law provides that officials may not burden a person’s exercise of religion unless they can show “a compelling governmental interest” and use “the least restrictive means” of advancing that interest.


The Obama administration said it had two compelling reasons for the contraceptive mandate: promoting public health and “gender equality.” It quoted Senator Dianne Feinstein, Democrat of California, who said in Senate debate on the legislation: “Women have different health needs than men, and these needs often generate additional costs. Women of childbearing age spend 68 percent more in out-of-pocket health care costs than men.”


Moreover, the Obama administration said, providing a religious exemption to companies like Weingartz Supply and Hercules would allow the owners of secular businesses to impose their religious beliefs on their employees, many of whom may not share the owners’ convictions.


Mr. Weingartz should not be allowed to “impose his religious beliefs on the corporation’s group health plan or its 170 employees,” the Justice Department said in court documents.


Mitt Romney, the Republican presidential nominee, has assailed the contraceptive coverage requirement as a threat to religious liberty. If elected, he has said, he will work to abolish it, along with the rest of President Obama’s health care overhaul.


The new health care law generally requires employers to provide women with coverage at no cost for “preventive care and screenings.”


Under this provision, the administration says, employers must cover sterilization and the full range of contraceptive methods approved by the Food and Drug Administration, including emergency contraceptive pills, like those known as ella and Plan B One-Step. Employers who do not provide such coverage will be subject to financial penalties, starting in 2014.


The administration has agreed to exempt “religious employers” if they meet several criteria: their purpose is to inculcate religious values, they primarily employ and serve people who share their religious tenets and they are recognized as nonprofit organizations under federal tax law.


Judge Cleland decided, in effect, to freeze the current situation while he weighs competing claims by the Obama administration and Weingartz Supply.


“Neither plaintiffs nor the government have shown a strong likelihood of success on the merits,” Judge Cleland wrote.


But in issuing a preliminary injunction, he said he was guided by rulings of the Supreme Court, which has held, “The loss of First Amendment freedoms, for even minimal periods of time, unquestionably constitutes irreparable injury.”


Read More..

Silicon Valley Objects to Online Privacy Rule Proposals for Children





Washington is pushing Silicon Valley on children’s privacy, and Silicon Valley is pushing back.








Daniel Rosenbaum for The New York Times

Phyllis H. Marcus, a lawyer for the F.T.C., is leading a team that is updating a privacy rule to require more parental consent.






Apple, Facebook, Google, Microsoft and Twitter have all objected to portions of a federal effort to strengthen online privacy protections for children. In addition, media giants like Viacom and Disney, cable operators, marketing associations, technology groups and a trade group representing toy makers are arguing that the Federal Trade Commission’s proposed rule changes seem so onerous that, rather than enhance online protections for children, they threaten to deter companies from offering children’s Web sites and services altogether.


“If adopted, the effect of these new rules would be to slow the deployment of applications that provide tremendous benefits to children, and to slow the economic growth and job creation generated by the app economy,” Catherine A. Novelli, vice president of worldwide government affairs at Apple, wrote in comments to the agency.


But the underlying concern, for both the industry and regulators, is not so much about online products for children themselves. It is about the data collection and data mining mechanisms that facilitate digital marketing on apps and Web sites for children — and a debate over whether these practices could put children at greater risk.


In 1998, Congress passed the Children’s Online Privacy Protection Act in an effort to give parents control over the collection and dissemination of private information about their children online. The regulation, known as Coppa, requires Web site operators to obtain a parent’s consent before collecting personal details, like home addresses or e-mail addresses, from children under 13.


Now, federal regulators are preparing to update that rule, arguing that it has not kept pace with advances like online behavioral advertising, a practice that uses data mining to tailor ads to people’s online behavior. The F.T.C. wants to expand the types of data whose collection requires prior parental permission to include persistent ID systems, like unique device codes or customer code numbers stored in cookies, if those codes are used to track children online for advertising purposes.


The idea is to preclude companies from compiling dossiers on the online activities — and by extension the health, socioeconomic status, race or romantic concerns — of individual children across the Web over time.


“What children post online or search as part of their homework should not haunt them as they apply to colleges or for jobs,” Representative Edward J. Markey, Democrat of Massachusetts and co-chairman of the Bipartisan Congressional Privacy Caucus, said in a recent phone interview. “YouTube should not be turned into YouTracked.”


The agency’s proposals have provoked an intense reaction from some major online operators, television networks, social networks, app platforms and advertising trade groups. Some argue that the F.T.C. has overstepped its mandate in proposing to greatly expand the rule’s scope.


Others say that using ID systems like customer code numbers to track children “anonymously” online is benign — and that collecting information about children’s online activities is necessary to deliver the ads that finance free content and services for children.


“What is the harm we are trying to prevent here?” said Alan L. Friel, chairman of the media and technology practice at the law firm Edwards Wildman Palmer. “We risk losing a lot of the really good educational and entertaining content if we make things too difficult for people to operate the sites or generate revenue from the sites.”


The economic issue at stake is much bigger than just the narrow children’s audience. If the F.T.C. were to include customer code numbers among the information that requires a parent’s consent, industry analysts say, it might someday require companies to get similar consent for a practice that represents the backbone of digital marketing and advertising — using such code numbers to track the online activities of adults.


“Once you’ve said it’s personal information for children that requires consent, you’ve set the framework for a requirement of consent to be applied to another population,” Mr. Friel said. “If it is personal information for someone that’s 12, it doesn’t cease being personal information when they are 13.”


Indeed, many of the F.T.C.’s proposed rule revisions have vocal detractors.


Read More..