Hamas Strengthens as Palestinian Authority Weakens





RAMALLAH, West Bank — In the daily demonstrations here of solidarity with Gaza, a mix of sympathy and anguish, there is something else: growing identification with the Islamist fighters of Hamas and derision for the Palestinian Authority, which Washington considers the only viable partner for peace with Israel.




“Strike a blow on Tel Aviv!” proclaimed the lyrics of a new hit song blasting from shops and speakers at Monday’s demonstration, in a reference to Hamas rockets that made it nearly to Israel’s economic and cultural capital. “Don’t let the Zionists sleep! We don’t want a truce or a solution! Oh, Palestinians, you can be proud!”


Pop songs everywhere are filled with bravado and aggression. But this one reflects a widespread sentiment that does not augur well for President Mahmoud Abbas and his Palestinian Authority, which is rapidly losing credibility, even relevance. The Gaza truce talks in Cairo, involving Egypt, Turkey and Qatar, offer a telling tableau. The Palestinian leader seen there is not Mr. Abbas, but Khaled Meshal, the leader of the militant group Hamas, who seeks to speak for all Palestinians as his ideological brothers in the Muslim Brotherhood rise to power around the region.


Israel is also threatening Mr. Abbas, even hinting that it may give up on him, as he prepares to go to the United Nations General Assembly on Nov. 29 to try to upgrade the Palestinian status to that of a nonmember state. The Israelis consider this step an act of aggression, and even some Palestinians say it is somewhat beside the point at this stage.


“His people are being killed in Gaza, and he is sitting on his comfortable chair in Ramallah,” lamented Firas Katash, 20, a student who took part in the Ramallah demonstration.


For the United States, as for other countries hoping to promote a two-state solution to this century-old conflict, a more radicalized West Bank with a discredited Palestinian Authority would mean greater insecurity for Israel and increased opportunity for anti-Western forces to take root in a region where Islamism is on the rise.


Since Hamas, which won parliamentary elections in 2006, threw the Fatah-controlled authority out of Gaza a year later, Mr. Abbas has not set foot there. Yet he will be asking the world to recognize the two increasingly distinct entities as a unified state.


Manar Wadi, who works in an office in Ramallah, put the issue this way: “What is happening in Gaza makes the Palestinian Authority left behind and isolated. Now we see the other face of Hamas, and its popularity is rising. It makes us feel that the Palestinian Authority doesn’t offer a path to the future.”


In Cairo on Monday, Mr. Meshal seemed defiant and confident in his new role, daring the Israelis to invade Gaza as a sixth day of Israeli aerial assaults brought the death toll there to more than 100 people, many of them militants of Hamas and its affiliates. Rockets launched from Gaza hit southern Israel, causing some damage and panic, but no casualties, leaving the death toll there at three.


“Whoever started the war must end it,” Mr. Meshal said at a news conference. “If Israel wants a cease-fire brokered through Egypt, then that is possible. Escalation is also possible.”


Officials in the authority have been holding leadership meetings, staying in close touch with the talks in Cairo and issuing statements of solidarity. They have also sent a small medical delegation to Gaza and argue that there is a new opportunity to forge unity between the two feuding movements. But they are acutely aware of their problem.


“The most dangerous thing is the fact that what we could not do in negotiations, Hamas did with one rocket,” one official said, speaking on the condition of anonymity. “The people had such excitement seeing the occupiers run in panic. It’s a very dangerous message.”


Mr. Abbas, whose popularity has been on the decline as the Palestinian Authority faces economic difficulty and growing Israeli settlements, also ran into trouble not long before the Gaza fighting began when he seemed to give up on the Palestinian demand of a right of return to what is now Israel.


Many Palestinians believe that Israel launched its latest operation in Gaza to block the Palestinian Authority’s United Nations plans by embarrassing it. Israeli officials say that is ridiculous: the operation’s purpose is to stop the growing number of rockets being fired at their communities, and Israelis interrupted their deliberations over the United Nations bid to wage the military campaign.


But Israel says anything that does not involve direct negotiations is a waste of time. The government of Prime Minister Benjamin Netanyahu has repeatedly threatened to take severe retaliatory steps against the Palestinian Authority, including cutting off badly needed tax receipts to Palestinian coffers, should Mr. Abbas go ahead at the United Nations.


In a speech here on Sunday night at a Palestinian leadership meeting, Mr. Abbas repeated his determination to go to New York and ask for a change in status to that of nonmember state. He has chosen the symbolically significant date of Nov. 29, when the General Assembly voted in 1947 to divide this land into two states, one Jewish and the other Palestinian Arab.


The United States has asked Mr. Abbas not to do so, but instead to resume direct negotiations with Israel, which have essentially been frozen since 2008.


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Android de Google resta cada vez más mercado a Apple
















Los teléfonos inteligentes y tabletas informáticas con el sistema operativo Android de Google están acaparando el mercado de dispositivos móviles y robando espacio a Apple al saciar el apetito por la innovación y los bajos precios, estiman analistas.


El sistema operativo Android funciona en casi tres de cada cuatro teléfonos inteligentes vendidos en el mundo en el trimestre que acaba de finalizar en momentos en que la plataforma móvil domina el mercado, de acuerdo con los analistas de la industria de la firma IDC.













“Android ha sido uno de los principales motores de crecimiento del mercado de teléfonos inteligentes desde su lanzamiento en 2008″, dice el gerente de investigación de teléfonos móviles de IDC, Ramon Llamas.


“Cada año desde entonces, Android ha desbordado el mercado y robado participación en el mercado de la competencia”, agrega.


En las tabletas, la cuota de mercado de Apple cayó a poco más del 50%, desde el 65% que registró en el segundo trimestre, mientras Android ha ganado terreno, de acuerdo con cifras de IDC.


“Tener una gran cantidad de personas que construyen un montón de cosas que cubren una gran cantidad de rangos de precio con múltiples marcas en varios lugares hace una gran diferencia”, dice el analista de NPD Group Stephen Baker.


“La variedad es la fuerza cuando se trata de artefactos móviles”, estima.


Los pedidos de teléfonos inteligentes Android aumentaron a 136 millones de dólares, superando los del mismo trimestre del año pasado por un poco más del 90%, de acuerdo con informes de IDC.


Galaxy S3 de Samsung superó al iPhone 4S de Apple en el tercer trimestre para dar a la empresa de Corea del Sur el modelo de teléfono inteligente más vendido del mundo por primera vez, según la firma de investigación Strategy Analytics.


“El ritmo de la innovación en Android es más rápido que el de Apple”, dice el vicepresidente de computación móvil de Gartner, Ken Dulaney. “Ellos están tratando de hacerlo más fuerte, Apple está muy por detrás en esa área”.


Android se está beneficiando de ser una plataforma “open-source” que los fabricantes de aplicaciones usan gratuitamente y mejoran a medida que lo estiman conveniente, proporcionando a Google conocimientos en el camino.


Apple, por su parte, supervisa muy de cerca sus productos desde el software al hardware, e inclusive la tienda online de música, libros, juegos u otro contenido.


“Lo que se obtiene con Android es este increíble circuito de retroalimentación con los desarrolladores, fabricantes de equipos, clientes y diseñadores”, dice Dulaney.


“En Apple, si bien tienen una gran visión interna que está bien, no tienen la retroalimentación que Android tiene”, añade.


Tener miles de diferentes dispositivos Android disputándose el dinero de los consumidores es un fuerte estímulo cuando se trata de participación de mercado pero pone a los fabricantes de hardware en un escenario altamente competitivo, según Baker.


“Aparte de Samsung, no sé si otros chicos (vinculados a) Android están haciendo dinero”, estima el analista.


Google ofrece Android de forma gratuita, pero la plataforma está diseñada para hacer que sea más fácil para la gente usar servicios de Google, como el de búsqueda o de mapas, entre otros, y hallar contenido en sus tiendas en línea Google Play.


El analista de Forrester Charles Golvin estimó que parte importante del éxito coyuntural de Android tiene que ver con cambios demográficos de los compradores de teléfonos inteligentes.


Los primeros usuarios de teléfonos multifunciones apreciaban más las nuevas tecnologías que el precio, pero los dispositivos se han vuelto imprescindibles y con un costo cada vez más importante para los compradores, según Golvin.


“La gente está más inclinada hacia la plataforma Android, porque hay más posibilidades de elección y la mayoría de las opciones que da es de bajo precio”, dice.


La naturaleza abierta de Android y la variedad de modelos ofrecidos por los fabricantes de dispositivos funcionan como un “arma de doble filo”, señala no obstante el analista.


Apple lanza anualmente actualizaciones del sistema operativo móvil iOS a sus dispositivos, mientras que las nuevas versiones de Android, aunque lo hacen más a menudo, deben obtenerse a través de los fabricantes de hardware y servicios de telecomunicaciones para llegar hasta los teléfonos.


“Tú tienes esta lenta cadena de intermediarios que están retrasando la instalación del nuevo software y sus innovaciones en los dispositivos existentes en el mercado”, advierte Golvin.


Los teléfonos inteligentes y tabletas informáticas con el sistema operativo Android de Google están acaparando el mercado de dispositivos móviles y robando espacio a Apple al saciar el apetito por la innovación y los bajos precios, estiman analistas.


Linux/Open Source News Headlines – Yahoo! News



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Justin Bieber Brings His Mom to the American Music Awards















11/18/2012 at 09:35 PM EST







Pattie Mallette and Justin Bieber


Jonathan Alcorn/Reuters/Landov


Mother knows best!

Despite his recent split from Selena Gomez, Justin Bieber still had a date for the 40th American Music Awards on Sunday: his mother, Pattie Mallette.

Malette – who recently penned Nowhere But Up: The Story of Justin Bieber's Mom – looked thrilled to pose for photographs with her son.

When Bieber won the first award of the night, for favorite pop/rock male artist, his proud mother, 38, beamed.

"I want to say this is for all the haters who thought I was just here for one or two years. I feel like I'm going to be here for a very long time," the singer said as he accepted the award.

The award was a highlight during a rocky week for Bieber, who on Friday reunited with Gomez, 20, for dinner at a Japanese restaurant in Los Angeles. But just five minutes after entering the restaurant, the couple emerged with Gomez looking visibly "mad," says a source.

Later that night, Bieber Tweeted "Things aren't always easy. there is a lot of pressure. im figuring it all out. im trying. but i care, i notice, i still hear u. #Beliebers."

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EU drug regulator OKs Novartis' meningitis B shot

LONDON (AP) — Europe's top drug regulator has recommended approval for the first vaccine against meningitis B, made by Novartis AG.

There are five types of bacterial meningitis. While vaccines exist to protect against the other four, none has previously been licensed for type B meningitis. In Europe, type B is the most common, causing 3,000 to 5,000 cases every year.

Meningitis mainly affects infants and children. It kills about 8 percent of patients and leaves others with lifelong consequences such as brain damage.

In a statement on Friday, Andrin Oswald of Novartis said he is "proud of the major advance" the company has made in developing its vaccine Bexsero. It is aimed at children over two months of age, and Novartis is hoping countries will include the shot among the routine ones for childhood diseases such as measles.

Novartis said the immunization has had side effects such as fever and redness at the injection site.

Recommendations from the European Medicines Agency are usually adopted by the European Commission. Novartis also is seeking to test the vaccine in the U.S.

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Asian shares rise on positive U.S. tone, yen slips

TOKYO (Reuters) - Asian shares rose on Monday, boosted by a positive tone in U.S. equities last week, while the yen fell to a near seven-month low against the dollar on expectations a new government after next month's election in Japan may deliver more stimulus.


MSCI's broadest index of Asia-Pacific shares outside Japan <.miapj0000pus> was up 0.5 percent, recovering from a nine-week low marked on Friday.


Australian shares <.axjo> rose 0.6 percent while South Korean shares <.ks11> opened 0.5 percent higher.


Japan's Nikkei average <.n225>, which bucked the broad Asian downtrend on Friday and surged 2.2 percent to a two-week closing high, opened up 1.3 percent. <.t/>


"The market bullish sentiment will continue today," said Takashi Hiroki, chief strategist at Monex Inc, adding that sentiment had changed as trading volume hit an eight-month high on Friday and any short-term profit-taking would likely to be limited.


Speculation that the leader of the opposition Liberal Democratic Party, which is expected to win the December 16 elections, will call for more stimulus including further aggressive easing by the Bank of Japan also undermined the yen.


The dollar hit a near seven-month high against the yen at 81.55 yen on Monday.


The BOJ begins a two-day policy meeting on Monday, with the bank not expected to take fresh policy steps.


Aside from the Japanese politics, market players will eye ongoing negotiations by U.S. policymakers to avoid a budget crisis and European officials' meeting on Tuesday to discuss aid for debt-stricken Greece.


Hope that U.S. politicians would find common ground to steer clear of the "fiscal cliff" boosted U.S. stocks on Friday. European shares sank to a 3-1/2-month closing low, for their worst week since the end of May, on persistent concerns over U.S. fiscal policy and the euro zone debt crisis.


U.S. Treasury yields fell to their lowest levels in over two months on Friday as skepticism over the U.S. budget talks drew some safe-haven bids.


On Friday, top lawmakers from both major U.S. political parties hinted at the possibility of a budget compromise that involves spending cuts and additional revenue, although they were short on details.


"The good news is the tone of Friday's White House meeting but the prospect of no agreement until at least mid-December fits our view that the two sides are starting negotiations from rather distant points," Sean Callow, senior currency strategist at Westpac bank in Sydney, said in a note.


"As such, there will be plenty of negative headlines in coming weeks that weigh on Treasury yields and boost USD, which is yet again trading like a safe haven even when the bad news is generated by the US."


The dollar eased 0.1 percent but remained near a two-month high of 81.455 hit on Friday against a basket of key currencies <.dxy>.


The euro inched up 0.1 percent to $1.2757, with traders eyeing whether euro zone finance ministers and International Monetary Fund's Managing Director Christine Lagarde would agree on how to make Greece's debt manageable.


"As the EU prepares a bundled aid package to avert a Greek default, headlines coming out of the meeting may fuel a relief rally in the euro, but we will maintain our bearish forecast for the single currency as the region faces a deepening recession," said David Song, currency analyst at DailyFX.


U.S. crude futures rose 0.8 percent to 87.65 a barrel. Oil prices rose on Friday as Israeli attacks on Gaza escalated conflict between Israel and Palestinians and stoked supply concerns.


(Additional reporting by Ian Chua in Sydney and Dominic Lau in Tokyo; Editing by Michael Perry)


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Gaza Violence Is Unabating as Other Nations Push for Truce





GAZA CITY — An Israeli bomb pummeled a home deep into the ground here Sunday afternoon, killing 11 people, including nine in three generations of a single family, in the deadliest single strike since the cross-border conflict between Israel and the militant faction Hamas escalated on Wednesday.




The airstrike, along with several others that killed civilians across this coastal territory and hit two media offices here — one of them used by Western TV networks — further indicated that Israel was striking a wider range of targets. Gaza health officials reported that the number of people injured here had nearly doubled to 600 by day’s end; the Palestinian death toll climbed to 70, including 20 children. Three Israelis have been killed and at least 79 wounded by continued rocket fire into southern Israel and as far north as Tel Aviv, as Israeli cities were paralyzed by an onslaught of relentless rocket fire out of Gaza for the fifth straight day.


Even as President Obama, beginning an Asia visit, supported Israel’s “right to defend itself,” he also said that “if that can be accomplished without a ramping up of military activity in Gaza, that’s preferable.” And he described an urgent international effort to secure a cease-fire, saying, “We’re going to have to see what kind of progress we can make in the next 24, 36, 48 hours.”


But as cease-fire talks began in Cairo on Sunday, both sides were digging in, officials close to the negotiations said. An emboldened Hamas made sweeping demands, including the permanent opening of the border crossing between Gaza and Egypt and the end of the Israeli blockade.


Prime Minister Benjamin Netanyahu, meanwhile, has stuck to his demand that all rocket fire cease before the Israeli campaign lets up, and tanks and troops remained lined up outside Gaza on Sunday. Tens of thousands of reserve troops had been called up. “The army is prepared to significantly expand the operation,” Mr. Netanyahu said at the start of a cabinet meeting.


In the Israeli strike on Sunday morning, it took emergency workers and a Caterpillar digger more than an hour to reveal the extent of the devastation under the two-story home of Jamal Dalu, a shop owner. Mr. Dalu was at a neighbor’s when the blast wiped out nearly his entire family: His sister, wife, two daughters, daughter-in-law and four grandchildren ages 2 to 6 all perished under the rubble, along with two neighbors, an 18-year-old and his grandmother.


“We were asleep and then there was a terrific blast,” said Abdul-Latif Dahman, who lives nearby and was among more than 100 who stood vigil as the bodies were dug out. “There are no words to describe what happened later, only smoke and dust and heavy silence because the sound shut our ears.”


The smell of bomb residue and the roars of bulldozers filled the air as people clambered over shattered glass and bent iron bars to get a closer look. When two tiny bodies were finally found, rescuers and residents erupted in cries of “God is great!” One worker rushed the girl to an ambulance, while a neighbor grabbed the boy and just ran.


Ismail Haniyeh, the prime minister of the militant Hamas faction that rules Gaza, condemned the attack as a “massacre” that “exceeded all expectations.”


Brig. Gen. Yoav Mordechai, chief spokesman for the Israeli military, said it was “examining the event.”


“The wanted target in this case was responsible for firing dozens of rockets into Israel,” he added. “I do not know what happened to him, but I do know that we are committed to the safety of the citizens of Israel.”


Momentarily lulled by a quiet night, Israelis awoke Sunday to a new blitz of Palestinian rockets that totaled nearly 100 by nightfall, including two that soared toward the population center of Tel Aviv but were knocked out of the sky by the so-called Iron Dome missile defense system.


One rocket crashed through the roof of an apartment building in Ashkelon, a few miles up the coast from Gaza, where residents escaped serious injury because they had heeded the warning siren and run to lower floors. Four people were injured, two of them seriously, when a rocket exploded near their car in Ofakim, and a firefighter in Nachal Oz was seriously hurt by shrapnel.


A barrage of 10 missiles rained on Ashdod; nine were intercepted and the 10th hit an eight-story building but did not explode, heightening fears as residents were told to remain inside.


The whole region was paralyzed as people huddled in bomb shelters, where many have even been spending the night. Malls were closed; few walked in the street.


“I am the kind of person that always checks where the bathrooms and the exits are,” said Carol Erdheim, a psychologist who lives in Ashdod and works in Ashkelon. “Now you look for where the safe room is. You just know what to do. It is a way of living.”


Jodi Rudoren and Fares Akram reported from Gaza City, and Isabel Kershner from Jerusalem. Reporting was contributed by Myra Noveck and Irit Pazner Garshowitz from Jerusalem, Rina Castelnuovo from Ashdod, Israel, Peter Baker from Bangkok and David D. Kirkpatrick from Cairo.



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Wii U Will Launch With 24 Games This Sunday
















Assassin’s Creed III


A version of the latest chapter in the Assassin’s Creed saga, a week after it was released on other console.


Click here to view this gallery.













[More from Mashable: Xbox Live Celebrates 10 Years of Connecting Gamers]


Nintendo’s newest console is out this Sunday, and there are already people lining up outside retailers to get one.


There are 24 games available for the Wii U at launch. Some are highly anticipated Nintendo staples, like New Super Mario Brothers U, and some are interesting and creative titles from third-party developers, like Scribblenauts Unlimited and ZombiU. Many games already out on other systems are being released for the Wii U as well, including Assassin’s Creed III and NBA 2K13; some of these games even have extra functionality that’s been added to take advantage of the Wii U GamePad.


[More from Mashable: Competitive Gaming Seeing TV-Levels of Viewership in 2012]


If you don’t see a game in the gallery above that you thought was coming to the Wii U, it’s because many announced games will be available in the “launch window”, a broad period from now until March. That’s when games like Pikmin 3 and LEGO City Undercover will come out.


If you haven’t preordered a Wii U from a large retailer, many places will still have them available at launch day. Expect long lines at larger retailers though.


Are you planning on purchasing a Wii U this weekend, and what games do you most want to buy? Let us know in the comments.


This story originally published on Mashable here.


Gaming News Headlines – Yahoo! News



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Sarah Michelle Gellar Names Son Rocky




Celebrity Baby Blog





11/17/2012 at 07:00 PM ET



Sarah Michelle Gellar and Freddie Prinze, Jr. Welcome Son Rocky James
Claire Greenway/Getty


Update: The couple have named their son Rocky James Prinze, a source close to the family confirms to PEOPLE.


Originally posted Sept. 24: Hello, little Prinze.


Sarah Michelle Gellar ”had a baby boy last week in Los Angeles,” her rep tells PEOPLE.


She and husband Freddie Prinze, Jr. “are thrilled to announce” the news, the rep confirms to Access Hollywood, adding that ”mother and baby are doing great.”


The newborn joins the couple’s daughter Charlotte Grace at home.


Their 3-year-old, who was spotted out with a still-pregnant Gellar last Tuesday, “is very excited to be a big sister,” the rep adds.

“They are thrilled that Charlotte [has] a little brother,” a source close to the couple told PEOPLE in July.


“They love their little girl more than anything in the world and know that love will only multiply.”


Gellar, 35, and Prinze, 36, were married in September 2002.


– Sarah Michaud with reporting by Charlotte Triggs


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EU drug regulator OKs Novartis' meningitis B shot

LONDON (AP) — Europe's top drug regulator has recommended approval for the first vaccine against meningitis B, made by Novartis AG.

There are five types of bacterial meningitis. While vaccines exist to protect against the other four, none has previously been licensed for type B meningitis. In Europe, type B is the most common, causing 3,000 to 5,000 cases every year.

Meningitis mainly affects infants and children. It kills about 8 percent of patients and leaves others with lifelong consequences such as brain damage.

In a statement on Friday, Andrin Oswald of Novartis said he is "proud of the major advance" the company has made in developing its vaccine Bexsero. It is aimed at children over two months of age, and Novartis is hoping countries will include the shot among the routine ones for childhood diseases such as measles.

Novartis said the immunization has had side effects such as fever and redness at the injection site.

Recommendations from the European Medicines Agency are usually adopted by the European Commission. Novartis also is seeking to test the vaccine in the U.S.

Read More..

Wall Street Week Ahead: Going off "cliff" with a bungee cord

NEW YORK (Reuters) - The 1987 crash. The Y2K bug. The debt ceiling debacle of 2011.


All these events, in the end, turned out to be buying opportunities for stocks. So will the "fiscal cliff," some investors say as they watch favorite stocks tumble during the political give-and-take happening in Washington.


The first round of talks aimed at avoiding the "fiscal cliff" caused a temporary rise in equities on Friday, signaling Wall Street's recent declines could be a buying opportunity. The gains were small and sentiment remains weak, but it suggests hope for market bulls.


Though shares ended moderately higher on Friday, it was not enough to offset losses for the week. The S&P was down 1.5 percent, while both the Dow and the Nasdaq fell 1.8 percent.


The S&P 500 is down more than 5 percent in the seven sessions that followed President Barack Obama's re-election. Uncertainty arose as attention turned to Washington's task of dealing with mandated tax hikes and spending cuts that could take the U.S. economy back into recession.


Some see the market's move as an overreaction to hyperbolic headlines about policy gridlock in Washington, believing stocks may start to rebound in what should be a quiet few days ahead of the Thanksgiving holiday next Thursday.


"It just doesn't seem to make any sense that you suddenly wake up the day after the election and realize we've got a fiscal cliff," said Krishna Kumar, partner at New York hedge fund Goose Hollow Alpha Advisors.


Not long ago the S&P was on target for its second-best year in the last 10, riding a 17 percent advance in 2012. That's been halved to about 8 percent, which isn't bad but disappointing compared with just a month ago.


Investors have been selling the year's winners. Apple is down 25 percent from its peak above $700. General Electric is down 14 percent; Google has lost 16 percent. Overall, the stocks that make up the top 10 percent of performers in the month prior to Election Day have been the worst performers since, according to Bespoke Investment Group of Harrison, New York.


"I think it's a good opportunity to be long stocks at these levels," said Kumar.


Hikes on capital gains and dividend taxes are on the line, and Obama has dug in his heels on what he sees as a mandate to make the tax code more progressive.


He seems to have the upper hand in dealings with Congress because Republican lawmakers don't want to see tax rates increase, which is what will happen if no solution is found by the beginning of 2013. Republicans don't want to take the blame for driving the economy over the cliff.


The current crisis is similar to last year's fight to raise the U.S. debt ceiling, which led to the downgrade of the United States' top credit rating in early August 2011.


During the dealings, the S&P 500 lost 18.8 percent between its peak in July 2011 and its bottom in August. As the market slid, the political standoff badly hurt investors' confidence in Washington, setting off a spike in volatility.


In the end a deal was announced that raised the ceiling and put off longer-term fiscal decisions until January 1, 2013, setting the stage for today's "fiscal cliff" crisis.


After staying flat through September 2011, the S&P 500 jumped 31 percent between its October low and the end of March.


BUY THE DIP?


Gridlock in Washington and all that could possibly go wrong with the economy if a deal is not reached have grabbed the headlines, but the negotiations leave room for stock market gains. Congressional leaders said Friday they will work through the Thanksgiving holiday recess to find a solution.


"The debate over how to solve (the fiscal cliff) may be more productive than is commonly recognized," said Brad Lipsig, senior portfolio manager at UBS Financial Services in New York.


"The U.S. is facing a major debt overhang, and serious steps toward addressing it might ultimately be viewed as a positive for future growth," he said. "The market may recognize this and, after a time of hand wringing, recover from the concerns with a renewed sense of optimism."


The recent selling took the S&P 500's relative strength index - a technical measure of internal strength - below 30 this week, indicating the benchmark is oversold and due for a rebound.


The RSI in four of the 10 S&P sectors - utilities, telecoms, consumer staples and technology - is below 30 and the highest RSI reading, for the consumer discretionary sector, is below 40, suggesting a bounce is in store.


"What I want to do is what we did during the decline following the budget negotiations in the summer of 2011: The lower the stock market goes, the more I want to own stock," said Brian Reynolds, chief market strategist at New York-based Rosenblatt Securities.


"If we go off the cliff it will be with a bungee cord attached," he said.


KEEP CALM AND HEDGE


Volatility is expected to rise through the end of November and to spike in late December if no agreement on the fiscal cliff is reached in Congress. Alongside comes opportunity for those with high risk tolerance.


"Recently, volatility has increased in the market overall. You can't really pick it up in the VIX yet, but I think as we get through November, I think you're likely to see the VIX be at a relatively higher level," said Bruce Zaro, chief technical strategist at Delta Global Asset Management in Boston.


In 2011, the VIX averaged 19.2 in July and 35 in August. So far this month the average is 17.8 and it is expected to spike if negotiations on the cliff drag into late next month.


"Looking at the range of possibilities, I would say any of them would be better than sitting here waiting. I would even put going off the fiscal cliff in that category," said Jill Cuniff, president of Seattle-based Edge Asset Management Inc, which manages about $20 billion.


"But we don't believe Congress will let that happen; there's going to be some middle ground here."


(Reporting by Rodrigo Campos and Jonathan Spincer, additional reporting by Caroline Valetkevitch; Editing by Kenneth Barry)


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