After Moves on New Constitution, Protesters Gather in Cairo


Gianluigi Guercia/Agence France-Presse — Getty Images


Egyptians protested a decree by President Mohamed Morsi granting himself powers that shield his decisions from judicial review. More Photos »







CAIRO — In the second potent showing of opposition rage in less than a week, tens of thousands of people streamed into Tahrir Square on Friday, angrily denouncing Egypt’s president, Mohamed Morsi, and the hasty passage earlier in the day of a draft constitution written by an Islamist assembly.




The gathering on Friday was smaller than one that packed the square on Tuesday, raising the question of whether Mr. Morsi’s opponents — liberals, leftists and fierce opponents of the Islamist group that the president once helped lead — could maintain their momentum. As they planned ways to escalate the protests with civil disobedience, Mr. Morsi had to face his critics personally at a mosque in Cairo, where, state news media reported, the president was heckled during Friday Prayer.


Egypt’s often fractured opposition banded together this week to protest a series of moves by Mr. Morsi that had led to accusations that he was reviving the country’s autocracy, presenting him with the most severe crisis in the five months since he took office.


Mr. Morsi’s moves to issue an edict placing his decisions above judicial review and to press the Constitutional Assembly to pass a draft constitution hastily, despite a walkout by non-Islamists, have provided the opposition with a rallying cry. Despite the heady atmosphere on Friday, protesters and activists in Tahrir Square’s choked approaches, bus shelters and plazas predicted an increasingly bitter standoff, given the slim likelihood that the president planned to accede to their demands.


Slogans calling on Mr. Morsi to leave or for his government to fall have energized crowds and drawn new faces to the opposition, including people staunchly opposed to Islamist leadership and those who have supported figures from Hosni Mubarak’s government, like Ahmed Shafik, a former minister who ran against Mr. Morsi in the presidential race. Strikingly, some revolutionary activists now refuse to use the word “remnant,” as they had in the past, to describe their new allies, saying instead that they are glad for the support of people who decided to stay home during the uprising.


It was unclear whether the newcomers would remain while the opposition pressed more concrete demands and stepped up its confrontation with the government. Sitting on a curb in Tahrir Square on Friday night, Adel Abdullah, an unemployed Web designer, said he was happy to find like-minded people also bitterly opposed to Mr. Morsi. But, short of demanding that Mr. Morsi leave office, he said he was not sure, practically, what the president’s opponents should do.


“The people don’t want him,” he said of Mr. Morsi. “I’m so glad he made a mistake.”


Other opposition figures were trying to find ways to capitalize on the president’s mistakes. Leaders of the newly formed National Salvation Front, a coalition of parties, threatened to call for a national strike and possibly to march on the presidential palace to prevent the draft constitution’s going to referendum.


Mohamed Ahmed, a leader of the April 6th Revolutionary Youth Group, spoke of plans to escalate the protests in an effort to win concessions on demands including a rescinding of Mr. Morsi’s edict; a new, more representative constituent assembly; and an overhaul of the Interior Ministry.


“We’re going to have demonstrations in places that affect the regime,” he said, also mentioning the possibility of strikes and civil disobedience. Nearby, a judge speaking to a crowd compared Mr. Morsi to Hitler and Caligula.


Mr. Ahmed said that the talk of toppling Mr. Morsi was unrealistic — but tactically important. “We have to raise our demands to get our demands,” he said.


Islamist parties have repeatedly prevailed at the polls since Mr. Mubarak’s overthrow, leaving the opposition to rely on obstructionist tactics to try to thwart them. Some activists say they hope for help from an Egyptian judiciary angered at Mr. Morsi’s bid to place his decisions out of judges’ reach. They have argued that the president will be unable to hold a referendum on the constitution because the interim charter requires judicial supervision of the vote. Most of Egypt’s judges, though, have gone on strike to protest the decree.


“The judicial bodies don’t approve of the decree, and they don’t approve of the draft constitution, and under current constitutional articles, it is impossible to hold a referendum without judicial monitoring,” said Ahmed Kamel, a spokesman for Amr Moussa, a former diplomat under Mr. Mubarak who ran for president last year and has emerged as an opposition leader.


On Friday, with Mr. Morsi in attendance, worshipers at the Sharbatly Mosque heckled the imam as he called on the public to support the president and recited religious verse that called on people to “obey those in authority,” according to an account of the visit in the semiofficial newspaper Al Ahram.


After the imam stopped his sermon, some worshipers chanted, “Down with the rule of the supreme guide,” referring to the spiritual leader of the Muslim Brotherhood, Mr. Morsi’s Islamist party. The president asked the crowd to calm down and tried to explain his recent decisions, as some supporters chanted his name, the paper said.


David D. Kirkpatrick, Joe Gabra and Mayy El Sheikh contributed reporting.



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Thousands touched by photograph of New York cop helping shoeless man












NEW YORK (Reuters) – A photograph of a New York City police officer crouching by a shoeless panhandler to give him a new pair of boots on a cold night in Times Square has drawn a deluge of praise after it was published on the police department‘s Facebook page this week.


By Thursday afternoon, nearly 394,000 people had clicked a button on the department’s Facebook page to indicate that they “liked” the photograph. Tens of thousands left comments, most praising Officer Lawrence DePrimo for his charitable deed.












The photograph was snapped by Jennifer Foster, an employee of the Pinal County Sheriff‘s Office in Florence, Arizona, during a trip to New York this month, according to police.


She took the picture shortly after she noticed the man asking passersby for money.


“Right when I was about to approach, one of your officers came up behind him,” Foster wrote in an email to the New York Police Department accompanying the snapshot, according to the picture caption on the department’s Facebook page. She said she was some distance away, and the officer did not know he was being photographed.


“The officer said, ‘I have these size 12 boots for you, they are all-weather. Let’s put them on and take care of you.’ The officer squatted down on the ground and proceeded to put socks and the new boots on this man.”


DePrimo and Foster could not be reached for comment on Thursday, and the police department did not respond to queries about the photograph.


DePrimo, 25, joined the force in 2010 and lives with his parents on Long Island, according to The New York Times. He paid $ 75 for the boots from a nearby Skechers store after an employee there gave him a 25 percent discount upon learning they were to be donated to a man in need.


“I wish more cops were like this guy,” one person wrote on the department’s Facebook page. Others suggested there were plenty of good-hearted police officers about, even if their good deeds were not photographed or touted on Facebook.


(Editing by Paul Thomasch and Stacey Joyce)


Internet News Headlines – Yahoo! News


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The X Factor Announces Top 6






The X Factor










11/29/2012 at 09:40 PM EST







From left; Demi Lovato, Britney Spears and Simon Cowell


FOX


Mario Lopez called the first elimination on Thursday's The X Factor a "bit of a shocker."

And so was the second.

The top eight contestants sang No. 1 hits Wednesday in an emotional night. Keep reading to find out which two performers were sent packing – and who's in season 2's top six ...

Paige Thomas was the first to go – which is shocking because she toned down her over-the-top performing style to sing Rick Astley's "Never Gonna Give You Up" like a like a "legitimate pop star," according to Simon Cowell.

That left Demi Lovato with just one singer on her team: CeCe Frey, who was told (by Cowell) to "pack her bags" Wednesday after her performance of "Lady Marmalade."

But L.A. Reid's contestant Vino Alan and Team Britney's Diamond White were in the bottom two and had to sing for survival. He performed "Trouble" and she sang Beyoncé's "I Was Here."

L.A. voted to send home Diamond; Britney returned the favor and voted to send home Vino. Demi voted Vino out as well. That left Simon ... and he fell in line with the female panelists, voting to get rid of Vino. Either one would have been a shock but Vino had been ranked third last week.

Here's how the top six rank this week:
1. Carly Rose Sonenclar
2. Tate Stevens
3. Emblem3
4. Fifth Harmony
5. CeCe Frey
6. Diamond White

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Clinton releases road map for AIDS-free generation

WASHINGTON (AP) — In an ambitious road map for slashing the global spread of AIDS, the Obama administration says treating people sooner and more rapid expansion of other proven tools could help even the hardest-hit countries begin turning the tide of the epidemic over the next three to five years.

"An AIDS-free generation is not just a rallying cry — it is a goal that is within our reach," Secretary of State Hillary Rodham Clinton, who ordered the blueprint, said in the report.

"Make no mistake about it, HIV may well be with us into the future but the disease that it causes need not be," she said at the State Department Thursday.

President Barack Obama echoed that promise.

"We stand at a tipping point in the fight against HIV/AIDS, and working together, we can realize our historic opportunity to bring that fight to an end," Obama said in a proclamation to mark World AIDS Day on Saturday.

Some 34 million people worldwide are living with HIV, and despite a decline in new infections over the last decade, 2.5 million people were infected last year.

Given those staggering figures, what does an AIDS-free generation mean? That virtually no babies are born infected, young people have a much lower risk than today of becoming infected, and that people who already have HIV would receive life-saving treatment.

That last step is key: Treating people early in their infection, before they get sick, not only helps them survive but also dramatically cuts the chances that they'll infect others. Yet only about 8 million HIV patients in developing countries are getting treatment. The United Nations aims to have 15 million treated by 2015.

Other important steps include: Treating more pregnant women, and keeping them on treatment after their babies are born; increasing male circumcision to lower men's risk of heterosexual infection; increasing access to both male and female condoms; and more HIV testing.

The world spent $16.8 billion fighting AIDS in poor countries last year. The U.S. government is the leading donor, spending about $5.6 billion.

Thursday's report from PEPFAR, the President's Emergency Plan for AIDS Relief, outlines how progress could continue at current spending levels — something far from certain as Congress and Obama struggle to avert looming budget cuts at year's end — or how faster progress is possible with stepped-up commitments from hard-hit countries themselves.

Clinton warned Thursday that the U.S. must continue doing its share: "In the fight against HIV/AIDS, failure to live up to our commitments isn't just disappointing, it's deadly."

The report highlighted Zambia, which already is seeing some declines in new cases of HIV. It will have to treat only about 145,000 more patients over the next four years to meet its share of the U.N. goal, a move that could prevent more than 126,000 new infections in that same time period. But if Zambia could go further and treat nearly 198,000 more people, the benefit would be even greater — 179,000 new infections prevented, the report estimates.

In contrast, if Zambia had to stick with 2011 levels of HIV prevention, new infections could level off or even rise again over the next four years, the report found.

Advocacy groups said the blueprint offers a much-needed set of practical steps to achieve an AIDS-free generation — and makes clear that maintaining momentum is crucial despite economic difficulties here and abroad.

"The blueprint lays out the stark choices we have: To stick with the baseline and see an epidemic flatline or grow, or ramp up" to continue progress, said Chris Collins of amFAR, the Foundation for AIDS Research.

His group has estimated that more than 276,000 people would miss out on HIV treatment if U.S. dollars for the global AIDS fight are part of across-the-board spending cuts set to begin in January.

Thursday's report also urges targeting the populations at highest risk, including gay men, injecting drug users and sex workers, especially in countries where stigma and discrimination has denied them access to HIV prevention services.

"We have to go where the virus is," Clinton said.

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Wall Street ends higher after swings on 'fiscal cliff'

NEW YORK (Reuters) - Stocks finished higher on Thursday as investors bought on sporadic dips in a market roiled by conflicting comments from Washington about negotiations on an agreement to avoid the "fiscal cliff."


Tech shares, including Research In Motion and Advanced Micro Devices , helped the Nasdaq outperform the broader market. Telecommunications and health-care stocks were the day's best-performing sectors.


Reflecting the uncertainty surrounding U.S. budget talks, trading was choppy. Wall Street reversed early gains and fell shortly after House Speaker John Boehner, the top Republican in Congress, dashed hopes that lawmakers were getting closer to a budget deal that would avert automatic tax increases and spending cuts set for early 2013 - the fiscal cliff - that could push the U.S. economy into a recession next year. But the market rebounded by afternoon and the three major U.S. stock indexes rebounded to near their session highs.


"There is an emotional part in buying on the small dips here. Investors are more worried about missing the rally than losing money as they believe that the 'fiscal cliff' will be solved eventually," said James Dailey, portfolio manager at TEAM Asset Strategy Fund in Harrisburg, Pennsylvania.


"Until the fiscal cliff is solved, the madness of the crowd will not subside."


Discussions on Capitol Hill are aimed at avoiding big automatic spending cuts and tax hikes, known as the fiscal cliff, that will start taking effect beginning in January.


Boehner's comment about a lack of progress in talks with the White House was one of a series of contrary pronouncements by lawmakers and the Obama administration over whether Washington will finally cut a deal.


There have been some signs that leaders are moving closer to a fiscal agreement. The S&P 500 has gained about 5 percent recently after a sell-off that took it down almost 8 percent following the U.S. election on November 6. But investors remain wary that politicians' ad hoc statements can spark quick reversals in the market.


U.S.-listed shares of BlackBerry maker Research In Motion rose 4 percent to $11.54 after Goldman Sachs upgraded the stock to "buy" from "neutral" on optimism ahead of the launch of the BlackBerry 10 smartphone.


Advanced Micro Devices Inc shares gained 4.1 percent to $2.04 on plans to sell and lease back its campus in Austin, Texas. The sale and lease-back will raise cash and fund its chipmaking business as Advanced Micro Devices diversifies beyond the struggling PC industry into new markets.


The Dow Jones industrial average <.dji> rose 36.71 points, or 0.28 percent, to 13,021.82 at the close. The Standard & Poor's 500 Index <.spx> gained 6.02 points, or 0.43 percent, to 1,415.95. The Nasdaq Composite Index <.ixic> advanced 20.25 points, or 0.68 percent, to close at 3,012.03.


So far this week, the Dow is up 0.1 percent, the S&P 500 is up 0.5 percent and the Nasdaq is up 1.5 percent.


But shares of top retailers retreated in the wake of data showing a weak start to November sales after Superstorm Sandy. Kohl's Corp fell 12 percent to $45.02.


Tiffany shares dropped 6.2 percent to $59.80 after the upscale jeweler reported quarterly results and cut its full-year sales and profit forecasts.


Supervalu shares sank 18.6 percent to $2.28 after a report that Cerberus Capital Management was having difficulty obtaining financing to buy out the troubled grocery chain.


Data showed the U.S. economy grew faster than initially thought in the third quarter as businesses restocked, but consumer and business spending were revised lower in a sobering reminder of the economic recovery's underlying weakness.


Contracts to buy previously owned U.S. homes rose more than expected in October, a sign the housing market recovery advanced into the fourth quarter despite a mammoth storm and concerns over looming tax hikes. Homebuilders' shares rose. The PHLX housing index <.hgx> rose 0.8 percent.


About 6.15 billion shares changed hands on the New York Stock Exchange, the Nasdaq and NYSE MKT, below the daily average so far this year of about 6.48 billion shares.


On both the NYSE and the Nasdaq, roughly three stocks rose for every one that fell.


(Editing by Kenneth Barry and Jan Paschal)


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General Assembly Grants Palestine Upgraded Status in U.N.


Chang W. Lee/The New York Times


President Mahmoud Abbas of the Palestinian Authority spoke at the United Nations before the General Assembly voted on Palestine's status as a “nonmember observer state” on Thursday.







UNITED NATIONS — More than 130 countries voted on Thursday to upgrade Palestine to a nonmember observer state of the United Nations, a triumph for Palestinian diplomacy and a sharp rebuke to the United States and Israel.




But the vote, at least for now, did little to bring either the Palestinians or the Israelis closer to the goal they claim to seek: two states living side by side, or increased Palestinian unity. Israel and the militant group Hamas both responded critically to the day’s events, though for different reasons.


The new status will give the Palestinians more tools to challenge Israel in international legal forums for its occupation activities in the West Bank, including settlement-building, and it helped bolster the Palestinian Authority, weakened after eight days of battle between its rival Hamas and Israel.


But even as a small but determined crowd of 2,000 celebrated in central Ramallah in the West Bank, waving flags and dancing, there was an underlying sense of concerned resignation.


“I hope this is good,” said Munir Shafie, 36, an electrical engineer who was there. “But how are we going to benefit?”


Still, the General Assembly vote — 138 countries in favor, 9 opposed and 41 abstaining — showed impressive backing for the Palestinians at a difficult time. It was taken on the 65th anniversary of the vote to divide the former British mandate of Palestine into two states, one Jewish and one Arab, a vote Israel considers the international seal of approval for its birth.


The past two years of Arab uprisings have marginalized the Palestinian cause to some extent as nations that focused their political aspirations on the Palestinian struggle have turned inward. The vote on Thursday, coming so soon after the Gaza fighting, put the Palestinians again — if briefly, perhaps — at the center of international discussion.


“The question is, where do we go from here and what does it mean?” Salam Fayyad, the Palestinian prime minister, who was in New York for the vote, said in an interview. “The sooner the tough rhetoric of this can subside and the more this is viewed as a logical consequence of many years of failure to move the process forward, the better.” He said nothing would change without deep American involvement.


President Mahmoud Abbas of the Palestinian Authority, speaking to the assembly’s member nations, said, “The General Assembly is called upon today to issue a birth certificate of the reality of the state of Palestine,” and he condemned what he called Israeli racism and colonialism. His remarks seemed aimed in part at Israel and in part at Hamas. But both quickly attacked him for the parts they found offensive.


“The world watched a defamatory and venomous speech that was full of mendacious propaganda against the Israel Defense Forces and the citizens of Israel,” Prime Minister Benjamin Netanyahu of Israel responded. “Someone who wants peace does not talk in such a manner.”


While Hamas had officially backed the United Nations bid of Mr. Abbas, it quickly criticized his speech because the group does not recognize Israel.


“There are controversial issues in the points that Abbas raised, and Hamas has the right to preserve its position over them,” said Salah al-Bardaweel, a spokesman for Hamas in Gaza, on Thursday.


“We do not recognize Israel, nor the partition of Palestine, and Israel has no right in Palestine,” he added. “Getting our membership in the U.N. bodies is our natural right, but without giving up any inch of Palestine’s soil.”


Israel’s ambassador to the United Nations, Ron Prosor, spoke after Mr. Abbas and said he was concerned that the Palestinian Authority failed to recognize Israel for what it is.


“Three months ago, Israel’s prime minister stood in this very hall and extended his hand in peace to President Abbas,” Mr. Prosor said. “He reiterated that his goal was to create a solution of two states for two peoples, where a demilitarized Palestinian state will recognize Israel as a Jewish state.


“That’s right. Two states for two peoples. In fact, President Abbas, I did not hear you use the phrase ‘two states for two peoples’ this afternoon. In fact, I have never heard you say the phrase ‘two states for two peoples’ because the Palestinian leadership has never recognized that Israel is the nation-state of the Jewish people.”


The Israelis also say that the fact that Mr. Abbas is not welcome in Gaza, the Palestinian coastal enclave run by Hamas, from which he was ejected five years ago, shows that there is no viable Palestinian leadership living up to its obligations now.


Jennifer Steinhauer contributed reporting from Washington, Isabel Kershner from Jerusalem, and Khaled Abu Aker from Ramallah, West Bank.



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Obama takes “fiscal cliff” battle to Twitter












WASHINGTON (Reuters) – President Barack Obama opened a new front on Wednesday in the battle between Democrats and Republicans over the best way to avoid the year-end “fiscal cliff” – Twitter.


The web-savvy Obama administration launched a social media campaign that asks Twitter users to add the “#my2k” hashtag to messages with examples of what $ 2,000 means to them.












The amount is roughly what a middle-class family of four would have to pay extra in taxes next year if Congress cannot strike a deal to remove the threat of roughly $ 600 billion in tax hikes and federal spending cuts.


The fast-paced social networking site known for its zippy 140-character comments is a tried-and-true method of reaching Americans. The latest call for such searchable references is an effort to pressure Congress into finding compromise on long-held partisan views.


Obama announced the new Twitter hashtag campaign at a news conference on Wednesday. He and fellow Democrats, who oppose significant cuts to U.S. “entitlement” programs such as Medicare as a way of balancing the budget, have been trying to break Republican opposition to hiking taxes on anyone, including the wealthy.


Promotions of “#my2k” quickly went out to millions of followers of the White House Twitter account and scores of Democratic backers, including former House of Representatives Speaker Nancy Pelosi. Soon, “my2k” was a top-trending subject.


“#My2K means food for a year, the remainder of my student loan paid off or a full month of child care. $ 2200 can make or break a family,” wrote Twitter user Katrina Burchett.


In the anarchic spirit of social media, Republicans, who also polished their Twitter hashtag skills during the bitter 2012 presidential campaign, pounced quickly.


The conservative Heritage Foundation bought the promotional tweet that pops up at the top of the list if one searches for “#my2k” mentions, where the think tank offered its own take on solutions to the fiscal cliff.


House Speaker John Boehner and scores of fellow Republican lawmakers started sharing examples they hoped would put the blame for the lack of a resolution on the Democrats.


“We in the House took steps this summer to avert #fiscalcliff and stop #my2K tax hikes,” wrote Representative Mike Turner. “It’s time for @whitehouse and @SenateDems to act.”


‘BEING AWARE OF WHAT’S GOING ON’


Users on Twitter can sign up to follow one another’s messages, making searchable hashtags a helpful way to sort by subject or theme.


Marcus Messner, who studies social media at Virginia Commonwealth University, said Twitter was a perfect environment to reignite Obama’s base swiftly and gauge public engagement on the issue.


The Obama administration has used Twitter hashtags as part of lobbying campaigns to keep student loan rates low with #dontdoublemyrate and to extend payroll tax cuts with #40dollars, which was their estimate of how much the cuts saved an average family each year.


White House Social Media Director Macon Phillips later called the $ 40dollars hashtag “one of the most significant campaigns we ran on Twitter.”


“It’s about being aware of what’s going on and understanding that in the age of social media, you’re just a participant,” he told an Entrepreneur.com blogger in February. “It’s not something that you can control.”


(Editing by Peter Cooney)


Internet News Headlines – Yahoo! News


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Angus T. Jones Is Not Leaving Two and a Half Men: Source















11/28/2012 at 07:50 PM EST



The Half is back!

Ever since Angus T. Jones bashed Two and a Half Men in a now-viral video, it begged the question: Will the 19-year-old actor return to the hit show?

If he has it his way, he will.

"Angus expects to report to work after the holiday break in January," says a source close to the star. "He intends to honor his contract through the end of the season."

Jones, who called the show "filth" and urged viewers in a video interview on a religious website to stop watching, issued an apology Tuesday night, saying he has the "highest regard" for the "wonderful people" on the show.

Although Jones is not featured in an episode that tapes next week, he intends to show up on schedule after the break, the source says.

In the meantime, the source adds, "Angus is feeling positive and he is concentrating on spending some downtime with family and friends."

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Simple measures cut infections caught in hospitals

CHICAGO (AP) — Preventing surgery-linked infections is a major concern for hospitals and it turns out some simple measures can make a big difference.

A project at seven big hospitals reduced infections after colorectal surgeries by nearly one-third. It prevented an estimated 135 infections, saving almost $4 million, the Joint Commission hospital regulating group and the American College of Surgeons announced Wednesday. The two groups directed the 2 1/2-year project.

Solutions included having patients shower with special germ-fighting soap before surgery, and having surgery teams change gowns, gloves and instruments during operations to prevent spreading germs picked up during the procedures.

Some hospitals used special wound-protecting devices on surgery openings to keep intestine germs from reaching the skin.

The average rate of infections linked with colorectal operations at the seven hospitals dropped from about 16 percent of patients during a 10-month phase when hospitals started adopting changes to almost 11 percent once all the changes had been made.

Hospital stays for patients who got infections dropped from an average of 15 days to 13 days, which helped cut costs.

"The improvements translate into safer patient care," said Dr. Mark Chassin, president of the Joint Commission. "Now it's our job to spread these effective interventions to all hospitals."

Almost 2 million health care-related infections occur each year nationwide; more than 90,000 of these are fatal.

Besides wanting to keep patients healthy, hospitals have a monetary incentive to prevent these infections. Medicare cuts payments to hospitals that have lots of certain health care-related infections, and those cuts are expected to increase under the new health care law.

The project involved surgeries for cancer and other colorectal problems. Infections linked with colorectal surgery are particularly common because intestinal tract bacteria are so abundant.

To succeed at reducing infection rates requires hospitals to commit to changing habits, "to really look in the mirror and identify these things," said Dr. Clifford Ko of the American College of Surgeons.

The hospitals involved were Cedars-Sinai Medical Center in Los Angeles; Cleveland Clinic in Ohio; Mayo Clinic-Rochester Methodist Hospital in Rochester, Minn.; North Shore-Long Island Jewish Health System in Great Neck, NY; Northwestern Memorial Hospital in Chicago; OSF Saint Francis Medical Center in Peoria, Ill.; and Stanford Hospital & Clinics in Palo Alto, Calif.

___

Online:

Joint Commission: http://www.jointcommission.org

American College of Surgeons: http://www.facs.org

___

AP Medical Writer Lindsey Tanner can be reached at http://www.twitter.com/LindseyTanner

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Wall Street jumps in another "fiscal cliff" swing

NEW YORK (Reuters) - Stocks rallied on Wednesday after comments from House Speaker John Boehner, the top Republican in Congress, on a possible compromise to avoid the "fiscal cliff" turned the market around.


The S&P 500 rebounded from a 1 percent decline, gaining more than 20 points from its low after Boehner, an Ohio Republican, said he was optimistic that a budget deal to avoid big spending cuts and tax hikes can be worked out. President Barack Obama added to the good feelings, saying he hoped to get a deal done in the next four weeks.


Whether or not those remarks reflect the reality of negotiations is another story.


"The fiscal cliff is dominating the discussion, and short term, we're a little bit too optimistic on it being fixed right away," said John Manley, chief equity strategist for Wells Fargo Advantage Funds in New York.


In expectation of higher dividend tax rates in 2013, companies have been shifting dividends or announcing special payouts to shareholders.


Costco Wholesale Corp , up 6.3 percent at $102.58, was the S&P 500's biggest percentage gainer after it became the latest company to announce a special dividend.


The market's move marked the second straight day where a leading legislator dictated trading action. On Tuesday, stocks fell on pessimistic remarks from Senate Majority Leader Harry Reid, a Democrat from Nevada.


The market has been swinging for weeks now on headlines from Washington, with Wednesday's gyrations once again highlighting the importance that Wall Street is giving to finding a solution to avoid the series of tax increases and spending cuts that could push the U.S. economy into recession.


The Dow Jones industrial average <.dji> rose 106.98 points, or 0.83 percent, to 12,985.11 at the close. The S&P 500 <.spx> gained 10.99 points, or 0.79 percent, to 1,409.93. The Nasdaq Composite <.ixic> added 23.99 points, or 0.81 percent, to close at 2,991.78.


The S&P 500 bounced off a strong support area near 1,385 that includes both its 200- and 14-day moving averages. It closed above 1,400 for the third session in four - an optimistic sign for stock bulls.


Knight Capital Group Inc shares jumped 15.2 percent to $3.42 on news that Getco Holding proposed a $1.4 billion merger with Knight, while Virtu Financial offered to buy Knight for at least $1.1 billion.


Apparel retailer Express Inc rose 8.9 percent to $14.15 after it forecast strong earnings for the current quarter as lower prices and easy-to-understand discounts led to robust Black Friday sales.


The S&P retail index <.spxrt> gained 1.4 percent.


Green Mountain Coffee Roasters surged 27.3 percent to $36.86 a day after it forecast quarterly and full-year earnings well ahead of analysts' expectations.


Nearly 6.1 billion shares changed hands on the New York Stock Exchange, the Nasdaq and NYSE MKT, below the daily average so far this year of about 6.48 billion shares.


On the NYSE, roughly seven stocks rose for every three that fell, and on Nasdaq, five issues rose for every three that fell.


(Reporting by Rodrigo Campos; Editing by Jan Paschal)


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