Wednesday, October 30, 2013

Daily News: Reuters News Headlines - Facebook smashes analyst targets but executive comments spook Street

Wednesday, Oct 30, 2013 06:23 PM PDT
Today's Reuters News Headlines - Yahoo! News:

Facebook smashes analyst targets but executive comments spook Street 
Wednesday, Oct 30, 2013 06:23 PM PDT
Mark Zuckerberg during a Facebook press event to introduce 'Home' a Facebook app suite in Menlo ParkBy Alexei Oreskovic SAN FRANCISCO (Reuters) - Facebook Inc posted strong growth in its mobile advertising business on Wednesday but rattled investors after saying that it did not plan to boost the frequency of ads shown to users. In July, Facebook said it was showing one ad per 20 stories in the newsfeed, but Chief Financial Officer David Ebersman told analysts Wednesday that the current ratio, although slightly higher than 5 percent, would not increase much more going forward. Ebersman's comments, combined with remarks suggesting that young teenage users in the U.S. were beginning to use Facebook less frequently, soured the mood abruptly on an afternoon when the company topped Wall Street's targets with a whopping 60 percent increase in revenue, driven by its accelerating mobile business. But Greenfield said he believed investors were over-reacting, noting that increasing advertising prices, rather than the volume of ads, is more important for growth in Facebook's topline.
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Fed maintains strong stimulus as U.S. growth stumbles 
Wednesday, Oct 30, 2013 05:37 PM PDT
The facade of the U.S. Federal Reserve building is reflected on wet marble during the early morning hours in WashingtonBy Pedro da Costa and Alister Bull WASHINGTON (Reuters) - The Federal Reserve extended its support for a soft U.S. economy on Wednesday, sounding a bit less optimistic about growth as it announced plans to keep buying $85 billion in bonds per month. In announcing the decision, the Fed nodded to weaker economic signals that have been due in part to a fiscal fight in Washington that shuttered much of the government for 16 days earlier this month. The central bank noted that the recovery in the housing market had lost some steam and suggested some frustration at how slowly the labor market was healing. However, it also dropped a phrase expressing concern about a run-up in borrowing costs, suggesting greater comfort with the current level of interest rates.
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U.S. F-35 fighter drops first guided bomb against ground target 
Wednesday, Oct 30, 2013 04:16 PM PDT
U.S. Marine Corps F-35B fighter jet drops a laser-guided bomb at Edwards Air Force Base, CaliforniaBy Andrea Shalal-Esa WASHINGTON (Reuters) - The Lockheed Martin Corp F-35 fighter jet dropped a 500-pound bomb this week, hitting a tank at Edwards Air Force Base in California and marking the first time the new warplane has fired a laser-guided weapon, the Pentagon said Wednesday. An F-35 B-model jet released the Guided Bomb Unit-12 (GBU-12) Paveway II bomb from its internal weapons bay while flying at around 25,000 feet, successfully smashing into a tank parked on the ground, the Pentagon's F-35 program office said in a statement. It took 35 seconds to hit the target. "This guided weapons delivery test of a GBU-12 marks the first time the F-35 truly became a weapon system," said Marine Corps Major Richard Rusnok, the pilot who flew the plane during the weapons test Tuesday.
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U.S. spy agency's defense: Europeans did it too 
Wednesday, Oct 30, 2013 04:53 PM PDT
U.S. General Keith Alexander, director of the National Security Agency testifies at a House Intelligence Committee hearing on Capitol Hill in WashingtonBy Tabassum Zakaria and Mark Hosenball WASHINGTON (Reuters) - The political uproar over alleged U.S. eavesdropping on close European allies has produced an unusual defense from the National Security Agency: NSA says it was the Europeans themselves who did the spying, and then handed data to the Americans. It is rare for intelligence officials to speak in any public detail about liaison arrangements with foreign spy agencies because such relationships are so sensitive. But that is what NSA Director General Keith Alexander did at a public congressional hearing on Tuesday when, attempting to counter international complaints about the agency's alleged excesses, he said its sources for foreign telecommunications information included "data provided to NSA by foreign partners." Alexander's disclosure marked yet another milestone in NSA's emergence from the shadows to defend its electronic surveillance mission in the wake of damaging revelations by former agency contractor Edward Snowden. "It is true that in general we stay close-mouthed about intelligence liaison relationships and we only speak in the most general terms about sharing things with our friends and allies," said Paul Pillar, a former senior CIA analyst.
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White House faces tough sell in Congress on delay of Iran sanctions 
Wednesday, Oct 30, 2013 04:10 PM PDT
Senator Bob Corker (R-TN) speaks to reporters during the 14th day of the partial government shutBy Patricia Zengerle WASHINGTON (Reuters) - Top Obama administration officials have been pushing U.S. lawmakers hard to hold off on new sanctions over Iran's nuclear program, but some key lawmakers said on Wednesday they had not yet been convinced to support a delay. Senator Bob Corker, the top Republican on the Senate Foreign Relations Committee and a member of the Senate Banking Committee, which is considering the sanctions package, said lawmakers were skeptical because they felt they had to push the White House to back strict sanctions on Tehran. "I think ... because Congress had to push the administration into the sanctions regime in the first place, there is a degree of skepticism. Corker had a breakfast meeting on Wednesday with Secretary of State John Kerry.
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Uighur leader questions China's account of Tiananmen attack 
Wednesday, Oct 30, 2013 05:12 PM PDT
Uighur leader Kadeer delivers a speech at the fourth General Assembly of the World Uighur Congress in TokyoBy Paul Eckert WASHINGTON (Reuters) - The exiled leader of China's Uighur ethnic minority community called on Wednesday for an international investigation into an incident in which a car ploughed into pedestrians in Beijing, after Chinese authorities arrested five suspected Uighurs over the attack. The SUV vehicle burst into flames after being driven into a crowd on Tiananmen Square on Monday. Rebiya Kadeer, president of the Munich-based World Uighur Congress, called the attack tragic but was equivocal on whether Uighurs - a Muslim people from China's far western region of Xinjiang - had carried it out. Kadeer, who lives in the Washington area, warned against accepting at face value China's account of the incident.
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U.S. joins lawsuit against firm that vetted Snowden 
Wednesday, Oct 30, 2013 01:01 PM PDT
A demonstrator wears T-shirt depicting former U.S. spy agency contractor Snowden at "Stop Watching Us: A Rally Against Mass Surveillance" in WashingtonBy Aruna Viswanatha and David Ingram WASHINGTON (Reuters) - The U.S. Justice Department said on Wednesday it had joined a lawsuit filed by a whistleblower against United States Investigations Services, the private firm that vetted Edward Snowden before he leaked documents about U.S. spying efforts. While the lawsuit is not about the firm's review of Snowden, it alleges that USIS failed to perform quality control reviews in connection with its background investigations. The firm also vetted Aaron Alexis, the technology contractor who killed 12 people at the Washington Navy Yard last month. Such background checks include investigative fieldwork on each application.
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U.S. spy agency denies that it eavesdropped on Vatican 
Wednesday, Oct 30, 2013 03:34 PM PDT
A view of St Peter's Square as Pope Francis celebrates a mass in the VaticanWASHINGTON/VATICAN CITY (Reuters) - The National Security Agency, responsible for U.S. electronic eavesdropping, said on Wednesday that it does not target the Vatican and called an Italian media report that it had done so "not true." Panorama magazine said on Wednesday that the NSA had eavesdropped on Vatican phone calls, possibly including when former Pope Benedict's successor was under discussion. "The National Security Agency does not target the Vatican. Assertions that NSA has targeted the Vatican, published in Italy's Panorama magazine, are not true," NSA spokeswoman Vanee Vines said in a statement.
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Israel pushes plans for 3,500 settler homes after prisoners freed 
Wednesday, Oct 30, 2013 05:05 PM PDT
Released Palestinian prisoner Moayyad Hajji, 46, who was arrested in 1992, hugs his sister upon his arrival at his family's house in the West Bank village of Burqa near NablusBy Mohammed Abu Ganeyeh BETHLEHEM, West Bank (Reuters) - Israeli Prime Minister Benjamin Netanyahu ordered officials on Wednesday to press ahead with plans to build 3,500 more homes for Jewish settlers, hours after Israel freed 26 Palestinian prisoners as part of U.S.-brokered peace efforts. Netanyahu's step was seen as a way to placate hardliners who criticized him as the inmates, convicted of killing Israelis, basked in a heroes' welcome from hundreds of relatives and well-wishers in the occupied West Bank and the Gaza Strip. Israel's Interior Ministry announced earlier in the day that the 1,500 units would be built in Ramat Shlomo, a settlement in an area of the occupied West Bank that Israel considers part of Jerusalem. Those plans were first announced in 2010, clouding a visit to Israel at the time by U.S. Vice President Joe Biden, who condemned the project, which was subsequently shelved.
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JP Morgan puts London FX chief on leave, Citi reported to do same 
Wednesday, Oct 30, 2013 04:05 PM PDT
Workers are reflected in the windows of the Canary Wharf offices of JP Morgan in LondonJP Morgan has put its chief currency dealer in London, Richard Usher, on leave, a source familiar with the matter said on Wednesday, and Bloomberg reported Citigroup Inc had done the same with its chief dealer. This mirrors developments at Standard Chartered, which has also put one of its senior forex traders on leave, according to a source familiar with the matter. Matt Gardiner joined StanChart from Swiss bank UBS only last month. JP Morgan is one of several banks cooperating with the Financial Conduct Authority in Britain and other regulators around the world looking into allegations of currency manipulation in the $5.3 trillion-a-day global market.
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Facebook smashes analyst targets but executive comments spook Street 
Wednesday, Oct 30, 2013 04:53 PM PDT
Mark Zuckerberg during a Facebook press event to introduce 'Home' a Facebook app suite in Menlo ParkBy Alexei Oreskovic SAN FRANCISCO (Reuters) - Facebook Inc posted strong growth in its mobile advertising business on Wednesday but rattled investors after saying that it did not plan to boost the frequency of ads shown to users. In July, Facebook said it was showing one ad per 20 stories in the newsfeed, but Chief Financial Officer David Ebersman told analysts Wednesday that the current ratio, although slightly higher than 5 percent, would not increase much more going forward. Ebersman's comments, combined with remarks suggesting that young teenage users in the U.S. were beginning to use Facebook less frequently, soured the mood abruptly on an afternoon when the company topped Wall Street's targets with a whopping 60 percent increase in revenue, driven by its accelerating mobile business. But Greenfield said he believed investors were over-reacting, noting that increasing advertising prices, rather than the volume of ads, is more important for growth in Facebook's topline.
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Fed maintains strong stimulus as U.S. growth stumbles 
Wednesday, Oct 30, 2013 02:16 PM PDT
The facade of the U.S. Federal Reserve building is reflected on wet marble during the early morning hours in WashingtonBy Pedro da Costa and Alister Bull WASHINGTON (Reuters) - The Federal Reserve extended its support for a soft U.S. economy on Wednesday, sounding a bit less optimistic about growth as it announced plans to keep buying $85 billion in bonds per month. In announcing the decision, the Fed nodded to weaker economic signals that have been due in part to a fiscal fight in Washington that shuttered much of the government for 16 days earlier this month. The central bank noted that the recovery in the housing market had lost some steam and suggested some frustration at how slowly the labor market was healing. However, it also dropped a phrase expressing concern about a run-up in borrowing costs, suggesting greater comfort with the current level of interest rates.
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Iraqi PM Maliki struggles to convince U.S. lawmakers to back more aid 
Wednesday, Oct 30, 2013 02:38 PM PDT
Iraqi Prime Minister Nuri al-Maliki places a wreath at the Mahatma Gandhi memorial at Rajghat in New DelhiBy Patricia Zengerle and Lesley Wroughton WASHINGTON (Reuters) - U.S. lawmakers had tough criticism for Iraq's government after meeting with Prime Minister Nuri al-Maliki on Wednesday, saying they were open to meeting his request for military assistance only if Baghdad made significant changes. Maliki is on his first visit to Washington in two years, urgently seeking U.S. Apache attack helicopters and other military supplies to fight militant groups such as al Qaeda in Iraq as sectarian violence spills over the border from Syria. But U.S. officials, particularly members of Congress who take a harder line on many foreign policy issues than the Obama administration, have watched in dismay as Maliki has ignored Washington's calls to give Iraq's Sunni and Kurdish minorities a greater role in his Shi'ite-led government, and moved closer to Iran since U.S. troops left Iraq two years ago.
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Israel pushes plans for 3,500 settler homes after prisoners freed 
Wednesday, Oct 30, 2013 03:36 PM PDT
Released Palestinian prisoner Moayyad Hajji, 46, who was arrested in 1992, hugs his sister upon his arrival at his family's house in the West Bank village of Burqa near NablusBy Mohammed Abu Ganeyeh BETHLEHEM, West Bank (Reuters) - Israeli Prime Minister Benjamin Netanyahu ordered officials on Wednesday to press ahead with plans to build 3,500 more homes for Jewish settlers, hours after Israel freed 26 Palestinian prisoners as part of U.S.-brokered peace efforts. Netanyahu's step was seen as a way to placate hardliners who criticized him as the inmates, convicted of killing Israelis, basked in a heroes' welcome from hundreds of relatives and well-wishers in the occupied West Bank and the Gaza Strip. Israel's Interior Ministry announced earlier in the day that the 1,500 units would be built in Ramat Shlomo, a settlement in an area of the occupied West Bank that Israel considers part of Jerusalem. Those plans were first announced in 2010, clouding a visit to Israel at the time by U.S. Vice President Joe Biden, who condemned the project, which was subsequently shelved.
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Obama blames 'bad apple' insurers for canceled coverage 
Wednesday, Oct 30, 2013 04:43 PM PDT
U.S. Secretary of Health and Human Services Sebelius is sworn in to testify before a House Energy and Commerce Committee hearing about issues and complications with the Affordable Care Act enrollment website, on Capitol HillBy Roberta Rampton and David Morgan BOSTON/WASHINGTON (Reuters) - President Barack Obama said on Wednesday that "bad apple" insurance companies, not his signature healthcare law, are to blame for hundreds of thousands of people losing their coverage in the past few weeks. As administration officials scrambled to fix technical problems on an online insurance marketplace that is central to the success of the Affordable Care Act, Obama blamed private insurers for a separate problem that has critics questioning his honesty. But the termination of individual policies has given his Republican opponents additional ammunition to criticize the program they have tried to stop since its inception in Obama's first term. Republicans' assertion that Obama had broken a major promise to the electorate is potentially more damaging than the glitch-ridden website rollout on October 1.
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Exclusive: Syria peace talks face delay as big powers split 
Wednesday, Oct 30, 2013 10:27 AM PDT
United Nations Envoy Lakhdar Brahimi returns to a hotel after meeting Syria's President Bashar al-Assad in DamascusBy Khaled Yacoub Oweis AMMAN (Reuters) - International powers are unlikely to meet their goal of convening peace talks on Syria in Geneva next month as differences emerge between Washington and Moscow over opposition representation, Arab and Western officials said. Failure of the main Syrian National Coalition to take a clear stance over the talks, which aim to find a political solution to Syria's 2-1/2 year civil war, are also expected to contribute to a delay of up to one month, the officials told Reuters. "A clearer picture will emerge when the United States and Russia meet next week, but all indications show that the November 23 goal will be difficult to meet," said one of the officials involved in preparing for the talks. U.S., Russian and U.N envoys are due to meet in Geneva next Tuesday as part of the preparation for the long-delayed peace conference, which was first proposed back in May. A main point of contention, the official said, is the role of the Western-backed opposition coalition - an issue which has flared up since a meeting in London last week of Western and Gulf Arab countries opposed to Assad.
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Trial of Kenyan president likely to be delayed until next year 
Wednesday, Oct 30, 2013 11:39 AM PDT
Kenya's President Kenyatta, accompanied by his wife Margaret, attends Mashujaa Day at the Nyayo National Stadium in capital NairobiThe trial of Kenyan President Uhuru Kenyatta on charges of crimes against humanity is unlikely to start next month as planned, after prosecutors said on Tuesday they did not object to a delay. Fellow African leaders have urged Kenyatta not to attend the International Criminal Court in The Hague, which they accuse of unfairly targeting Africans and of violating Kenyan sovereignty. His deputy William Ruto, a former political rival, faces similar charges.
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China says five detained in connection with Tiananmen attack 
Wednesday, Oct 30, 2013 09:37 AM PDT
By Megha Rajagopalan and Michael Martina BEIJING/TURPAN, China (Reuters) - China said on Wednesday it had caught five suspected Islamist militants after a vehicle burst into flames on Beijing's Tiananmen Square in what police called a terrorist attack. Authorities also moved to tighten security in the restive far western, energy-rich region of Xinjiang, where the suspects are from. The Xinjiang-registered SUV involved in Monday's incident in which five people were killed was driven by Usmen Hasan, police said, a man whose name suggested he is an ethnic Uighur, a Muslim people from Xinjiang. "Police have identified Monday's incident at Tiananmen Square as a violent terrorist attack which was carefully planned, organized and premeditated," police said, adding the three people in the vehicle died after they set the gasoline on fire.
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U.S. private hiring slows, inflation stays muted 
Wednesday, Oct 30, 2013 12:13 PM PDT
Man holds a pamphlet handed out by a recruiter while attending a job fair in New YorkThe slowdown in private job growth was the latest signal that the labor market has taken a step back in recent months and the clearest indication yet that a 16-day federal government shutdown weighed on economic activity. FED TO STAY THE COURSE FOR A WHILE The weak labor market picture and benign inflation environment should allow the Fed to stay the course on its monthly bond purchases for a while as it tries to stimulate the economy through low interest rates.
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U.S. security agency denies reports it targeted Vatican 
Wednesday, Oct 30, 2013 01:47 PM PDT
A view of St Peter's Square as Pope Francis celebrates a mass in the VaticanThe National Security Agency, responsible for U.S. electronic eavesdropping, said on Wednesday that it does not target the Vatican, and called an Italian media report that it had done so "not true." "The National Security Agency does not target the Vatican. Assertions that NSA has targeted the Vatican, published in Italy's Panorama magazine, are not true," agency spokeswoman Vanee Vines said in a statement. Panorama magazine said on Wednesday that the NSA had eavesdropped on Vatican phone calls, possibly including when former Pope Benedict's successor was under discussion.
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Suicide bomber attacks Tunisian resort town 
Wednesday, Oct 30, 2013 09:57 AM PDT
The corpse of a suicide bomber, who blew himself up, lies on a beach near the tourist resort of SousseBy Tarek Amara TUNIS (Reuters) - A suicide bomber blew himself up in the Tunisian tourist resort of Sousse on Wednesday, the first such assault in more than a decade in a country now battling Islamist militants boosted by chaos in neighboring Libya. Police foiled another attack when they arrested a would-be suicide bomber at former President Habib Bourguiba's tomb in the seaside town of Monastir, and detained five other people in Sousse thought to be plotting assaults, security sources said. No group has claimed responsibility for the attacks, but the Islamist-led government said all the arrested men had admitted to being members of the militant Ansar al-Sharia movement, which it says is linked to al Qaeda's North Africa affiliate. "The two suicide bombers are radical Islamist jihadists.
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Murdoch editors must have known of phone hacking, court hears 
Wednesday, Oct 30, 2013 04:38 PM PDT
By Michael Holden and Kate Holton LONDON (Reuters) - Rebekah Brooks, a former top editor, and Andy Coulson, Prime Minister David Cameron's ex-media chief, oversaw a system of phone-hacking and illegal payments when they ran Rupert Murdoch's British tabloids, a London court heard at the start of their trial on Wednesday. Setting out the prosecution case, Andrew Edis said Brooks was linked to both phone-hacking that ruined the tabloid News of the World and the practice of paying public officials for stories at its sister newspaper, the Sun. Brooks, 45, later ran Murdoch's British newspaper division from 2009 to 2011.
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Egyptian students protest after Brotherhood leader arrested 
Wednesday, Oct 30, 2013 02:14 PM PDT
By Hadeel Al Shalchi CAIRO (Reuters) - Egyptian police fired teargas at protesting students at Cairo's al-Azhar university on Wednesday hours after authorities announced the detention of Muslim Brotherhood leader Essam El-Erian, part of a crackdown against the Islamist movement. Erian, deputy leader of the Brotherhood's Freedom and Justice party, was taken into custody from a residence in New Cairo, a suburb on the outskirts of the capital, where he had been in hiding, an interior ministry source told Reuters. Down, down with the lord of the army," one protester scribbled, referring to army chief General Abdel Fattah al-Sisi, who led the overthrow of Islamist President Mohamed Mursi in July. If you see anyone just arrest them right away." Over 20 students were arrested, according to two security sources.
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France denies paying ransom as Sahel hostages return 
Wednesday, Oct 30, 2013 06:39 AM PDT
By Abdoulaye Massalatchi and Nicholas Vinocur NIAMEY/PARIS (Reuters) - Four Frenchmen held hostage in the Sahara desert by al Qaeda-linked gunmen for three years flew home and were reunited with their families on Wednesday, with Paris dismissing media reports it had paid a ransom for their release. The men, kidnapped in 2010 while working for French nuclear group Areva and a subsidiary of construction group Vinci in northern Niger, were freed on Tuesday after secret negotiations conducted by the government of Niger. It was difficult, the ordeal of a lifetime," said Thierry Dol, one of the freed men before leaving. Gaunt and bearded, but said to be in good health, the men embraced their families on the runway of a military airport near Paris where President Francois Hollande was waiting.
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Assad tells U.N. envoy peace talks can succeed only if aid to rebels stops 
Wednesday, Oct 30, 2013 05:47 AM PDT
United Nations Envoy Lakhdar Brahimi returns to a hotel after meeting Syria's President Bashar al-Assad in DamascusPresident Bashar al-Assad told U.N. envoy Lakhdar Brahimi on Wednesday that talks to end Syria's civil war would only succeed if foreign powers ended support for rebels fighting to overthrow him. Brahimi is in Damascus to met Syrian officials in an effort to shore up support for the faltering peace talks. State television quoted Assad as telling Brahimi, "the success of any political solution is tied to stopping support for terrorist groups and pressuring their patron states". Assad's government calls the armed opposition terrorists.
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Israel frees Palestinian prisoners, pushes settlement plan 
Wednesday, Oct 30, 2013 05:55 AM PDT
By Mohammed Abu Ganeyeh BETHLEHEM, West Bank (Reuters) - Israel freed 26 Palestinian prisoners on Wednesday as part of U.S.-brokered peace efforts, but said it was pressing on with plans to build more homes for Jewish settlers, in an apparent move to appease hardliners. The inmates, who were convicted of killing Israelis, basked in a heroes' welcome from hundreds of relatives and well-wishers in the occupied West Bank and the Gaza Strip. "Our heroes are coming home, long live the prisoners," crowds chanted outside the office of Palestinian President Mahmoud Abbas in the West Bank city of Ramallah. Issa Abed Rabbo, convicted of murdering two Israeli hikers in 1984, was carried through the alleys of the Biblical town of Bethlehem on the shoulders of cheering Palestinians as fireworks went off and patriotic songs blared.
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U.S. consumer prices rise, but underlying inflation benign 
Wednesday, Oct 30, 2013 05:32 AM PDT
A woman shops with her daughter at a Walmart Supercenter in RogersU.S. consumer prices rose modestly in September but there was little sign of underlying inflation in the economy, which should give the Federal Reserve scope to maintain its monthly bond purchases. The Labor Department said on Wednesday its Consumer Price Index increased 0.2 percent last month as energy prices rebounded, after edging up 0.1 percent in August. In the 12 months through September, the CPI increased 1.2 percent, the smallest gain since April. Economists polled by Reuters had expected consumer prices to rise 0.2 percent last month and increase 1.2 percent from a year ago.
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China to step up own security after new NSA allegations 
Wednesday, Oct 30, 2013 01:47 AM PDT
A Chinese paramilitary police officer stands guard at the entrance of the U.S. Embassy in Beijing, China, Sunday, April 29, 2012. Chen Guangcheng, a blind legal activist who escaped house arrest in his rural Chinese village, is under the protection of American officials, activists said Saturday, creating a diplomatic dilemma for the U.S. and China days ahead of a visit by Secretary of State Hillary Rodham Clinton. (AP Photo/ Vincent Thian)BEIJING (Reuters) - China will step up its security following allegations that the U.S. National Security Agency (NSA) collected data on millions of phone calls in Europe and snooped on leaders of major U.S. allies, the government said on Wednesday. "Like many other countries, we have been paying close attention to these reports," Chinese Foreign Ministry spokeswoman Hua Chunying told a daily news briefing. "China is concerned about the continued revelations of eavesdropping and surveillance and is paying attention to how the situation develops," she added. ...
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Germany's Merkel sends top foreign adviser to press U.S. over spying 
Wednesday, Oct 30, 2013 04:03 AM PDT
Mobile phone simulating call to German Chancellor Merkel and computer with a series of numbers is seen in picture illustration taken in FrankfurtAngela Merkel's top foreign affairs and intelligence advisers will quiz officials in Washington on Wednesday over the activities of U.S. spies in Germany, including allegations they tapped the German chancellor's phone. The visit is one of a series of trips by high-ranking German and European Union officials to the United States this week after revelations of the scale of the surveillance triggered outrage and shattered European trust in Washington. Merkel wants the United States to agree a "no spying" deal with Berlin and Paris by the end of the year and to stop alleged espionage against two of Washington's closest EU allies. "I can confirm that the two top aides from the chancellery are in Washington for talks today," said her spokesman Steffen Seibert.
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Afghans to visit Pakistan for talks with ex-Taliban chief 
Wednesday, Oct 30, 2013 12:52 AM PDT
Afghan policemen search a car at a check point in KabulKABUL (Reuters) - Senior Afghan officials will travel to Pakistan soon to speak to former Taliban No.2 leader Mullah Abdul Ghani Baradar following a breakthrough in negotiations during a London summit, the Afghan presidential palace said on Wednesday. Baradar is a long-time friend of reclusive Taliban leader Mullah Mohammad Omar and is seen by some in Afghanistan as the key to restarting peace talks. British Prime Minister David Cameron is hosting Afghan President Hamid Karzai and Pakistani Prime Minister Nawaz Sharif in London this week for talks on the stalled peace process. ...
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Syria's Assad says peace talks tied to ending aid to 'terrorists' 
Wednesday, Oct 30, 2013 05:13 AM PDT
Syria's President Bashar al-Assad speaks during an interview with al-Mayadin television station,in DamascusBEIRUT (Reuters) - Syrian President Bashar al-Assad, who met with United Nations envoy Lakhdar Brahimi on Wednesday, said the success of peace talks was tied to "stopping support for terrorist groups." He was quoted on state television as saying "the success of any political solution is tied to stopping support for terrorist groups and pressuring their patron states". It was not clear if he was speaking to Brahimi. (Reporting by Oliver Holmes and Stephen Kalin; editing by Mike Collett-White)
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Tepco shouldn't be in charge of Fukushima shutdown: Japan panel 
Wednesday, Oct 30, 2013 01:30 AM PDT
Japan's PM is briefed about tanks containing radioactive water by Fukushima Daiichi nuclear power plant chief Ono during his inspection tour to the TEPCO's tsunami-crippled Fukushima Daiichi nuclear power plant in OkumaBy Takaya Yamaguchi and Kentaro Hamada TOKYO (Reuters) - Tokyo Electric Power Co should be stripped of the responsibility for shutting down its crippled Fukushima nuclear power plant, according to a draft proposal by a panel of Japan's ruling party. Tokyo Electric, or Tepco, has been widely criticized for repeated missteps, poor planning and a lack of disclosure in its efforts to clear up the site of the worst nuclear disaster since Chernobyl in 1986. ...
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Insight: Yellen feared housing bust but did not raise public alarm 
Tuesday, Oct 29, 2013 10:10 PM PDT
File photo of Federal Reserve Bank of San Francisco President Yellen arriving at the Jackson Hole Economic Symposium in WyomingBy Marilyn W. Thompson, Ann Saphir and Alister Bull (Reuters) - When Janet Yellen became president of the Federal Reserve Bank of San Francisco in June 2004, a massive real estate bubble was building in the vast nine-state area that it oversees. Her staff alerted her that banks were overinvesting in speculative commercial real estate at a time when housing prices in the region were ballooning. But as chief regulator in the Federal Reserve's largest district, Yellen conveyed two starkly different messages. ...
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Insight: Starvation in Syria: a war tactic 
Wednesday, Oct 30, 2013 01:27 AM PDT
A boy makes bread in Duma neighbourhood, in Damascus(This story was reported by a visiting journalist whose name has been withheld for security reasons) DAMASCUS (Reuters) - One Syrian security official called it the "Starvation Until Submission Campaign", blocking food and medicine from entering and people from leaving besieged areas of Syria. Forces loyal to President Bashar al-Assad have used partial sieges to root out rebel forces from residential areas during the civil war. But a recent tightening of blockades around areas near the capital is causing starvation and death, residents and medical staff say. ...
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Exclusive: Merck works toward bringing Zilmax back to U.S., Canada 
Wednesday, Oct 30, 2013 10:45 AM PDT
A view of the Merck & Co. campus in Linden, New JerseyBy P.J. Huffstutter CHICAGO (Reuters) - U.S. drugmaker Merck & Co plans to resume sales of the controversial Zilmax animal feed additive in the United States and Canada after it completes an audit of how the product is used, a spokeswoman said on Tuesday. Merck halted sales of the muscle-building drug in August after Tyson Foods Inc. said it would stop accepting Zilmax-fed beef given some cattle were observed arriving for slaughter with signs they were having difficulty walking or moving. Merck has said it stands behind the safety of its product, but the pause added to global concerns over its use. On Tuesday, a spokeswoman for Merck's Animal Health unit said that while "it is too early to speculate on when we will resume sales for Zilmax in the U.S. and Canada," Merck was pushing forward with its quality control program to ensure the drug was being properly used.
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