BlackBerry Z10 compared to iPhone 5 on camera [video]






Alongside BGR’s own extensive BlackBerry 10 walkthrough, Austrian website Telekom Presse has uploaded another video comparing Research in Motion’s (RIMM) not-so-secret BlackBerry Z10 smartphone to the iPhone 5. The company’s upcoming BlackBerry 10 operating system seems to be a mix between iOS and Android, while adding some unique features. The video showcases the BlackBerry voice assistant app, multitasking and app switching, the app drawer, and the device’s business and home profiles.


[More from BGR: BlackBerry 10 OS walkthrough, BlackBerry Z10 pricing]






Despite the fact that the handset is still running beta software it appears to be exceptionally fast, even besting the iPhone 5 in some scenarios.


[More from BGR: Rumored Xbox 720 specs: 8-core processor, 8GB of RAM, 800MHz GPU]


The BlackBerry Z10 smartphone is said to be equipped with a 4.2-inch HD display, 16GB of internal storage, an 8-megapixel rear camera, 2GB of RAM, NFC, 4G LTE and an 1,800 mAh battery.


RIM will unveil the device along with a second BlackBerry 10 phone at a press conference on January 30th. The BlackBerry Z10, iPhone 5 comparison video follows below.


This article was originally published on BGR.com


Gadgets News Headlines – Yahoo! News





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Vera Wang Reveals Details of Michelle Kwan's Wedding Dress















01/21/2013 at 07:00 PM EST







Michelle Kwan and Clay Pell


Courtesy of Caitlin Maloney


Although she was a singles figure skater throughout her successful career, Michelle Kwan did have one steadfast partner on the ice – fashion designer Vera Wang.

"I wore so many skating dresses designed by her, whole skating shows and everything," Kwan, 32, tells PEOPLE. "I have a long relationship with her."

And that made picking a wedding dress designer a fairly easy decision.

For Kwan's Rhode Island nuptials on Jan. 19 to Clay Pell, 31, Wang put plenty of consideration into her creation.

"She is marrying someone whose family has a political history, and Michelle is living and working in Washington, D.C.," the designer says. "[The dress] had to have a certain dignity and a certain classicism, and I think it was a lot about a new way of looking at tradition."

So Wang created an ivory, strapless mermaid gown for Kwan, made with layers of silk organza and featuring lace appliqué.

"The fact that it's got an inordinate amount of handwork in terms of lace is really a tribute to the art of hand-piecing lace," Wang says. "There is a princess-slash-queenly level of sophistication and quiet without sacrificing a lot of detail."

To complement the formal wedding gown, Kwan asked Wang what she thought of designing a second dress for the reception. "She said, 'Yeah, I got it,' " Kwan says. "She said, 'First dance, yes, and then you've got to change into something else.' "

Her history with the skater was not lost on Wang. "I'm really very honored and very thrilled that a, Michelle has found the love of her life and b, that I am the one to dress her for that special day just as I did for world championships, national championships, and Olympics," she said. "It's just the ongoing saga of our friendship."

For more on Kwan's wedding, including photos and details from the ceremony, pick up a copy of next week's PEOPLE, on newsstands Friday

Read More..

Flu season fuels debate over paid sick time laws


NEW YORK (AP) — Sniffling, groggy and afraid she had caught the flu, Diana Zavala dragged herself in to work anyway for a day she felt she couldn't afford to miss.


A school speech therapist who works as an independent contractor, she doesn't have paid sick days. So the mother of two reported to work and hoped for the best — and was aching, shivering and coughing by the end of the day. She stayed home the next day, then loaded up on medicine and returned to work.


"It's a balancing act" between physical health and financial well-being, she said.


An unusually early and vigorous flu season is drawing attention to a cause that has scored victories but also hit roadblocks in recent years: mandatory paid sick leave for a third of civilian workers — more than 40 million people — who don't have it.


Supporters and opponents are particularly watching New York City, where lawmakers are weighing a sick leave proposal amid a competitive mayoral race.


Pointing to a flu outbreak that the governor has called a public health emergency, dozens of doctors, nurses, lawmakers and activists — some in surgical masks — rallied Friday on the City Hall steps to call for passage of the measure, which has awaited a City Council vote for nearly three years. Two likely mayoral contenders have also pressed the point.


The flu spike is making people more aware of the argument for sick pay, said Ellen Bravo, executive director of Family Values at Work, which promotes paid sick time initiatives around the country. "There's people who say, 'OK, I get it — you don't want your server coughing on your food,'" she said.


Advocates have cast paid sick time as both a workforce issue akin to parental leave and "living wage" laws, and a public health priority.


But to some business owners, paid sick leave is an impractical and unfair burden for small operations. Critics also say the timing is bad, given the choppy economy and the hardships inflicted by Superstorm Sandy.


Michael Sinensky, an owner of seven bars and restaurants around the city, was against the sick time proposal before Sandy. And after the storm shut down four of his restaurants for days or weeks, costing hundreds of thousands of dollars that his insurers have yet to pay, "we're in survival mode."


"We're at the point, right now, where we cannot afford additional social initiatives," said Sinensky, whose roughly 500 employees switch shifts if they can't work, an arrangement that some restaurateurs say benefits workers because paid sick time wouldn't include tips.


Employees without sick days are more likely to go to work with a contagious illness, send an ill child to school or day care and use hospital emergency rooms for care, according to a 2010 survey by the University of Chicago's National Opinion Research Center. A 2011 study in the American Journal of Public Health estimated that a lack of sick time helped spread 5 million cases of flu-like illness during the 2009 swine flu outbreak.


To be sure, many employees entitled to sick time go to work ill anyway, out of dedication or at least a desire to project it. But the work-through-it ethic is shifting somewhat amid growing awareness about spreading sickness.


"Right now, where companies' incentives lie is butting right up against this concern over people coming into the workplace, infecting others and bringing productivity of a whole company down," said John A. Challenger, CEO of employer consulting firm Challenger, Gray & Christmas.


Paid sick day requirements are often popular in polls, but only four places have them: San Francisco, Seattle, Washington, D.C., and the state of Connecticut. The specific provisions vary.


Milwaukee voters approved a sick time requirement in 2008, but the state Legislature passed a law blocking it. Philadelphia's mayor vetoed a sick leave measure in 2011; lawmakers have since instituted a sick time requirement for businesses with city contracts. Voters rejected a paid sick day measure in Denver in 2011.


In New York, City Councilwoman Gale Brewer's proposal would require up to five paid sick days a year at businesses with at least five employees. It wouldn't include independent contractors, such as Zavala, who supports the idea nonetheless.


The idea boasts such supporters as feminist Gloria Steinem and "Sex and the City" actress Cynthia Nixon, as well as a majority of City Council members and a coalition of unions, women's groups and public health advocates. But it also faces influential opponents, including business groups, Mayor Michael Bloomberg and City Council Speaker Christine Quinn, who has virtually complete control over what matters come to a vote.


Quinn, who is expected to run for mayor, said she considers paid sick leave a worthy goal but doesn't think it would be wise to implement it in a sluggish economy. Two of her likely opponents, Public Advocate Bill de Blasio and Comptroller John Liu, have reiterated calls for paid sick leave in light of the flu season.


While the debate plays out, Emilio Palaguachi is recovering from the flu and looking for a job. The father of four was abruptly fired without explanation earlier this month from his job at a deli after taking a day off to go to a doctor, he said. His former employer couldn't be reached by telephone.


"I needed work," Palaguachi said after Friday's City Hall rally, but "I needed to see the doctor because I'm sick."


___


Associated Press writer Susan Haigh in Hartford, Conn., contributed to this report.


___


Follow Jennifer Peltz at http://twitter.com/jennpeltz


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Asian shares retreat from highs, yen volatile before BOJ

TOKYO (Reuters) - Asian shares pulled back from multimonth highs on Monday, while the yen firmed after touching a new low in choppy trade ahead of a Bank of Japan policy decision that is expected to deliver bold monetary easing measures.


The MSCI's broadest index of Asia-Pacific shares outside Japan <.miapj0000pus> edged down 0.2 percent despite pockets of strength in Australia, Hong Kong and Shanghai. The index briefly renewed a 17-1/2-month high touched on Friday following a rebound in global equities late last week on upbeat U.S. and Chinese data, as well as signs of progress in U.S. budget talks.


The Dow Jones industrial average <.dji> and the Standard & Poor's 500 Index <.spx> ended Friday at five-year highs on a solid start to the quarterly earnings season. U.S. markets are closed on Monday for the Martin Luther King Jr. holiday.


"Asian markets are mixed with no dominant theme in place in a fairly quiet start to the week," said Stan Shamu, market analyst at IG Markets. "There hasn't been any economic data to go by in the region and therefore we've had to rely on leads from the weekend for some direction."


Australian shares <.axjo> inched up 0.1 percent to a 20-month high and Hong Kong shares <.hsi> hit a fresh 19-1/2-month peak, but underperformance in smaller bourses, such as a 2.3 percent slump in Malaysian shares <.klse>, dragged the pan-Asian index. A stronger local currency hurt exporters and weighed on South Korean shares <.ks11>.


European markets are seen tracking Friday's U.S. markets higher, with financial spread-betters predicting London's FTSE 100 <.ftse>, Paris's CAC-40 <.fchi> and Frankfurt's DAX <.gdaxi> would open up as much as 0.4 percent. <.l><.eu/>


The BOJ's two-day policy meeting which concludes on Tuesday drew the attention of traders from several markets, with the South Korean won's gains against the yen pulling the exporter-heavy Kospi stock index <.ks11> down 0.1 percent, while gold rose 0.4 percent on expectations for aggressive BOJ easing.


Under growing political pressure to pursue bolder measures to beat deflation, speculation over the BOJ's options ranged from an open-ended commitment to buy assets until a 2 percent inflation target is achieved to simply boosting its asset buying schemes.


"There is attention on the Bank of Japan, which is really being pressured to embark on some very precious metals-friendly policy," said a Hong Kong-based trader. Tokyo's benchmark gold matched a record of 4,911 yen a gram on Monday.


Early on Monday, the dollar touched a fresh 2-1/2-year high of 90.25 yen, and the euro rose to a high of 120.27 yen, near its peak since May 2011 of 120.73 hit on Friday.


But the yen clawed back some of its losses against the dollar and the euro as traders locked in gains ahead of the outcome of the BOJ meeting. The dollar slipped back to a low of 89.42 yen and was last trading at 89.57 yen, while the euro also fell to a low of 119.08 and last traded at 119.27 yen.


"Profit taking pushed the dollar and the euro down against the yen but short covering lifted them off their lows. Trading is thin and quite volatile. I don't think there will be any clear direction until the BOJ decision," said Yuji Saito, director of foreign exchange at Credit Agricole in Tokyo.


Saito said "sell the fact" behavior could push the dollar down about 1 yen, but a serious disappointment on the BoJ outcome was unlikely.


Tokyo's benchmark Nikkei average <.n225> tumbled 1.5 percent as investors booked profits from the Nikkei's 2.9 percent rally on Friday, its biggest daily gain in 22 months. The Nikkei posted a 10th straight week of gains, its longest since 1987. <.t/>


Many investors largely keep short position on the yen.


"We expect the door for further easing will likely be left open irrespective of the outcome of BoJ policy meeting, either explicitly by the BOJ or implicitly through government's plan to nominate doves to replace the governor and deputy governors," Barclays Capital said in a note to clients.


Friday's data showed while currency speculators slightly cut their bets against the yen in the week to January 15, they remained overwhelmingly negative on the currency.



Asia hedge funds 2012: http://r.reuters.com/jyr35t


China GDP: http://link.reuters.com/zeq95s


Algeria's attack site: http://link.reuters.com/myn35t


Gold/USD correlation: http://r.reuters.com/ryx52s


^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>


Oil prices took their cues from a weak consumer sentiment report in the United States, which showed a drop to the lowest in a year in January as a result of the uncertainty surrounding the country's debt crisis.


Concerns about demand overshadowed supply disruption fears, reinforced by the Islamist militant attack and hostage-taking at a gas plant in Algeria, a member of the Organization of Petroleum Exporting Countries.


U.S. crude futures fell 0.5 percent to $95.08 a barrel while Brent fell 0.3 percent to $111.55 early on Monday.


(Additional reporting by Ian Chua and Thuy Ong in Sydney and Rujun Shen in Singapore; Editing by Shri Navaratnam)



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Center-Left Defeats Merkel’s Party in State Vote





BERLIN — Chancellor Angela Merkel’s main rivals pulled off an upset in a regional election, eking out a one-seat majority that will usher the opposition Social Democrats into power in the state of Lower Saxony, months ahead of balloting for the national Parliament.




Preliminary results released on Monday showed the center-left bloc of the Social Democrats and the Greens securing a one-seat majority in the regional legislature in Hanover.


The shift signaled an end to a decade of center-right government in the state and will have a direct impact at the national level by tipping the balance of power in the upper house of Parliament, the Bundesrat.


The victory in Lower Saxony gives the center-left a majority in the Bundesrat that could allow it to block legislation from the lower house, dominated by Ms. Merkel’s center-right bloc.


“I expect that it will hardly be possible to push through proposals that the S.P.D. opposes,” Volker Kauder, the parliamentary leader for Ms. Merkel’s party told ZDF public television on Monday. “We will have to see if they use it.”


The Social Democrats took 32.6 percent of the vote, while the Greens won 13.7 percent, the preliminary results showed, giving them 69 seats in the regional legislature. Although the Christian Democrats emerged as the strongest party with 36 percent of the vote, combined with their Free Democrat partners, they were able to secure only 68 seats.


The Free Democrats, the junior partner in Ms. Merkel’s governing coalition in Berlin, won 9.9 percent of the vote.


Neither the Pirate Party nor the Left Party cleared the 5 percent hurdle need to secure representation in the Lower Saxony legislature.


It was unclear how much the loss will hurt Ms. Merkel, who enjoys overwhelming popularity in Germany, thanks to a relatively robust economy, low unemployment and her hard-nosed handling of Europe’s debt crisis.


Ms. Merkel made seven appearances in Lower Saxony this month, alongside the state’s governor, David McAllister.


Although he was the incumbent, the campaign was the first for Mr. McAllister, 42, who took over the position in 2010 when his predecessor, Christian Wulff, was called to Berlin to become president. The son of a soldier from Scotland and a German mother, Mr. McAllister insisted throughout the campaign that his tenure had brought prosperity to the region, and he urged voters to support continuity.


He was expected in Berlin for talks at the Christian Democratic headquarters later Monday.


His main challenger, the mayor of Hanover, Stephan Weil, who ran for the Social Democrats, struggled to make himself better known among voters, resorting at one point in the campaign to handing out red roses to prospective voters, which stretches across largely rural countryside from the North Sea to the former inner-German border.


“I am excited about five years of red-green,” Mr. Weil told reporters after realizing his bloc’s success, using the traditional color codes for his party and their partners. “That was a real roller-coaster ride tonight.”


Although local issues tend to dominate regional elections — as was the case in Lower Saxony, where the education system and completion of several infrastructure projects dominated the debate — the outcome could help the Free Democrats improve their image at the national level of a party dogged by a leadership crisis.


Many had blamed the party’s chairman, Philipp Rösler, who also serves as economy minister and consistently ranks among the country’s least popular politicians, for failing to focus on concrete issues.


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RIM mulls licensing out software: CEO in paper






FRANKFURT (Reuters) – Research in Motion will look into strategic alliances with other technology companies once it has launched its new BlackBerry 10 models, its chief executive told a German newspaper.


German-born CEO Thorsten Heins told daily Die Welt in an interview published on Monday that the group’s strategic review could lead to the sale of RIM’s hardware production or the sale of licenses to its software, among other options.






“The main thing for now is to successfully introduce Blackberry 10. Then we’ll see,” Heins was quoted as saying.


RIM hopes its re-engineered line of Blackberry 10 touch-screen and keyboard devices will win back market share lost to rivals such as Apple’s iPhone and devices powered by Google’s market-leading Android operating system.


(Reporting by Ludwig Burger; Editing by Mark Potter)


Wireless News Headlines – Yahoo! News





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It's a Boy for American Idol's Danny Gokey




Celebrity Baby Blog





01/21/2013 at 12:00 AM ET



Danny Gokey Welcomes Son Daniel
Courtesy Danny Gokey


Now he’s got a little Idol of his own!


American Idol season eight finalist Danny Gokey and his wife Leyicet welcomed their first child, son Daniel Emanuel Gokey, on Sunday, Jan. 20, PEOPLE confirms exclusively.


Weighing in at 8 lbs. 11 oz., Daniel arrived at 9:52 p.m. EST on his due date.


“Leyicet and I are overjoyed to welcome the new member of our family. I’m ecstatic to be a first time dad and to have a new little buddy to hang out with,” Gokey tells PEOPLE.


“Thankfully, because of what I do, it will also allow me the flexibility to spend a lot of quality time with him. I have so many exciting projects ahead this year but a brand new baby is an amazing way to get the new year started. We feel really blessed!”

The timing for their newborn couldn’t be better. Almost exactly one year ago, Gokey, 32, and his model wife, 26, tied the knot in a low-key affair in Florida on January 29. Six months later, they shared the happy news of their pregnancy.


This is the second marriage for Gokey, who tragically lost his first wife Sophia in 2008 after a routine surgery for congenital heart disease. Gokey now runs the Sophia’s Heart Foundation, which helps homeless families, in her honor.


– Kevin O’Donnell


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Flu season fuels debate over paid sick time laws


NEW YORK (AP) — Sniffling, groggy and afraid she had caught the flu, Diana Zavala dragged herself in to work anyway for a day she felt she couldn't afford to miss.


A school speech therapist who works as an independent contractor, she doesn't have paid sick days. So the mother of two reported to work and hoped for the best — and was aching, shivering and coughing by the end of the day. She stayed home the next day, then loaded up on medicine and returned to work.


"It's a balancing act" between physical health and financial well-being, she said.


An unusually early and vigorous flu season is drawing attention to a cause that has scored victories but also hit roadblocks in recent years: mandatory paid sick leave for a third of civilian workers — more than 40 million people — who don't have it.


Supporters and opponents are particularly watching New York City, where lawmakers are weighing a sick leave proposal amid a competitive mayoral race.


Pointing to a flu outbreak that the governor has called a public health emergency, dozens of doctors, nurses, lawmakers and activists — some in surgical masks — rallied Friday on the City Hall steps to call for passage of the measure, which has awaited a City Council vote for nearly three years. Two likely mayoral contenders have also pressed the point.


The flu spike is making people more aware of the argument for sick pay, said Ellen Bravo, executive director of Family Values at Work, which promotes paid sick time initiatives around the country. "There's people who say, 'OK, I get it — you don't want your server coughing on your food,'" she said.


Advocates have cast paid sick time as both a workforce issue akin to parental leave and "living wage" laws, and a public health priority.


But to some business owners, paid sick leave is an impractical and unfair burden for small operations. Critics also say the timing is bad, given the choppy economy and the hardships inflicted by Superstorm Sandy.


Michael Sinensky, an owner of seven bars and restaurants around the city, was against the sick time proposal before Sandy. And after the storm shut down four of his restaurants for days or weeks, costing hundreds of thousands of dollars that his insurers have yet to pay, "we're in survival mode."


"We're at the point, right now, where we cannot afford additional social initiatives," said Sinensky, whose roughly 500 employees switch shifts if they can't work, an arrangement that some restaurateurs say benefits workers because paid sick time wouldn't include tips.


Employees without sick days are more likely to go to work with a contagious illness, send an ill child to school or day care and use hospital emergency rooms for care, according to a 2010 survey by the University of Chicago's National Opinion Research Center. A 2011 study in the American Journal of Public Health estimated that a lack of sick time helped spread 5 million cases of flu-like illness during the 2009 swine flu outbreak.


To be sure, many employees entitled to sick time go to work ill anyway, out of dedication or at least a desire to project it. But the work-through-it ethic is shifting somewhat amid growing awareness about spreading sickness.


"Right now, where companies' incentives lie is butting right up against this concern over people coming into the workplace, infecting others and bringing productivity of a whole company down," said John A. Challenger, CEO of employer consulting firm Challenger, Gray & Christmas.


Paid sick day requirements are often popular in polls, but only four places have them: San Francisco, Seattle, Washington, D.C., and the state of Connecticut. The specific provisions vary.


Milwaukee voters approved a sick time requirement in 2008, but the state Legislature passed a law blocking it. Philadelphia's mayor vetoed a sick leave measure in 2011; lawmakers have since instituted a sick time requirement for businesses with city contracts. Voters rejected a paid sick day measure in Denver in 2011.


In New York, City Councilwoman Gale Brewer's proposal would require up to five paid sick days a year at businesses with at least five employees. It wouldn't include independent contractors, such as Zavala, who supports the idea nonetheless.


The idea boasts such supporters as feminist Gloria Steinem and "Sex and the City" actress Cynthia Nixon, as well as a majority of City Council members and a coalition of unions, women's groups and public health advocates. But it also faces influential opponents, including business groups, Mayor Michael Bloomberg and City Council Speaker Christine Quinn, who has virtually complete control over what matters come to a vote.


Quinn, who is expected to run for mayor, said she considers paid sick leave a worthy goal but doesn't think it would be wise to implement it in a sluggish economy. Two of her likely opponents, Public Advocate Bill de Blasio and Comptroller John Liu, have reiterated calls for paid sick leave in light of the flu season.


While the debate plays out, Emilio Palaguachi is recovering from the flu and looking for a job. The father of four was abruptly fired without explanation earlier this month from his job at a deli after taking a day off to go to a doctor, he said. His former employer couldn't be reached by telephone.


"I needed work," Palaguachi said after Friday's City Hall rally, but "I needed to see the doctor because I'm sick."


___


Associated Press writer Susan Haigh in Hartford, Conn., contributed to this report.


___


Follow Jennifer Peltz at http://twitter.com/jennpeltz


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Wall Street Week Ahead: Earnings, money flows to push stocks higher

NEW YORK (Reuters) - With earnings momentum on the rise, the S&P 500 seems to have few hurdles ahead as it continues to power higher, its all-time high a not-so-distant goal.


The U.S. equity benchmark closed the week at a fresh five-year high on strong housing and labor market data and a string of earnings that beat lowered expectations.


Sector indexes in transportation <.djt>, banks <.bkx> and housing <.hgx> this week hit historic or multiyear highs as well.


Michael Yoshikami, chief executive at Destination Wealth Management in Walnut Creek, California, said the key earnings to watch for next week will come from cyclical companies. United Technologies reports on Wednesday while Honeywell is due to report Friday.


"Those kind of numbers will tell you the trajectory the economy is taking," Yoshikami said.


Major technology companies also report next week, but the bar for the sector has been lowered even further.


Chipmakers like Advanced Micro Devices , which is due Tuesday, are expected to underperform as PC sales shrink. AMD shares fell more than 10 percent Friday after disappointing results from its larger competitor, Intel . Still, a chipmaker sector index <.sox> posted its highest weekly close since last April.


Following a recent underperformance, an upside surprise from Apple on Wednesday could trigger a return to the stock from many investors who had abandoned ship.


Other major companies reporting next week include Google , IBM , Johnson & Johnson and DuPont on Tuesday, Microsoft and 3M on Thursday and Procter & Gamble on Friday.


CASH POURING IN, HOUSING DATA COULD HELP


Perhaps the strongest support for equities will come from the flow of cash from fixed income funds to stocks.


The recent piling into stock funds -- $11.3 billion in the past two weeks, the most since 2000 -- indicates a riskier approach to investing from retail investors looking for yield.


"From a yield perspective, a lot of stocks still yield a great deal of money and so it is very easy to see why money is pouring into the stock market," said Stephen Massocca, managing director at Wedbush Morgan in San Francisco.


"You are just not going to see people put a lot of money to work in a 10-year Treasury that yields 1.8 percent."


Housing stocks <.hgx>, already at a 5-1/2 year high, could get a further bump next week as investors eye data expected to support the market's perception that housing is the sluggish U.S. economy's bright spot.


Home resales are expected to have risen 0.6 percent in December, data is expected to show on Tuesday. Pending home sales contracts, which lead actual sales by a month or two, hit a 2-1/2 year high in November.


The new home sales report on Friday is expected to show a 2.1 percent increase.


The federal debt ceiling negotiations, a nagging worry for investors, seemed to be stuck on the back burner after House Republicans signaled they might support a short-term extension.


Equity markets, which tumbled in 2011 after the last round of talks pushed the United States close to a default, seem not to care much this time around.


The CBOE volatility index <.vix>, a gauge of market anxiety, closed Friday at its lowest since April 2007.


"I think the market is getting somewhat desensitized from political drama given, this seems to be happening over and over," said Destination Wealth Management's Yoshikami.


"It's something to keep in mind, but I don't think it's what you want to base your investing decisions on."


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



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IHT Rendezvous: China's "Lamborghini" coefficient: Who's Getting Richer, Who Poorer?

BEIJING — Search the word Gini, or “jini,” for Gini coefficient, the well-known measure of income inequality, on China’s biggest microblogging site and the first result today was for Lamborghini, the Italian luxury sports car (in Chinese, the two words share a similar sound in the last part of the car’s name.)

That’s very ironic because the Gini coefficient measures income inequality and the Lamborghini, which can set a buyer back $300,000, is a not uncommon sight on the streets of big Chinese cities, an object of resentment among ordinary people who view it as a symbol of how a few people are amassing tremendous wealth as many struggle with low incomes, low bank deposit rates, high property prices and persistent inflation.

In other words, income inequality in China is politically sensitive.

(The Gini index, of course, is a measure of household income inequality; zero represents perfect income equality and 1 perfect inequality, a situation where one person would own all the wealth, as the World Bank explains.)

So last Friday, when the government announced China’s Gini coefficient figures for the first time in over a decade, there was excitement – and quite a bit of scorn, expressed online and in media reports as well as private conversations. Why?

According to the figures, China today is actually more equal than in 2003, the National Bureau of Statistics said.

From 2003, the Gini coefficient did indeed rise, the bureau said, from 0.479 to a high in 2008 of 0.491. But by 2012 the figure had dropped to 0.474, meaning China is a more equal society today than a decade ago – despite all those Lamborghinis on the street.

At a news conference, Ma Jiantang, the bureau director, called the rate nevertheless “relatively high,” Xinhua reported. “China must accelerate its income distribution reform to narrow the rich-poor gap,” Xinhua said.

Yet the government’s “effective measures” to “bring benefits for its people” after the gobal financial crisis began in 2008 had brought down the measure, it quoted Mr. Ma as saying.

To compare with the United States: in 2011, the Gini coefficient there was also high, at 0.477, according to the U.S. Census Bureau

Xinhua quoted the United Nations as putting the “warning level” on the rich-poor gap at 0.4.

Yet in China this weekend, few believed the new figures.

Here are two lively reactions from microblogs, from a journalist and an economist who together have over six million followers:

“Please choose one: 1. Really, thank you Fatherland; 2. That’s a myth; 3. Not sure, but hurry up and increase my salary,” Shi Shusi, a journalist and social commentator, the director of the state-run Worker’s Daily Weekly, said on his Sina Weibo account to nearly 875,000 followers.

Xu Xiaonian, a professor of finance and economics at the China Europe International Business School, wrote on his Weibo account (5.5 million followers): “A journalist rang to ask me to comment on today’s macroeconomic figures. I’d have to be crazy to truthfully comment on false figures. That Gini coefficient, to use the words of Zheng Yuanjie,” a popular children’s story writer, “‘no-one would even dare to write a fairytale like that.’”

A different report, in December, by researchers at the Southwestern University of Finance and Economics in the city of Chengdu, put China’s Gini at 0.61 for 2010.

While people are by and large glad to see the government once again measuring the figure after a decade-long hiatus (which Mr. Ma explained last year was due to the fact that the government didn’t actually know what people in the cities were earning, as I explored in a Letter from China,) a major problem facing the government is the scale of people’s “hidden income,” estimated by the Beijing-based economist Wang Xiaolu several years ago to be about 9.3 trillion renminbi (nearly $1.5 trillion.)

Read More..