Friday, January 4, 2013

UBS Sees Growth Outshining The American Taxpayer Relief Act ...

With a down to the wire timing that has become a tradition in Washington D.C., the House and the Senate approved what is being called the The American Taxpayer Relief Act of 2012. While both sides were forced to give some ground and ultimately the debt ceiling will have to be altered, the big question for investors remains front and center. Will raising taxes halt U.S economic growth?

If economists at UBS?A.G. (NYSE: UBS) are correct, the increase in taxes on individuals making $400,000 and couples making $450,000, combined with the reinstatement of the individual Social Security withholding tax, will not be enough to slow down American economic growth. They are holding firm on their estimate of 2.3% real gross domestic product (GDP) growth in 2013. That figure is almost half a percentage point higher than other Wall St. firms? estimates.

Why the optimism when conventional wisdom is always to fear higher taxes? UBS?contends that higher taxes on the wealthy may hold down their personal savings rates, but will not affect their rate of consumption. Since 70% of GDP is comprised of overall consumer spending, this becomes a positive factor for growth.

Another factor cited is the increase in the tax rate from 35% to 39.6% on small business owners who file on their individual income tax. While higher tax rates crimp capital, it probably is not enough to keep successful businesses from expanding if the economy grows at the anticipated rate.

Government spending also becomes a critical point when forecasting U.S. growth. It is widely assumed that federal spending will decline in the years to come. That affects far fewer people?than an increase in federal income tax levels. However, it may have an impact on the share prices of firms dependent on federal defense spending, such as Lockheed Martin Corp. (NYSE: LMT), Raytheon Co. (NYSE: RTN) and General Dynamics Corp. (NYSE: GD). Given the higher level used for the increase in taxes in the recently completed bill, a very small percentage of people will actually see their income taxes rise.

Needless to say, there will be more wrangling on Capitol Hill as very little was actually accomplished in the American Taxpayer Relief Act of 2012. But for consumers the main issue of tax increases has been addressed and settled. That is the issue that most directly influences spending, as well as one that may have contributed to the lowest growth in holiday spending since 2008.

As far as the broad market is concerned, here is one competing view from us on how the DJIA can rise over 11% to 14,590 during 2013.

Lee Jackson

Source: http://247wallst.com/2013/01/03/ubs-sees-growth-outshining-the-american-taxpayer-relief-act/

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Thursday, January 3, 2013

Wall Street surges in wake of fiscal pact

During an oddly jokey statement at the White House as the fiscal deadline bore down Monday afternoon, President Obama said, "I'm going to be president for the next four years. I?hope." He was warning Republicans that, yes, they'd have to deal with him for a while. But it was, to be sure, a strange moment. Could he actually have been joking about assassination? About impeachment? The?apocalypse? Or has everyone just had enough of these negotiations??

Source: http://news.yahoo.com/stocks-poised-rally-fiscal-deal-101327376--finance.html

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Wednesday, January 2, 2013

Spokeswoman: Ailing Clinton in touch with aides from hospital (CNN)

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Source: http://news.feedzilla.com/en_us/stories/politics/top-stories/274412199?client_source=feed&format=rss

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Sandy Hook students, parents prepare for emotional return to school

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MONROE, Conn.--Sandy Hook School teachers, students and parents are preparing for an emotional return to school on Wednesday, a day before classes are set to resume at a repurposed facility here and less than a month after a gunman killed 20 children and 6 adults--including principal Dawn Hochsprung--in a rampage at their elementary school in Newtown.

An open house for students and parents is scheduled for Wednesday afternoon at Chalk Hill School, a former middle school that workers have spent weeks preparing to house the Sandy Hook children. School officials say they have tried to completely recreate classrooms in an effort to make students as comfortable as possible.

Parents are being encouraged to attend school with their children upon their return Thursday, though school officials want children to take buses to school on their own.

"I want to reassure you that we understand many parents may need to be near their children on their first day(s) of school and you will be welcome," interim principal Donna Page wrote in a letter to parents. "That being said, we encourage students to take the bus to school in order to help them return to familiar routines as soon as possible. Parents choosing to join their children may come to school after our 9:07 a.m. opening and will be welcome in the classroom or the auditorium throughout the day."

To "ensure a safe and secure environment," Page continued, "we ask that no more than one adult family member accompany his/her child."

[SLIDESHOW: Scenes from Newtown, Connecticut]

Some of the therapy dogs that have blanketed Newtown in the wake of the shootings will also be present at the school to comfort the children. Ten golden retrievers from Chicago's Lutheran Church Charities, which were sent to Newtown to comfort survivors last month, traveled back to Newtown on New Year's Day to prepare for the school's reopening.

Other public schools in Newtown reopened within a week of the shootings, but Sandy Hook Elementary has remained closed since Dec. 14, when 20-year-old gunman Adam Lanza shot his way into the school and opened fire, killing 26 before turning a gun on himself. Lanza also killed his mother in their Newtown home before going on the rampage, one of the deadliest in U.S. history.

"I want parents and families enduring the loss of their precious children to know their loved ones are foremost in our hearts and minds as we move forward," Page wrote. "We recognize your needs are paramount in our preparations and planning. Your strength and compassion has been, and will continue to be an inspiration to me and countless others as we work to honor the memory of your precious children and our beloved staff."

Source: http://news.yahoo.com/blogs/lookout/sandy-hook-school-reopens-chalk-hill-143048304.html

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Tuesday, January 1, 2013

South Africa: Mandela convalesces, legacy secure

JOHANNESBURG (AP) ? South Africa's agonizing past swept over Alex McLaren, who stepped into sunlight with tears in his eyes after a tour of the Apartheid Museum, an unsparing study of white minority rule and the costly fight against it.

Yet South Africa-born McLaren, an American citizen, also found inspiration within the bleak brick, concrete and steel of the museum, which includes an exhibition about Nelson Mandela, former prisoner, South Africa's first black head of state and one of the great, unifying figures of the 20th century.

Mandela, now 94 years old and ailing, was a special figure in the anti-apartheid struggle because of "his perseverance, his ability to forgive and to reconcile, and the fact that he appeared when he did, him and others. But mainly him," said McLaren, a retired engineer.

"There will be a lot of wailing, gnashing of teeth, when he goes," he said, anticipating the grief of South Africa and the world.

The delicate health of Mandela, now convalescing behind the high walls of his Johannesburg home, came under scrutiny and speculation during a 19-day stay in a hospital in December. He was treated for a lung infection and had gallstones removed. Regardless of when the end comes, his burnished legacy was written years ago, even if the country he led from the long night of apartheid still struggles with poverty and other social ills.

Mandela's place as South Africa's premier hero is so secure that the central bank released new banknotes in 2012 showing his face, a robust, smiling image of the icon who walked out of a prison's gates on Feb. 11, 1990 after 27 years in captivity. He is a Nobel laureate, the recipient of many other international awards, the subject of books, films and songs and, when he was active, a magnet for celebrities.

In part, what elevated Mandela was his charisma, his ability to charm through humor and grace, and an extraordinary capacity to find strength in adversity.

"People tend to measure themselves by external accomplishments, but jail allows a person to focus on internal ones; such as honesty, sincerity, simplicity, humility, generosity and an absence of variety," Mandela says in one of the many quotations on display at the Apartheid Museum. "You learn to look into yourself."

Early in his career, he wore the same suit for years because he was poor, but eventually became a sharp dresser as a lawyer and activist. In the early 1960s, the media called him the "Black Pimpernel" while he was on the run, a reference to the "Scarlet Pimpernel," a novel about a dashing English hero and master of disguises who eluded a manhunt around the time of the French Revolution.

As a post-apartheid statesman, loose, colorful shirts became his trademark garb. The style was introduced to him by Suharto, the Indonesian authoritarian leader who was toppled by protests and economic turmoil in 1998.

Amid this global acclaim and imagery, Mandela gave South Africans, in the simplest terms, the chance to feel better about themselves after grinding years of conflict, humiliation and international isolation. Crucially, he beckoned compatriots of all races and political shades, dampening the sting of defeat for South Africa's former white masters.

"Never, never and never again shall it be that this beautiful land will again experience the oppression of one by another and suffer the indignity of being the skunk of the world," Mandela said at his presidential inauguration on May 10, 1994.

Mandela, however, could not satisfy all factions in a nation where the economic spoils were stacked in favor of the white minority and the black majority lacked skills and education. The ruling African National Congress, steeped in the culture of struggle, had to run a government, deliver services and tackle corruption within its own ranks. Its record, then and now, is decidedly mixed.

Perceived successes include, on Mandela's watch, the introduction of one of the world's most progressive constitutions and the Truth and Reconciliation Commission, a panel that heard testimony about apartheid-era violations of human rights as a kind of national therapy session. He retired after only one term as president, raising questions about whether he was too trusting in aides and had taken too light a touch on some urgent issues such as the looming AIDS crisis.

Today, the government says it is still in a process of "nation-building" that entails lifting up South Africans, many of them black, who lack jobs and other opportunities long after apartheid.

"We have to hasten our drive towards attaining socio-economic freedom," President Jacob Zuma said in his New Year's message. He cited an increase in income and education levels, but noted "deep income disparities" in recent census data that showed the income of a white household is six times that of a black household.

Peter Attard Montalto, an analyst for financial services company Nomura, said the South African economy is struggling and warned of a risk of labor unrest in 2013. South Africa has recently seen credit downgrades, and several dozen people were killed, mostly by police, at a platinum mine that was swept up in industry protests.

"South Africa appears to be in a 'grinding underperformance' scenario which has risks to social stability from a lack of development, not the 'blow-up/Zimbabwe' scenario of the doom-mongers," Montalto wrote in a report.

McLaren, the visitor to the Apartheid Museum, grew up in South Africa and recalled witnessing injustices of apartheid: blacks being arrested or stopped in the street, a black woman being pushed off a bus and a view among many whites that blacks were "somehow inferior."

Now a resident of Scottsdale, Arizona, 66-year-old McLaren said: "South Africa is such a mixed place now. Some of it is falling apart, some of it is really good, some of it is really bad. But you know, it's much better than it was, much better than it was."

An imperfect country, but one that Mandela, whose clan name, Madiba, means "reconciler," guided elegantly through a painful transition.

In "Mandela: The Authorized Portrait," a collection of accounts about Mandela, lawyer and human rights advocate George Bizos described how Mandela joked about his age (he was 86 at the time) and said he would join "the nearest branch of the ANC in heaven."

Bizos related in the book how he once told Mandela about Socrates, the ancient Greek philosopher who was sentenced to death and said he hoped to meet Homer, Sophocles and other giants for eternal discussions in the afterlife.

According to Bizos, Mandela replied:

"But assume that there is no such thing. Have you ever had a night's sleep when you were not disturbed at all ? no dreams, no fears ? you just slept throughout the night? Didn't you feel very much happier? Can you imagine if there is this eternal sleep it's also all right? So what's there to be afraid of?"

Source: http://news.yahoo.com/south-africa-mandela-convalesces-legacy-secure-125141265.html

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Hangover Cures and Myths

After the Times Square ball drops on New Year?s Eve and copious amounts of Champagne get ?toasted and drunk, many might find?themselves ?forgetting more??auld acquaintances? than they intended and waking up?to ?2013 with a vicious hangover.

A?hangover is essentially a build-up?of acetaldehyde, a toxin in the liver. When one overdoes it on the booze, the liver can?t produce enough glutathione, a compound that contains the amino acid L-cysteine, to combat it. Cysteine?breaks down?acetaldehyde into water and carbon dioxide, which is then?flushed out of the body as urine.

While nothing has been shown scientifically to ?cure? a hangover,?Dr. Richard Besser, ABC News? chief medical editor, ?offered these?tips to help nurse the pain:

? Drink plenty of water.? Alcohol is quite dehydrating.

? If you have a headache, take aspirin or ibuprofen the next morning,?not acetaminophen (Tylenol).??Acetaminophen is processed by?your liver that has just taken a hit from your overdrinking.

? Go to bed. Most hangovers are over after?eight ?to 24 hours but before you do ?

? Pull out your smartphone and record a video message to yourself.? Tell yourself how lousy you feel and repeat this phrase: ?I won?t overdrink again, I won?t overdrink again, I won?t overdrink again.?

Other suggestions from our past contributors include how to avoid a hangover while still slugging back the brewskies,?and what to do if?the ?hangover?arrives anyway:

While You?re Boozing:

1. Sip Slowly

If you?drink your alcohol?slowly instead of guzzling it down, doctors say it helps give the stomach a fighting chance to absorb the toxins so your body isn?t assaulted with booze.

2. Eat Fatty Foods

Food products with a lot of fat in them, such as chips,?can help slow down the absorption of alcohol.

3. Avoid Carbonated Drinks

Doctors say carbonation can?increase the absorption of alcohol, so put down the rum and Coke.

The Morning After ? Happy Hangover:

1. Sleep, Sleep, Sleep

Time will heal all wounds.

2. Flush Your System

When you are dehydrated, your body is depleted of potassium and sodium, which is why you have that achy ?hit by a dump truck? feeling the next morning.

Doctors say try to replenish your body with lots of fluids. Drink water or?drinks that are heavy in electrolytes, such as sports drinks or coconut water.

3. Be Leery of Caffeine

Caffeine, like alcohol, is a diuretic, which can further dehydrate your body after drinking, making the headache much worse, so doctors recommend extra water if you?re going to?reach for a cup of coffee, tea or an energy drink.

But people who regularly drink minimal amounts of caffeine?might find it helps soothe their headache. While the causes of a hangover aren?t completely understood,?a leading theory for the?pounding headache is that alcohol dilates blood vessels in the brain and caffeine constricts the blood vessels, which might bring relief to some people.

4. Avoid the ?Hair of the Dog?

While that Bloody Mary or extra pint of beer with breakfast the next?morning sounds like a rallying move, doctors say more alcohol means more dehydration, meaning more hangover hurting. Even if you don?t feel the pain now, you will later.

5.?Have a Snack?

According to the Mayo Clinic, bland foods, such as toast and crackers, can help boost blood sugar and settle your stomach.?Eating chicken noodle or bouillon soups, which?are ?loaded with sodium and potassium, can help make you feel better.

Foods and drinks that contain fructose, such as honey, apples, berries or fruit juice, as well as?vitamin C and B? can also help burn off alcohol.

Final Thoughts: Not to be a buzz kill, but the bottom line is that?the best way to to avoid a hangover is to stay away from the booze. Entirely.

Source: http://abcnews.go.com/blogs/health/2012/12/31/new-year-new-headache-hangover-cures-and-myths/

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Media advisory/REMINDER: Canada's Economic Action Plan

OTTAWA, ONTARIO--(Marketwire - Dec. 30, 2012) - Dr. Kellie Leitch, Parliamentary Secretary to the Minister of Human Resources and Skills Development and the Minister of Labour, will make an important announcement related to victims of crime.

Dr. Leitch will be available for a photo op and to answer questions from the media following the announcement.

Please note that all details are subject to change. All times are local.

DATE: Sunday, December 30, 2012
TIME: 11:00 a.m.
PLACE: Victims of Violence
Canadian Centre For Missing Children
340-117 Centrepointe Drive
Ottawa, Ontario

Source: http://www.marketwire.com/mw/release.do?id=1741471&sourceType=3

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