NJ jury convicts NY man in iPad data breach case
















NEWARK, N.J. (AP) — A federal jury on Tuesday convicted a man of illegally gaining access to AT&T‘s servers and stealing more than 120,000 email addresses of iPad users including New York Mayor Michael Bloomberg and film mogul Harvey Weinstein.


Andrew Auernheimer, of New York, was convicted of identity theft and conspiracy to gain unauthorized access to computers. Each count carries a maximum prison sentence of five years.













Prosecutors said the former Fayetteville, Ark., resident was part of an online group that tricked AT&T’s website into divulging email addresses including those of Bloomberg, Weinstein, then-White House chief of staff Rahm Emanuel, who’s now Chicago’s mayor, and other celebrities.


The group then shared the addresses with the website Gawker, which published them in redacted form accompanying a news article about the breach, prosecutors said.


A second man arrested with Auernheimer early last year, Daniel Spitler, of San Francisco, pleaded guilty that June.


At the time of the arrests, U.S. Attorney Paul Fishman said there was no evidence the men used the swiped information for criminal purposes. But authorities cautioned that it could have wound up in the hands of spammers and scam artists.


According to court papers, the men used a computer script they called the iPad3G Account Slurper to fool AT&T’s servers into thinking they were communicating with an iPad. The theft of the email addresses occurred in June 2010.


Prosecutors said at the time of Auernheimer’s arrest that he had bragged about the operation in a blog posting and in an interview with CNET published online after the Gawker article. Court papers also quoted him declaring in a New York Times article: “I hack, I ruin, I make piles of money. I make people afraid for their lives.”


Auernheimer, after he was charged and released on bail, had declined to comment.


iPad maker Apple Inc., based in Cupertino, Calif., referred questions to AT&T, which acknowledged a security weak spot on a website that exposed the email addresses. AT&T said the vulnerability affected only iPad users who signed up for its 3G wireless Internet service and said it had fixed the problem.


Gadgets News Headlines – Yahoo! News



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Bon Jovi Calls His Daughter's Heroin Overdose a 'Tragedy'















11/21/2012 at 10:30 AM EST







Jon Bon Jovi and daughter Stephanie


Dave M. Benett/Getty


Jon Bon Jovi says his family has been touched by public support and will move forward after his daughter's arrest and hospitalization for a heroin overdose.

Speaking with Fox 11 in L.A., Bon Jovi called the Nov. 14 episode in a dorm room at New York's Hamilton College involving daughter Stephanie Rose Bongiovi, 19, a tragedy. Charges of drug possession against her eventually were dropped and she recovered at a local hospital.

"This tragedy was something that I had to face too, so we'll get through it," said Bon Jovi, 50, also father to three younger children with his wife of 23 years, Dorothea Hurley. "And people's incredible warm wishes for my family and I have been really reassuring. So, we're good."

Bon Jovi, who supported the Hurricane Sandy New Jersey Relief Fund along with fellow native Bruce Springsteen, also spoke about his rock world and the issues that come with it.

"It's human. What I do for a living, it seems glitzy and glamorous but if you don't take it too seriously it's a great way to make a living," he said. "And then life goes on. Things happen."

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OB/GYNs back over-the-counter birth control pills

WASHINGTON (AP) — No prescription or doctor's exam needed: The nation's largest group of obstetricians and gynecologists says birth control pills should be sold over the counter, like condoms.

Tuesday's surprise opinion from these gatekeepers of contraception could boost longtime efforts by women's advocates to make the pill more accessible.

But no one expects the pill to be sold without a prescription any time soon: A company would have to seek government permission first, and it's not clear if any are considering it. Plus there are big questions about what such a move would mean for many women's wallets if it were no longer covered by insurance.

Still, momentum may be building.

Already, anyone 17 or older doesn't need to see a doctor before buying the morning-after pill — a higher-dose version of regular birth control that can prevent pregnancy if taken shortly after unprotected sex. Earlier this year, the Food and Drug Administration held a meeting to gather ideas about how to sell regular oral contraceptives without a prescription, too.

Now the influential American College of Obstetricians and Gynecologists is declaring it's safe to sell the pill that way.

Wait, why would doctors who make money from women's yearly visits for a birth-control prescription advocate giving that up?

Half of the nation's pregnancies every year are unintended, a rate that hasn't changed in 20 years — and easier access to birth control pills could help, said Dr. Kavita Nanda, an OB/GYN who co-authored the opinion for the doctors group.

"It's unfortunate that in this country where we have all these contraceptive methods available, unintended pregnancy is still a major public health problem," said Nanda, a scientist with the North Carolina nonprofit FHI 360, formerly known as Family Health International.

Many women have trouble affording a doctor's visit, or getting an appointment in time when their pills are running low — which can lead to skipped doses, Nanda added.

If the pill didn't require a prescription, women could "pick it up in the middle of the night if they run out," she said. "It removes those types of barriers."

Tuesday, the FDA said it was willing to meet with any company interested in making the pill nonprescription, to discuss what if any studies would be needed.

Then there's the price question. The Obama administration's new health care law requires FDA-approved contraceptives to be available without copays for women enrolled in most workplace health plans.

If the pill were sold without a prescription, it wouldn't be covered under that provision, just as condoms aren't, said Health and Human Services spokesman Tait Sye.

ACOG's opinion, published in the journal Obstetrics & Gynecology, says any move toward making the pill nonprescription should address that cost issue. Not all women are eligible for the free birth control provision, it noted, citing a recent survey that found young women and the uninsured pay an average of $16 per month's supply.

The doctors group made clear that:

—Birth control pills are very safe. Blood clots, the main serious side effect, happen very rarely, and are a bigger threat during pregnancy and right after giving birth.

—Women can easily tell if they have risk factors, such as smoking or having a previous clot, and should avoid the pill.

—Other over-the-counter drugs are sold despite rare but serious side effects, such as stomach bleeding from aspirin and liver damage from acetaminophen.

—And there's no need for a Pap smear or pelvic exam before using birth control pills. But women should be told to continue getting check-ups as needed, or if they'd like to discuss other forms of birth control such as implantable contraceptives that do require a physician's involvement.

The group didn't address teen use of contraception. Despite protests from reproductive health specialists, current U.S. policy requires girls younger than 17 to produce a prescription for the morning-after pill, meaning pharmacists must check customers' ages. Presumably regular birth control pills would be treated the same way.

Prescription-only oral contraceptives have long been the rule in the U.S., Canada, Western Europe, Australia and a few other places, but many countries don't require a prescription.

Switching isn't a new idea. In Washington state a few years ago, a pilot project concluded that pharmacists successfully supplied women with a variety of hormonal contraceptives, including birth control pills, without a doctor's involvement. The question was how to pay for it.

Some pharmacies in parts of London have a similar project under way, and a recent report from that country's health officials concluded the program is working well enough that it should be expanded.

And in El Paso, Texas, researchers studied 500 women who regularly crossed the border into Mexico to buy birth control pills, where some U.S. brands sell over the counter for a few dollars a pack. Over nine months, the women who bought in Mexico stuck with their contraception better than another 500 women who received the pill from public clinics in El Paso, possibly because the clinic users had to wait for appointments, said Dr. Dan Grossman of the University of California, San Francisco, and the nonprofit research group Ibis Reproductive Health.

"Being able to easily get the pill when you need it makes a difference," he said.

___

Online:

OB/GYN group: http://www.acog.org

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Wall Street flat after data, Greek deal delay

NEW YORK (Reuters) - Stocks were flat on Wednesday as consumer sentiment stalled because of growing uncertainty over federal tax and spending plans next year and the absence of a deal by international lenders on emergency aid for Greece


Other U.S. economic data came in as expected, such as initial weekly claims for jobless benefits, depriving the market of any clear direction.


Euro zone finance ministers, the International Monetary Fund and the European Central Bank failed for a second week to agree on how to make Greece's debt sustainable, which is necessary before the next cash infusion can be made to the fiscally beleaguered nation.


European shares edged up as investors looked for signs of progress on a deal before the next meeting of lenders on Monday. The FTSEurofirst 300 <.fteu3> gained 0.2 percent. <.eu/>


"The European situation has been around for so long, there is nothing new there and everybody realizes it is going to be a long-term workout. From some progress over the last couple of months, all of a sudden we've had no progress," said Tim Ghriskey, chief investment officer of Solaris Group in Bedford Hills, New York.


Labor Department data showed initial jobless claims dropped 41,000 to a seasonally adjusted 410,000 in the latest week, in line with expectations though still elevated in the wake of superstorm Sandy.


The S&P 500 had dropped 5.3 percent since Election Day on November 6 because of worries over U.S. fiscal negotiations and continued debt problems in Europe. But over the past three session, the index <.spx> has risen 2.6 percent, boosted by positive rhetoric from Washington on fiscal discussions and a market many viewed as oversold.


Gains made early in the day on Tuesday were mostly erased after Federal Reserve Chairman Ben Bernanke cautioned that the central bank lacked the tools to cushion the U.S. economy from the impact of the "fiscal cliff."


"We are in a bit of a holding period here. Everybody is focused on the fiscal cliff and any indications of a settlement between Congress and the White house and any indications of what that settlement might be," said Ghriskey.


The fiscal cliff is a series of tax hikes and spending cuts which, failing agreement in Congress, will go into effect in the new year and threaten the nation's fragile economic recovery.


The Dow Jones industrial average <.dji> gained 18.46 points, or 0.14 percent, to 12,806.97. The Standard & Poor's 500 Index <.spx> shed 0.33 points, or 0.02 percent, to 1,387.48. The Nasdaq Composite Index <.ixic> lost 0.09 points, or 0.00 percent, to 2,916.59.


Financial information firm Markit said its U.S. "flash," or preliminary, manufacturing Purchasing Managers Index rose to 52.4, its quickest pace in five months, from a three-year low of 51.0 in October.


The Thomson Reuters/University of Michigan's final reading of the overall index on consumer sentiment came in at 82.7, a touch up from 82.6 the month before but down from a preliminary reading of 84.9 released earlier in the month.


Trading is expected to be light ahead of a U.S. holiday Thursday for Thanksgiving.


Deere & Co lost 2.7 percent to $83.66 after the world's largest farm equipment maker, reported a weaker-than-expected quarterly profit.


Salesforce.com Inc jumped 7.3 percent to $156.52 after the business software provider beat Wall Street expectations for the third quarter and maintained its outlook for the rest of the year.


(Editing by Kenneth Barry)


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Clinton to Visit Middle East in Effort to Defuse Gaza Conflict





PHNOM PENH, Cambodia — President Obama sent Secretary of State Hillary Rodham Clinton to the Middle East on Tuesday to try to defuse the conflict in Gaza, the White House announced.




Mrs. Clinton, who accompanied Mr. Obama on his three-country Asia trip, left on her own plane immediately for the region, where she will stop first in Jerusalem to meet with Prime Minister Benjamin Netanyahu of Israel, then head to the West Bank to meet with Palestinian leaders and finally to Cairo to consult with Egyptian officials.


The decision to dispatch Mrs. Clinton dramatically deepens the American involvement in the crisis. Mr. Obama made a number of late-night phone calls from his Asian tour to the Middle East on Monday night that contributed to his conclusion that he had to become more engaged and that Mrs. Clinton might be able to accomplish something.


With Ban Ki-moon, the United Nations secretary general, also scheduled to arrive in Israel on Tuesday, a senior official in the prime minister’s office said Israel decided to give more time to diplomacy before launching a ground invasion into Gaza. But Israel has not withdrawn other options.


“I prefer a diplomatic solution,” Mr. Netanyahu said in a statement at the start of a meeting in Jerusalem with the German foreign minister, Guido Westerwelle. “I hope that we can get one but if not, we have every right to defend ourselves with other means and we shall use them.” “As you know, we seek a diplomatic unwinding to this, through the discussions of cease-fire,” Mr. Netanyahu added. “But if the firing continues, we will have to take broader action and we won’t hesitate to do so.”


About three hours before Mr. Ban was scheduled to meet Mr. Netanyahu in Jerusalem, sirens sounded across the city in the early afternoon announcing an incoming rocket from Gaza. The military wing of Hamas said it had fired at the city. The rocket fell short, landing harmlessly in the West Bank just south of Jerusalem, and the military said it landed on open ground near a Palestinian village.


The rocket attack on the city, which is holy to Jews, Muslims and Christians, was the second in less than a week. The earlier rocket on Friday landed in a similar location, the police said.


The Israeli military said that in the course of the morning its air force had struck at 11 Palestinian squads involved in planting explosives and firing rockets, as well as underground rocket launchers and a store of weapons and ammunition. The military said it had also used tank shells and artillery fire against unspecified targets in Gaza.  


The Health Ministry in Gaza said the Palestinian death toll had climbed by late Tuesday morning to 112, roughly half of the dead civilians, including children. Three Israelis died in a rocket attack last week.


After an Asian summit dinner in Phnom Penh on Monday night, Mr. Obama called President Mohamed Morsi of Egypt to discuss the situation, then spoke with Mr. Netanyahu and called Mr. Morsi back. He was up until 2:30 a.m. on the phone, the White House said. He consulted with Mrs. Clinton repeatedly on the sidelines of the Asian summit meetings on Tuesday.


“This morning, Secretary Clinton and the president spoke again about the situation in Gaza, and they agreed that it makes sense for the secretary to travel to the region so Secretary Clinton will depart today,” said Benjamin Rhodes, a deputy national security adviser to Mr. Obama. “Her visits will build on the engagement that we’ve undertaken in the last several days.”


Mr. Rhodes said, “Any resolution to this has to include an end to that rocket fire” by Hamas militants on Israeli communities but “the best way to solve this is through diplomacy.”


He added, “It’s in nobody’s interest to see an escalation of the military conflict.”


Mrs. Clinton will not meet with Hamas representatives on her trip, but with the Palestinian leadership in the West Bank, which is at odds with the Hamas rulers of the Gaza Strip. “We do not engage directly with Hamas,” Mr. Rhodes said.


Instead, Mr. Obama is focused on leveraging Egypt’s influence with Hamas to press for a halt to the rocket attacks. “We believe Egypt can and should be a partner in achieving that outcome,” Mr. Rhodes said.


Mr. Rhodes reaffirmed that the United States supports Israel’s right to defend itself and said Mr. Obama did not ask Mr. Netanyahu to hold off a ground incursion into Gaza.


In Jerusalem, an official in the prime minister’s office said the country’s top nine ministers, who make up the inner security cabinet, held discussions late into the night on the state of the diplomatic efforts and Israel’s military operation in Gaza. The goal of the operation, Israel says, is to end years of rocket fire by Gaza militants against southern Israel.


Peter Baker reported from Phnom Penh, Cambodia, and Isabel Kershner from Jerusalem. Jodi Rudoren contributed reporting from Gaza City.



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Kopp: Impostor filed motion in NY Facebook case
















BUFFALO, N.Y. (AP) — Lawyers fighting a New York man’s ownership claim against Facebook Inc. say a bizarre motion bearing the name of convicted abortion doctor killer James Charles Kopp earlier this month was apparently filed by an impostor.


In court papers, Facebook lawyers say they received a sworn statement from the imprisoned Kopp Monday denying he’s filed any motion in Paul Ceglia‘s lawsuit. An accompanying letter from Kopp to the federal judge handling the case says someone is impersonating him.













The motion signed with Kopp’s name had sought permission to intervene in Ceglia’s lawsuit while accusing Ceglia of a litany of personal slights, threats and crimes. Kopp’s serving life in prison for the 1998 killing of Dr. Barnett Slepian in suburban Buffalo.


Facebook says the Kopp motion, even if it’s real, should be denied.


Social Media News Headlines – Yahoo! News



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Is Sarah Jessica Parker's Take on Fashion 'the Healthier Approach'?







Style News Now





11/19/2012 at 09:00 AM ET











Sarah Jessica ParkerHenry Lamb/Photowire/BEImages


Sex and the City‘s Carrie Bradshaw is considered a fashion icon to many women, but the woman who played her says she doesn’t identify.


“It’s not an identity that I … connect to. I’m grateful if anyone says anything kind, and if they say something less kind, I take that as a part of anyone talking about you at all,” Sarah Jessica Parker told PEOPLE on Wednesday night at the Barneys New York and Walt Disney Company ‘Electric Holiday’ launch. “It’s not how I think of myself and I think it’s probably the healthier approach.”


Don’t get her wrong — the actress still appreciates a good outfit. “I love beautiful things,” she said, “and I’m privileged to borrow a beautiful dress. I feel really lucky and I genuinely enjoy it. I feel like [fashion] has a proper place in my life.”


But let’s just say you won’t catch her in a tutu at the grocery store. “It’s just not a reality — not when you have three kids and you go to the market and there are hungry people at home. You have a limited time to do it. There’s just no time to let vanity enter into that,” she said.


While picking the right dress was a priority for Wednesday night’s event (Parker, who hosted, wore L’Wren Scott), the star said the main goal of the evening was helping superstorm Sandy victims. Select Barneys stores and Barneys.com are donating 25 percent of sales from the Electric Holiday product collection to the American Red Cross for relief efforts.



“Everybody’s in serious need and this is going to go on for a while,” Parker said. “I’ve been giving back in a way that I feel I can and should and it’s not going to end in the next week. There’s still going to be a lot of opportunity in the future to see how people are doing and what they need.”


–Carlos Greer 


SEE CELEBRITY STYLE ICONS LOOKING THEIR BEST IN ‘LAST NIGHT’S LOOK’




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New push for most in US to get at least 1 HIV test

WASHINGTON (AP) — There's a new push to make testing for the AIDS virus as common as cholesterol checks.

Americans ages 15 to 64 should get an HIV test at least once — not just people considered at high risk for the virus, an independent panel that sets screening guidelines proposed Monday.

The draft guidelines from the U.S. Preventive Services Task Force are the latest recommendations that aim to make HIV screening simply a routine part of a check-up, something a doctor can order with as little fuss as a cholesterol test or a mammogram. Since 2006, the Centers for Disease Control and Prevention also has pushed for widespread, routine HIV screening.

Yet not nearly enough people have heeded that call: Of the more than 1.1 million Americans living with HIV, nearly 1 in 5 — almost 240,000 people — don't know it. Not only is their own health at risk without treatment, they could unwittingly be spreading the virus to others.

The updated guidelines will bring this long-simmering issue before doctors and their patients again — emphasizing that public health experts agree on how important it is to test even people who don't think they're at risk, because they could be.

"It allows you to say, 'This is a recommended test that we believe everybody should have. We're not singling you out in any way,'" said task force member Dr. Douglas Owens of Stanford University and the Veterans Affairs Palo Alto Health Care System.

And if finalized, the task force guidelines could extend the number of people eligible for an HIV screening without a copay in their doctor's office, as part of free preventive care under the Obama administration's health care law. Under the task force's previous guidelines, only people at increased risk for HIV — which includes gay and bisexual men and injecting drug users — were eligible for that no-copay screening.

There are a number of ways to get tested. If you're having blood drawn for other exams, the doctor can merely add HIV to the list, no extra pokes or swabs needed. Today's rapid tests can cost less than $20 and require just rubbing a swab over the gums, with results ready in as little as 20 minutes. Last summer, the government approved a do-it-yourself at-home version that's selling for about $40.

Free testing is available through various community programs around the country, including a CDC pilot program in drugstores in 24 cities and rural sites.

Monday's proposal also recommends:

—Testing people older and younger than 15-64 if they are at increased risk of HIV infection,

—People at very high risk for HIV infection should be tested at least annually.

—It's not clear how often to retest people at somewhat increased risk, but perhaps every three to five years.

—Women should be tested during each pregnancy, something the task force has long recommended.

The draft guidelines are open for public comment through Dec. 17.

Most of the 50,000 new HIV infections in the U.S. every year are among gay and bisexual men, followed by heterosexual black women.

"We are not doing as well in America with HIV testing as we would like," Dr. Jonathan Mermin, CDC's HIV prevention chief, said Monday.

The CDC recommends at least one routine test for everyone ages 13 to 64, starting two years younger than the task force recommended. That small difference aside, CDC data suggests fewer than half of adults under 65 have been tested.

"It can sometimes be awkward to ask your doctor for an HIV test," Mermin said — the reason that making it routine during any health care encounter could help.

But even though nearly three-fourths of gay and bisexual men with undiagnosed HIV had visited some sort of health provider in the previous year, 48 percent weren't tested for HIV, a recent CDC survey found. Emergency rooms are considered a good spot to catch the undiagnosed, after their illnesses and injuries have been treated, but Mermin said only about 2 percent of ER patients known to be at increased risk were tested while there.

Mermin calls that "a tragedy. It's a missed opportunity."

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France to answer ratings downgrade with reforms

PARIS (Reuters) - France said on Tuesday it would respond to a Moody's credit downgrade by pushing on with reforms but complained the ratings agency had overlooked steps already taken to revamp the euro zone's second-largest economy.


France lost its prized triple-A badge from the Standard & Poor's in January and so Monday's move by Moody's was not surprising but it underlined doubts about Socialist President Francois Hollande's ability to fix France's public finances.


The downgrade also highlighted the divergence with the top-rated regional powerhouse Germany whose finance minister called it a "small warning" to its most important euro zone partner.


Moody's said on Tuesday that it would assess the triple-A ratings of the euro zone's EFSF and ESM bailout funds in light of the French downgrade.


However, its one-notch rating cut to Aa1 with a negative outlook did not affect the perceived status of French bonds which, along with German debt, are seen as a safe haven from the crisis in southern Europe.


"Moody's raised concerns about France's capacity to reform and so it is up to us to show that this time we are going to carry out reforms," Finance Minister Pierre Moscovici, leading a government offensive to play down the move, told journalists.


"The rating change does not call into question either the economic fundamentals of our country, the efforts undertaken by the government or our creditworthiness."


The government is planning the toughest belt-tightening effort in 30 years in 2013 but must also try and halt a growth slow-down that has seen unemployment surge to 13-year highs.


Moody's said it kept a negative outlook on France due to structural challenges and a "sustained loss of competitiveness" in the country, where business leaders blame high labor charges for flagging exports. It also cited "sizable exposures" of its banks to weak, southern euro zone countries.


"The first driver ... is the risk to economic growth, and therefore to the government's finances, posed by the country's persistent structural economic challenges," Moody's said.


The downgrade sent the euro 0.30 percent lower to 1.2770 against the dollar late on Monday but the currency recovered some ground to trade at 1.2810 at 1230 GMT Tuesday.


The benchmark French 10-year government bond yield - which has been trading at historic lows and offering Hollande crucial access to cheap borrowing - was little changed at 2.12 percent versus 2.08 percent before the downgrade.


Deutsche Bank economist Gilles Moec said the fact the downgrade was largely priced-in did not take the pressure off Hollande to show he will pursue more reforms, with an overhaul of rigid hiring and firing rules seen as the most pressing.


"Public opinion in France - as well as the market ultimately - will expect a reaction from the executive," Moec said. "The market ... is giving France the benefit of the doubt, but a further clarification of the policy stance is becoming urgent."


NEGATIVE OUTLOOK


Moody's said it could downgrade France again if efforts to free up the rigid labor market and overhaul an economy where public spending accounts for 57 percent of output ran into trouble.


"We would downgrade the rating further in the event of an additional material deterioration in France's economic prospects or in a scenario in which there were difficulties in implementing the announced reforms," Moody's lead France analyst Dietmar Hornung told Reuters.


He said more big shocks from the euro zone debt crisis would also exert downward pressure on the rating.


The downgrade follows concerns raised by the IMF that France could be left behind as Italy and Spain reform at a faster pace.


But analysts see French bonds remaining resilient for now.


"The French debt market is highly liquid and remains a favored venue for international investors, particularly in a world where 'double-A' is becoming the norm among Western states," Barclays France director Franklin Pichard said.


Yet with Germany one of the few major economies to retain a triple-A rating, the move is likely to reinforce Berlin's role as the capital calling the shots in the 17-country euro zone.


Michael Grosse-Broemer, parliamentary whip of German Chancellor Angela Merkel's ruling CDU party, told Reuters the downgrade gave fresh impulse to France to fulfill its reforms.


Finance Minister Wolfgang Schaeuble said the move should not be overdramatized but it was a warning for everyone in Europe to live up their responsibilities.


With France's 2-trillion-euro economy teetering on the brink of recession, Hollande surprised many this month by granting 20 billion euros in annual tax relief to companies, equivalent to a 6 percent cut in labour costs, to spur competitiveness.


The government also plans 30 billion euros in budget savings next year to trim its deficit and has promised reforms next year to add flexibility to rigid labour laws.


"Certain criticisms are too strong or are too late. I would have preferred that the bold and unprecedented decisions on the crisis were better received," Moscovici said of Moody's.


He said it was unfair to flag concerns over French banks as they have cut exposure to troubled euro states such as Greece.


"I don't expect (the downgrade) to have an immediate knock-on impact today on access to and cost of funding," said Espirito Santo analyst Andrew Lim of any impact on the banking sector.


But he said France's exposure to Spain, Italy and peripheral Europe should be kept in mind.


As far as government borrowing goes, France has completed its issuance for 2012. Demand is strong from foreign buyers, who hold 55 percent of its long-term bonds, but the downgrade could be a trigger to bet on yields rising next year.


"Our view is the market is teeing itself up to short France in 2013. It's the trade everyone wants to get into," said Lyn Graham-Taylor at Rabobank in London.


(Additional reporting by Blaise Robinson, Alexandre Boksenbaum-Granier and Andreas Rinke; Writing by Mark John; editing by Anna Willard)


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Gaza Clash Escalates With Deadliest Israeli Strike


Bernat Armangue/Associated Press


Smoke rose over Gaza City on Sunday, as Israel widened its range of targets to include buildings used by the news media.







CAIRO — Emboldened by the rising power of Islamists around the region, the Palestinian militant group Hamas demanded new Israeli concessions to its security and autonomy before it halts its rocket attacks on Israel, even as the conflict took an increasing toll on Sunday.




After five days of punishing Israeli airstrikes on the Hamas-controlled Gaza Strip and no letup in the rocket fire in return, representatives of Israel and Hamas met separately with Egyptian officials in Cairo on Sunday for indirect talks about a truce.


The talks came as an Israeli bomb struck a house in Gaza on Sunday afternoon, killing 11 people, in the deadliest single strike since the conflict between Israel and Hamas escalated on Wednesday. The strike, along with several others that killed civilians across the Gaza Strip, signaled that Israel was broadening its range of targets on the fifth day of the campaign.


By the end of the day, Gaza health officials reported that 70 Palestinians had been killed in airstrikes since Wednesday, including 20 children, and that 600 had been wounded. Three Israelis have been killed and at least 79 wounded by unrelenting rocket fire out of Gaza into southern Israel and as far north as Tel Aviv.


Hamas, badly outgunned on the battlefield, appeared to be trying to exploit its increased political clout with its ideological allies in Egypt’s new Islamist-led government. The group’s leaders, rejecting Israel’s call for an immediate end to the rocket attacks, have instead laid down sweeping demands that would put Hamas in a stronger position than when the conflict began: an end to Israel’s five-year-old embargo of the Gaza Strip, a pledge by Israel not to attack again and multinational guarantees that Israel would abide by its commitments.


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


Reda Fahmy, a member of Egypt’s upper house of Parliament and of the nation’s dominant Islamist party, who is following the talks, said Hamas’s position was just as unequivocal. “Hamas has one clear and specific demand: for the siege to be completely lifted from Gaza,” he said. “It’s not reasonable that every now and then Israel decides to level Gaza to the ground, and then we decide to sit down and talk about it after it is done. On the Israeli part, they want to stop the missiles from one side. How is that?”


He added: “If they stop the aircraft from shooting, Hamas will then stop its missiles. But violence couldn’t be stopped from one side.”


Hamas’s aggressive stance in the cease-fire talks is the first test of the group’s belief that the Arab Spring and the rise in Islamist influence around the region have strengthened its political hand, both against Israel and against Hamas’s Palestinian rivals, who now control the West Bank with Western backing.


It also puts intense new pressure on President Mohamed Morsi of Egypt, a former leader of the Muslim Brotherhood who was known for his fiery speeches defending Hamas and denouncing Israel. Mr. Morsi must now balance the conflicting demands of an Egyptian public that is deeply sympathetic to Hamas and the Palestinian cause against Western pleadings to help broker a peace and Egypt’s need for regional stability to help revive its moribund economy.


Indeed, the Egyptian-led cease-fire talks illustrate the diverging paths of the Muslim Brotherhood and Hamas, a Palestinian offshoot of the original Egyptian Islamist group. Hamas has evolved into a more militant insurgency and is labeled a terrorist organization by the United States and Israel, while the Brotherhood has effectively become Egypt’s ruling party. Mr. Fahmy said in an interview in March that the Brotherhood’s new responsibilities required a step back from its ideological cousins in Hamas, and even a new push to persuade the group to compromise.


Reporting was contributed by Ethan Bronner, Irit Pazner Garshowitz and Isabel Kershner from Jerusalem, and Peter Baker from Bangkok.



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