Wall Street climbs on economy bets as it looks past "cliff"

NEW YORK (Reuters) - U.S. stocks rallied on strong volume on Tuesday, capping off the S&P 500's best two-day run in a month, on confidence that a deal would be struck in Washington to avoid painful spending cuts and tax hikes that could hurt the economy.

Banks, energy and technology - sectors that would benefit during economic expansion - led gains as investors remain confident that lawmakers will come to an agreement to avoid the so-called "fiscal cliff" deadline at the end of the year.

The PHLX oil services sector index <.osx> jumped 3.1 percent, with eight of its 15 components up 3 percent or more.

"The view is that the economy is getting better, and that is always good for energy demand," said Shawn Hackett, president at Hackett Financial Advisors in Boynton Beach, Florida.

Hackett said the United States would avoid "whatever the cliff means" for the economy, allowing investors to focus on growth.

President Barack Obama's most recent offer to Republicans in the ongoing budget talks makes concessions on taxes and social programs spending. House Speaker John Boehner said the offer is "not there yet," though he remains hopeful about an agreement. Senate Democrats, however, have expressed concern about cuts to Social Security.

Financial stocks shot higher, as traders bet on a greater demand for loans and a steepening of the yield curve. U.S. government debt sold off Tuesday, with the benchmark 10-year U.S. Treasury note's yield briefly hitting its highest since late October.

The S&P financial sector <.gspf> added 1.5 percent.

The Dow Jones industrial average <.dji> rose 115.57 points, or 0.87 percent, to 13,350.96 at the close. The S&P 500 <.spx> gained 16.43 points, or 1.15 percent, to 1,446.79. The Nasdaq Composite <.ixic> added 43.93 points, or 1.46 percent, to 3,054.53.

It was the S&P 500's first back-to-back gain of more than 1 percent since late July.

Stocks of smaller companies outperformed the broader market, with the Russell 2000 <.rut> up 1.5 percent.

Shares of firearm makers sank in the aftermath of a school shooting in Newtown, Connecticut, on Friday that killed 20 young children and six adults.

Smith and Wesson fell 10 percent to $7.79 on its largest-ever daily volume, though it was still up about 77 percent so far this year. Sturm Ruger and Co slid 7.7 percent Tuesday to $40.60.

Private equity firm Cerberus Capital Management said it would sell gunmaker Freedom Group, whose Bushmaster AR-15 rifle was used in the Connecticut massacre. Dick's Sporting Goods suspended the sale of certain semi-automatic rifles in its stores nationwide.

Technology shares rose, led by Apple , up 2.9 percent at $533.90 after losing nearly 13 percent in the last two weeks. The S&P Information Technology Index <.gspt> rose 1.7 percent.

Arbitron Inc surged 23.6 percent to $47.03 after Nielsen Holdings NV agreed to buy the media and marketing research firm in a deal worth $1.26 billion. Nielsen rose 4.4 percent to $30.92.

About 7.4 billion shares changed hands on the New York Stock Exchange, the Nasdaq and NYSE MKT, more than the daily average so far this year of about 6.5 billion shares.

On the NYSE, roughly 14 issues rose for every five that fell, while on the Nasdaq, advancers outnumbered decliners by a ratio of about 5 to 2.

(Reporting by Rodrigo Campos; Editing by Jan Paschal)

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Observatory: Fossils of New Species Discovered in England

University of Leicester

A view of Pauline avibella, a shrmplike marine creature, from a computer-generated model.

A tiny, fossilized crustacean that lived 425 million years ago has been discovered, remarkably intact, in a rock formation in Herefordshire, England. Paleontologists say it represents a new genus and species, belonging to a class of shrimplike marine creatures called ostracods.

Despite their age, the two specimens were well preserved. They included the shell and the soft parts of the animal, including its body, limbs, eyes, gills and alimentary system.

“It gives us a really special insight into the biology of these animals,” said David Siveter of the University of Leicester in England. He and colleagues from the University of Oxford, Imperial College and Yale discuss the findings in the journal Proceedings of the Royal Society B.

The researchers determined that the animal had large eyes and seven pairs of limbs, with the front two pairs adapted for swimming.

It probably used these limbs to swim near the water’s bottom rather than in the water column, Dr. Siveter said.

Analyzing the fragile fossil posed a challenge. “We couldn’t grab it from the rock because it’s so delicate and small,” Dr. Siveter said. “And we couldn’t X-ray it because there wasn’t enough density contrast between the rock and the fossil.”

So the researchers used physical tomography, grinding minute slices off the fossils and capturing an image of each new section. The process, permitted by international guidelines for establishing new species, destroys the fossils themselves but yields detailed data to produce a computer-generated model.

The crustacean is named Pauline avibella, after Dr. Siveter’s deceased wife, Pauline.

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Gwen Stefani Calls Parenting with Gavin Rossdale the 'Ultimate Collaboration'

Courtesy Vogue

Despite her long list of impressive accolades, Gwen Stefani doesn’t have a problem pinpointing one of her proudest accomplishments.

The songstress, 43, and her husband Gavin Rossdale celebrated their 10-year wedding anniversary in September, a feat Stefani admits is far from easy, but worth the work.

“It’s pride. You feel proud. There are just so many rewards that come with it,” she tells the January issue of Vogue.

“But, actually, it’s fun to get to this point. Because you learn so much about somebody. It’s like these wars that go on and then you kind of get through to the other side, and it’s like, ‘Wow.’”

Strengthening their 16-year-long love has been the addition of the couple’s two children, sons Kingston James McGregor, 6½, and Zuma Nesta Rock, 4.

“Having kids takes the whole relationship to another place. It is the ultimate collaboration,” she explains. “Both of us have such strong opinions about how it should be, and it’s really fun to do it together.”

Fortunately for Stefani, it was a gradual ease into motherhood, with the biggest challenges of raising children finally presenting themselves only when it was time to send her eldest son off to school.

“At first your life is totally the same. You have this cute little thing that you get to drive around everywhere and you’re so proud and it’s amazing,” she says. “And as they grow older, it really does start to change your life. Like, ‘Oh my God, they have school, they have to get through first grade, they have to learn to read.’ It starts getting so serious, and you’re like, ‘Ahhh!’”

The sudden reality of parenting her rambunctious boys hit Stefani full force in 2011, when Rossdale headed out on tour with his band Bush to promote their first album after a 10-year hiatus.

With the dynamic parenting duo continents apart, the mom-of-two, who was once able to withstand longer stretches of separation from Rossdale, found her family wasn’t nearly as functional without her better half.

“I mean, he was there for me mentally, but physically? These boys are physical. They wake up and they start punching each other!” Stefani says with a laugh.

“One thing we’ve had in our relationship the whole time is that we can have it both ways: together, not together, and it’s fine. But when you have kids? It’s not so great. They need him.”

She continues, “Once you have a family, it’s just so obvious how everyone needs each other. So it’s really nice to have him back.”

Although she held down the homefront while Rossdale was away, the couple have also been known to pack up the troops and bring their boys along on the road. Most memorably, Stefani hit the stage while pregnant with Kingston and continued touring after welcoming her son — balancing breastfeeding and show schedules.

“I would want to throw up during certain songs. Certain outfits would make me sick. It was torture. I toured until I was 4½ months pregnant, showing,” she recalls, returning to the road when Kingston was 8 months old.

“I nursed him for 14 months, so I would literally do my hair and makeup, go back to the bus, nurse him, put him down and walk out on stage. And I did that for 100 shows.”

Fortunately for the No Doubt frontwoman, there have been performances that have kept her much closer to home — and to her boys. Teaming up with her bandmates after a three-year break, the group swapped out concert venues for a much more intimate atmosphere when they agreed to participate in Zuma’s school fundraiser.

“I was going to do an acoustic thing with Tom [Dumont], just a couple of songs. The night before we were like, ‘Why don’t we all do it?’” she shares. “And we got up there and we did these songs, and it was a very surreal setting. It was kind of weird going to school the next day. Oooh, awkward! But it was so great.”

From her personal to her professional lives — and her whole brood of boys, from her band to her family — Stefani is utterly blessed. So much so, that she admits she often wonders if it’s all just a dream.

“[Our house is] an all-white box, super modern, 30 foot ceilings, marble floors. It’s just so nice,” she says. “I never thought I’d live in a house like this. Every day I’m like, ‘Really? Are you serious? Thank you, God. This is too good.’”

– Anya Leon

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Experts: No link between Asperger's, violence

NEW YORK (AP) — While an official has said that the 20-year-old gunman in the Connecticut school shooting had Asperger's syndrome, experts say there is no connection between the disorder and violence.

Asperger's is a mild form of autism often characterized by social awkwardness.

"There really is no clear association between Asperger's and violent behavior," said psychologist Elizabeth Laugeson, an assistant clinical professor at the University of California, Los Angeles.

Little is known about Adam Lanza, identified by police as the shooter in the Friday massacre at a Newtown, Conn., elementary school. He fatally shot his mother before going to the school and killing 20 young children, six adults and himself, authorities said.

A law enforcement official, speaking on condition of anonymity because the person was not authorized to discuss the unfolding investigation, said Lanza had been diagnosed with Asperger's.

High school classmates and others have described him as bright but painfully shy, anxious and a loner. Those kinds of symptoms are consistent with Asperger's, said psychologist Eric Butter of Nationwide Children's Hospital in Columbus, Ohio, who treats autism, including Asperger's, but has no knowledge of Lanza's case.

Research suggests people with autism do have a higher rate of aggressive behavior — outbursts, shoving or pushing or angry shouting — than the general population, he said.

"But we are not talking about the kind of planned and intentional type of violence we have seen at Newtown," he said in an email.

"These types of tragedies have occurred at the hands of individuals with many different types of personalities and psychological profiles," he added.

Autism is a developmental disorder that can range from mild to severe. Asperger's generally is thought of as a mild form. Both autism and Asperger's can be characterized by poor social skills, repetitive behavior or interests and problems communicating. Unlike classic autism, Asperger's does not typically involve delays in mental development or speech.

Experts say those with autism and related disorders are sometimes diagnosed with other mental health problems, such as depression, anxiety, bipolar disorder or obsessive-compulsive disorder.

"I think it's far more likely that what happened may have more to do with some other kind of mental health condition like depression or anxiety rather than Asperger's," Laugeson said.

She said those with Asperger's tend to focus on rules and be very law-abiding.

"There's something more to this," she said. "We just don't know what that is yet."

After much debate, the term Asperger's is being dropped from the diagnostic manual used by the nation's psychiatrists. In changes approved earlier this month, Asperger's will be incorporated under the umbrella term "autism spectrum disorder" for all the ranges of autism.

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AP Writer Matt Apuzzo contributed to this report.

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Online:

Asperger's information: http://1.usa.gov/3tGSp5

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Optimism about "cliff" boost market; financials lead

NEW YORK (Reuters) - The S&P 500 ended at its highest level in almost two months on Monday on rising hopes that negotiations over the "fiscal cliff" were making progress and that a deal could be reached in days.

After weeks of stalemate, President Barack Obama and Republican House Speaker John Boehner met at the White House on Monday, raising hopes that Washington will be able to head off steep tax hikes and spending cuts that threaten the economy.

All of the S&P 500's 10 sectors were higher, led by financials and other growth-oriented sectors. The S&P Financial Index <.gspf> gained 2.1 percent, and shares of Bank of America jumped 4 percent to $11. In a research note Monday, Meredith Whitney Advisory Group shifted to a positive stance on financials and upgraded Bank of America, Citigroup and Discover Financial shares.

The S&P consumer distretionary index <.gspd>, up 1.8 percent, was the second-best performing sector. Investors worry the U.S. economy could slide into recession if the tax and spending changes are implemented.

Boehner has edged closer to Obama's position by proposing to extend lower tax rates for everyone who earns less than $1 million. Still, his position remains far from that of President Obama.

"Trumping everything right now are the fiscal cliff talks. It seems like progress is being made. I think it's getting to the nitty gritty," said Alan Lancz, president of Alan B. Lancz & Associates Inc. in Toledo, Ohio. "The bet right now is that something will come by the end of this week."

The Dow Jones industrial average <.dji> was up 100.38 points, or 0.76 percent, at 13,235.39. The Standard & Poor's 500 Index <.spx> was up 16.78 points, or 1.19 percent, at 1,430.36, its highest close since October 22. The Nasdaq Composite Index <.ixic> was up 39.27 points, or 1.32 percent, at 3,010.60.

The gains, which came on lighter-than-usual volume, ended a two-day losing streak on the S&P 500. The index also had its best daily percentage gain since November 23. Volume was roughly 6.2 billion shares traded on the New York Stock Exchange, the Nasdaq and the NYSE MKT, compared with the year-to-date average daily closing volume of 6.4 billion.

In the financial sector, American International Group Inc. shares rose 3 percent to $34.95 on plans to sell as much as $6.5 billion of AIA Group Ltd. Advancing stocks also included those in the home construction sector <.djushb>, which rose 4.5 percent.

"People are looking for sectors to play, and I think Bank of America broke out of some long-standing price levels, and it got everything going in that sector," said Rick Meckler, president of investment firm LibertyView Capital Management in Jersey City, New Jersey.

Shares of Citigroup were up 4.1 percent at $39.15 while shares of Discover Financial were up 1.6 percent at $40.18.

Clearwire Corp agreed to sell the rest of the company to Sprint Nextel Corp for a slightly sweetened $2.2 billion offer just days after minority shareholders criticized the previous bid as too low. Clearwire tumbled 13.6 percent to $2.91, while Sprint was up 0.2 percent to $5.56.

Apple Inc shares edged up after recent losses, rising 1.8 percent to $518.83 even though two firms cut their price targets on the stock Monday.

The tech giant said it sold more than 2 million of its new iPhone 5 smartphones in China during the three days after its launch there on Friday, but the figures did not ease worries about stiffer competition. Apple shares have tumbled more than 25 percent in about three months.

Compuware Corp rose 12.9 percent to $10.76 after hedge fund Elliott Management offered to buy the business software maker for $2.3 billion and S&P Capital IQ raised the target price and moved it to "hold" from "strong sell.

Advancers outnumbered decliners on the NYSE by about 2 to 1, and on the Nasdaq by nearly 9 to 4.

(Editing by Kenneth Barry and Nick Zieminski)

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Syrians Face a Bread Shortage in Aleppo and Elsewhere

Tyler Hicks/The New York Times

A bakery in Aleppo. The price has shot up from 15 Syrian pounds, about 21 cents, for a bag of about eight flat, pitalike loaves to more than 200 pounds, nearly $3.

GAZIANTEP, Turkey — Jalal al-Khanji, the closest thing the Syrian city of Aleppo has to a mayor, hopes to organize elections there within two weeks, but he fears that residents with empty stomachs are in no mood for an experiment in democracy.

Since late November, bread has been scarce, with a lack of fuel and flour shutting most bakeries in Aleppo.

“We cannot hold elections while people are hungry; we have to solve that problem first,” he said in an interview in this southern Turkish city, where many leaders of Aleppo’s civil society have sought refuge. “People are angry, frustrated and depressed. They can understand how countries like France and Britain and the United States might hold back on the issue of weapons, but not on the issue of bread and diesel.”

The revolution that erupted across Syria in March 2011 only slowly engulfed Aleppo, Syria’s commercial capital. Long after major cities were convulsed by demonstrations, Aleppo’s residents still showed up in Gaziantep by the busload every weekend to scour the malls.

The armed struggle for the city began in earnest last July.

In August, the prominent doctors, engineers, pharmacists and businessmen sheltering here established the Aleppo Transitional Revolutionary Council, a kind of city government in exile for the liberated portions of the city. Mr. Khanji, 67, a civil engineer with a long history of opposing the Syrian government, serves as its president.

Dividing their time between Gaziantep and Aleppo, council members found the chaos convulsing their city worrisome. What if all the competing militias on the ground, even if nominally part of the loosely allied Free Syrian Army, continued to fight for the spoils even after the government’s forces were driven from the city?

They decided the remedy was an elected council of about 250 members who would run both the city and the province of Aleppo, roughly one representative for every 20,000 people in the liberated areas. The council would choose a smaller group to actually govern the city.

The idea is for the council to serve as a liaison between the military and the civilian populations. “If civilian life is not organized, if we cannot do anything, then the chaos will continue,” said a 29-year-old businessman who is also on the transitional council. Several members of the council declined to give their names because they still travel to government-controlled areas.

About 65 percent of the villages have already chosen their representatives, he said, but the humanitarian crisis in Aleppo forced a postponement of the choice of about 150 representatives from the city itself.

The transitional council is in the process of establishing a 500-member police force and runs a few courts, but members view the bread crisis as their first big test. “We represent a civil government to some extent, so if we cannot solve this problem there will be a lack of trust in such rule in the future,” said the businessman.

There is also competition. While about 70 percent to 80 percent of the Free Syrian Army commanders in the province have agreed to support the elected council, election organizers said, opponents include jihadi groups hostile to the very idea of democratic elections.

One such prominent group, Jibhat al-Nusra, which the United States sought to ostracize last week by labeling it a terrorist organization, has been distributing bread in and around Aleppo.

“The so-called terrorists are the ones who have been giving us bread and distributing it fairly,” said Tamam Hazem, a spokesman in Aleppo’s news media center, reached via Skype. “Free Syrian Army battalions have been trying to help, but they just don’t have the same kind of experience.”

Council members pleaded for outside help to counter the jihadists’ efforts. “They are offering bread to people to obtain their sympathy and respect,” said Mr. Khanji, the council’s president. “Prolonging the Syrian crisis will allow the extremist cells in Syria to grow and become more difficult to remove in the future.”

Hania Mourtada contributed reporting from Beirut, Lebanon, and Sebnem Arsu from Kilis, Turkey.

This article has been revised to reflect the following correction:

Correction: December 16, 2012

An earlier version of this article misstated the prewar price, in Syrian pounds and the dollar equivalent, of an eight-loaf bag of bread in Syria. It is 15 Syrian pounds, or about 21 cents; not 25 Syrian pounds, or about 33 cents. The error was repeated in the picture caption with the earlier version.  

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Which Les Misérables Star Did You Pick as Best Dressed This Week?

Stylewatch
Style News Now

12/15/2012 at 12:00 PM ET

FameFlynet

Her costar Anne Hathaway had everyone talking this week, but Amanda Seyfried seemingly earned the last word: 16,000 of you voted her gorgeous gown the number-one dress of the week.

The winning Alexander McQueen creation, worn to the Les Misérables premiere in N.Y.C. on Monday, featured a golden embroidered bodice, a tortoiseshell belt and black skirt.

PHOTOS: SEE THE TOP 10 BEST DRESSED STARS ON PEOPLE THIS WEEK! 

Seyfried finished off the regal design with a braided crown, Harry Winston jewels and a smoky eye.

Coming in a close second was last week’s best dressed star, Katie Holmes, in a grape Vivienne Westwood column gown paired with emerald satin Roger Vivier sandals for a Broadway Dreams Foundation party in N.Y.C. on Monday.

Click here to find out who else ranked in the top 10 and vote for your favorite celeb looks. Tell us: Who do you think had better Les Mis red carpet premiere style: Seyfried or Hathaway? Sound off in the comments.

–Jennifer Cress

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Experts: No link between Asperger's, violence

NEW YORK (AP) — While an official has said that the 20-year-old gunman in the Connecticut school shooting had Asperger's syndrome, experts say there is no connection between the disorder and violence.

Asperger's is a mild form of autism often characterized by social awkwardness.

"There really is no clear association between Asperger's and violent behavior," said psychologist Elizabeth Laugeson, an assistant clinical professor at the University of California, Los Angeles.

Little is known about Adam Lanza, identified by police as the shooter in the Friday massacre at a Newtown, Conn., elementary school. He fatally shot his mother before going to the school and killing 20 young children, six adults and himself, authorities said.

A law enforcement official, speaking on condition of anonymity because the person was not authorized to discuss the unfolding investigation, said Lanza had been diagnosed with Asperger's.

High school classmates and others have described him as bright but painfully shy, anxious and a loner. Those kinds of symptoms are consistent with Asperger's, said psychologist Eric Butter of Nationwide Children's Hospital in Columbus, Ohio, who treats autism, including Asperger's, but has no knowledge of Lanza's case.

Research suggests people with autism do have a higher rate of aggressive behavior — outbursts, shoving or pushing or angry shouting — than the general population, he said.

"But we are not talking about the kind of planned and intentional type of violence we have seen at Newtown," he said in an email.

"These types of tragedies have occurred at the hands of individuals with many different types of personalities and psychological profiles," he added.

Autism is a developmental disorder that can range from mild to severe. Asperger's generally is thought of as a mild form. Both autism and Asperger's can be characterized by poor social skills, repetitive behavior or interests and problems communicating. Unlike classic autism, Asperger's does not typically involve delays in mental development or speech.

Experts say those with autism and related disorders are sometimes diagnosed with other mental health problems, such as depression, anxiety, bipolar disorder or obsessive-compulsive disorder.

"I think it's far more likely that what happened may have more to do with some other kind of mental health condition like depression or anxiety rather than Asperger's," Laugeson said.

She said those with Asperger's tend to focus on rules and be very law-abiding.

"There's something more to this," she said. "We just don't know what that is yet."

After much debate, the term Asperger's is being dropped from the diagnostic manual used by the nation's psychiatrists. In changes approved earlier this month, Asperger's will be incorporated under the umbrella term "autism spectrum disorder" for all the ranges of autism.

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AP Writer Matt Apuzzo contributed to this report.

___

Online:

Asperger's information: http://1.usa.gov/3tGSp5

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Wall Street Week Ahead: Holiday "on standby" as clock ticks on cliff

NEW YORK (Reuters) - The last two weeks of December are traditionally quiet for stocks, but traders accustomed to a bit of time off are staying close to their mobile devices, thanks to the "fiscal cliff."

Last-minute negotiations in Washington on the so-called fiscal cliff - nearly $600 billion of tax increases and spending cuts set to take effect in January that could cause a sharp slowdown in growth or even a recession - are keeping some traders and analysts from taking Christmas holidays because any deal could have a big impact on markets.

"A lot of firms are saying to their trading desks, 'You can take days off for Christmas, but you are on standby to come in if anything happens.' This is certainly different from previous years, especially around this time of the year when things are supposed to be slowing down," said J.J. Kinahan, chief derivatives strategist at TD Ameritrade in Chicago.

"Next week is going to be a Capitol Hill-driven market."

With talks between President Barack Obama and House Speaker John Boehner at an apparent standstill, it was increasingly likely that Washington will not come up with a deal before January 1.

Gordon Charlop, managing director at Rosenblatt Securities in New York, will also be on standby for the holiday season.

"It's a 'Look guys, let's just rotate and be sensible" type of situation going on," Charlop said.

"We are hopeful there is some resolution down there, but it seems to me they continue to walk that political tightrope... rather than coming up with something."

Despite concerns that the deadline will pass without a deal, the S&P 500 has held its ground with a 12.4 percent gain for the year. For this week, though, the S&P 500 fell 0.3 percent.

BEWARE OF THE WITCH

This coming Friday will mark the last so-called "quadruple witching" day of the year, when contracts for stock options, single stock futures, stock index options and stock index futures all expire. This could make trading more volatile.

"We could see some heavy selling as there is going to be a lot of re-establishing of positions, reallocation of assets before the year-end," Kinahan said.

RETHINKING APPLE

Higher tax rates on capital gains and dividends are part of the automatic tax increases that will go into effect next year, if Congress and the White House don't come up with a solution to avert the fiscal cliff. That possibility could give investors an incentive to unload certain stocks in some tax-related selling by December 31.

Some market participants said tax-related selling may be behind the weaker trend in the stock price of market leader Apple . Apple's stock has lost a quarter of its value since it hit a lifetime high of $705.07 on September 21.

On Friday, the stock fell 3.8 percent to $509.79 after the iPhone 5 got a chilly reception at its debut in China and two analysts cut shipment forecasts. But the stock is still up nearly 26 percent for the year.

"If you owned Apple for a long time, you should be thinking about reallocation as there will be changes in taxes and other regulations next year, although we don't really know which rules to play by yet," Kinahan said.

But one indicator of the market's reduced concern about the fiscal cliff compared with a few weeks ago, is the defense sector, which will be hit hard if the spending cuts take effect. The PHLX Defense Sector Index <.dfx> is up nearly 13 percent for the year, and sits just a few points from its 2012 high.

(Reporting by Angela Moon; Additional reporting by Chuck Mikolajczak; Editing by Jan Paschal)

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Foreign Minister Blames Sanctions for Syria’s Troubles

BEIRUT, Lebanon — Receiving a high-level United Nations delegation on Saturday in Damascus, Syria’s foreign minister blamed international sanctions for his country’s problems and called on the United Nations to help lift the measures, which were imposed to punish the government for its crackdown on pro-democracy protesters that spiraled into armed conflict.

Government forces continued airstrikes and artillery barrages in the suburbs of Damascus, the capital, as a top United Nations official, Valerie Amos, visited the city to investigate the needs of Syrians during a conflict that has killed more than 40,000 people and led more than a half-million to flee the country, with many more displaced inside Syria.

The civil war set off by the brutal crackdown on peaceful protests has devastated many cities and suburbs as the government levels rebellious neighborhoods and some rebels set off bombs.

But Foreign Minister Walid al-Moallem and other officials placed the blame elsewhere, according to Syrian and foreign news reports, saying, “The sanctions imposed by the United States and countries of the European Union on Syria are responsible for the suffering of the Syrian people.”

In the northern city of Aleppo, rebels claimed to have taken another important military installation, the region’s infantry school, though some reports said that fighting continued on Saturday.

There was an outpouring of grief from antigovernment activists and fighters after a commander of a rebel group, the Tawhid, or Unification, Brigade, was reported to have died in the fighting. It was an unusual moment of focus on an individual in an uprising with few widely known leaders or public faces.

The commander, Yousef al-Jader, also known as Abu Furat, had earlier recorded a statement, posted online on Saturday, that resonated with many Syrians.

“I feel very sad whenever I see a dead man, whether from our side or their side,” he said.

Speaking about President Bashar al-Assad, who has resisted calls to step down, he asked: “Why did he have to hold on to his seat? If he had resigned, we would have the best country in the world.”

Opposition members were distraught over the death of Mr. Jader, considered a skilled and respected officer by others in the loose-knit Free Syrian Army.

“A man has left our world, and men are few,” Samar Yazbek, a prizewinning novelist, wrote on Facebook, adding that Mr. Jader’s statement had made her cry. “His quavering and humanitarian voice represented, for me, the lovely and difficult future of Syria,” she wrote. “He barely lighted a star in the sky of our pain!”

The commander was one of many fighters to die in the fighting at the infantry school, which is north of Aleppo, in Muslimiyah.

A Syrian activist in the region, reached by phone, said rebels, who had breached the school’s compound several days ago and had been fighting for it building by building, had lost as many as 25 fighters there on Saturday. “It was a big victory for us, but very costly,” said the activist, Yasser al-Haji.

It is unclear whether the rebels will keep control of the base. In many cases, rebels have quickly taken ammunition from captured bases and then abandoned them, wary of government attacks.

In Jordan, officials who defected from the Syrian government announced that they had formed a new opposition group led by Mr. Assad’s former prime minister, Riyad Farid Hijab, one of the highest-ranking officials to desert during the conflict.

The group, called the National Free Coalition of the Workers of Syrian Government Institutions, aims to keep state structures intact if Mr. Assad’s government falls, Reuters reported.

The group includes Abdu Hussameldin, the former deputy oil minister, and others, who, at a news conference in Amman, expressed support for the Free Syrian Army and the National Coalition of Syrian Revolutionary and Opposition Forces, recently recognized by the United States and others as the legitimate representative of Syrians.

Fighting continued east of Damascus; activists reported airstrikes in Beit Saham, near the Damascus airport. The government claims to have pushed rebels out of some southern suburbs after heavy shelling, and is now focusing attacks in the east in an effort to seal off the capital.

While rebels appeared to make many some gains in a semicircle of suburbs around the capital in recent weeks, those were followed by a fearsome government counterattack, and some analysts have suggested that what began as a victory for the rebels has become, as has happened several times before, a defeat.

The government may have led rebels into a trap, reported the Lebanese newspaper As-Safir, a left-leaning publication that often supports the pro-Assad Lebanese group Hezbollah. Citing informed sources, the newspaper said that the government intentionally withdrew forces from some Damascus suburbs to draw rebels in, stretch their supply lines and later wipe them out.

Syrian state news media reported that Leila Zerrougui, a United Nations special representative, visited camps for families displaced by the fighting and called on all sides to protect children affected by the conflict.

Anne Barnard reported from Beirut, and C. J. Chivers from Antakya, Turkey. Hania Mourtada contributed reporting from Beirut.

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