Oil Slides on Renewed Recession Worries

Oil futures fell below $90 a barrel Monday, extending their recent streak of back and forth trading as recession fears reasserted themselves. Concerns about a severe economic slowdown were reignited by a dismal report on new home sales in the United States as well as by overnight declines in global stock markets. Sales of new homes plummeted a record 26.4 percent last year while the median price of a new home edged up just 0.2 percent, the worst showing since 1991, the Commerce Department said.

Stocks fluctuated in Monday trading on investor nervousness. Energy investors often view equity markets as a proxy for economic growth, fearing that a slowdown would curtail demand for oil and petroleum products such as gasoline and heating oil. "The movements in the equity markets reflect the sentiment on the U.S. economy and how other economies in the world may be affected ... if it slides into a deep recession," said Victor Shum, an energy analyst with Purvin & Gertz in Singapore.

Indeed, domestic demand for gasoline fell last week by 152,000 barrels, according to the Energy Department, and some analysts think demand will fall more sharply in the coming weeks.
"I still think we have some ugly demand numbers coming out," said Tom Kloza, publisher and chief oil analyst at the Oil Price Information Service in Wall, N.J. Light, sweet crude for March delivery fell $1.50 to $89.21 a barrel on the New York Mercantile Exchange, reversing two days of gains that had pushed prices back above $90.

At the pump, meanwhile, gas prices fell 0.5 cent Monday to a national average of $2.981 a gallon, according to AAA and the Oil Price Information Service. Retail gas prices, which typically lag the futures market, have mostly fallen since oil began its retreat from the record $100 level earlier this month. Tepid demand is also pressuring gas prices, though many analysts and the Energy Department expect prices to reverse and rise to new records near $3.50 a gallon when demand rebounds in the spring.

Energy traders are awaiting Wednesday's Federal Reserve meeting and a Friday OPEC meeting. If the Fed cuts rates sharply, energy investors could send prices higher, as they did last week on optimism sparked by a surprise Fed rate cut and a Congressional plan to stimulate the economy. On the other hand, analysts warn that investors could view another big rate cut as a sign the economy is in worse shape than thought, and send prices lower.

The Organization of Petroleum Exporting Countries is expected to hold production levels steady at its Vienna meeting, though any surprise could send prices sharply higher or lower.
Other energy futures also fell Monday. Heating oil futures for February delivery fell 4.29 cents to $2.4762 a gallon on the Nymex while February gasoline futures dropped 3.12 cents to $2.287 a gallon. February natural gas futures slipped 1.7 cents to $7.966 per 1,000 cubic feet.
In London, Brent crude fell $1.15 to $89.75 a barrel on the ICE Futures exchange.
By John Wilen
Source: Associated Press

1 Killed when helicopter crashes on L.A. freeway

One person was killed when a small helicopter crashed onto a busy freeway, officials said.
The helicopter crashed Friday night on the southbound lanes of Highway 110 in south Los Angeles, Los Angeles Fire Department spokesman Ron Myers said. Fire crews arrived at the scene to find the aircraft burning. One body was later found in the wreckage. The victim's identity was not immediately released.

Myers said the helicopter was possibly homemade, with just one or two seats. There were no immediate reports of any vehicles being involved in the crash.
Debris was scattered across several hundred yards of the freeway, but the California Highway Patrol reopened some lanes in both directions late Friday, Myers said.
Source: Associated Press

Obama Delivers Letterman's Top 10 List

Sen. Barack Obama is making some campaign promises we can be pretty sure he won't keep.
Appearing Thursday on the "Late Show With David Letterman," the Democratic presidential candidate delivered a tongue-in-cheek list of his top 10 campaign promises, including a pledge to rename the tenth month of the year "Barack-tober."

Also on the list is a vow to "appoint Mitt Romney secretary of lookin' good" and another to "put Regis on the nickel." And the No. 1 campaign promise? "Three words: Vice President Oprah."

Obama, the latest in a string of candidates to show up on Letterman's show, appeared just briefly to deliver the night's list. Earlier this week, candidate John Edwards came on the show only to have his carefully coifed hair messed up by the host. On Thursday, Obama joked that Lettermen couldn't repeat that prank, telling him: "you can't muss my hair."
Source: Google News

Oil Prices Rise to Near $90 a Barrel

Oil futures rose Friday in Asia to extend a gain of more than $2 a barrel after U.S. leaders agreed to a stimulus plan in an effort to avert a major slowdown in the world's largest economy. Light, sweet crude for March delivery rose 39 cents to $89.80 a barrel in Asian electronic trading on the New York Mercantile Exchange by midday in Singapore. The contract gained $2.42 to settle at $89.41 a barrel in the floor session.

Prices were also boosted Thursday after the U.S. government reported a drop in heating oil supplies. But the overnight gains really accelerated -- with oil posting its largest rise in over three weeks on word that the Bush administration and Congressional leaders had reached an agreement on an economic stimulus package. Traders have bet that the tax rebates of $600 to $1,200 that are part of the package will boost oil demand.

Meanwhile, the weekly inventory report from the Energy Department's Energy Information Administration showed stocks of distillates, which include heating oil and diesel fuel, fell 1.3 million barrels last week. Analysts surveyed by Dow Jones Newswires had said, on average, distillate supplies would remain unchanged. That decline was countered by domestic gasoline inventories, which jumped 5 million barrels, more than triple the analysts' expectations. Crude inventories rose 2.3 million barrels, the EIA said, slightly more than expected.

Because the report was mixed, investors' attention has returned to the economy and rebounding global stock markets. Oil prices fell in recent days, following equity markets that dropped earlier this week on U.S. recession worries. But with the Federal Reserve's emergency cut in its key interest rate Tuesday, stock markets worldwide have been rebounding, although extreme volatility continues to mark trading.

On Friday in Asia, Japan's benchmark Nikkei index was up 2.9 percent in afternoon trading, while Hong Kong's Hang Seng had gained as much as 5.9 percent in its morning session. On Thursday, the Dow Jones industrial average gained more than 100 points for its second straight positive finish. Energy investors often view stocks as a proxy for economic growth, fearing that a slowdown would curtail demand for oil and petroleum products such as gasoline and heating oil.

In London, March Brent crude rose 33 cents to $89.40 a barrel on the ICE Futures exchange in London. Nymex heating oil futures rose 0.92 cent to $2.4855 a gallon while gasoline prices added 0.97 cent to $2.2925 a gallon. November natural gas futures rose 5.8 cents to $7.86 per 1,000 cubic feet.
Source: Google News

GOP Rivals Depict Clinton As Unworthy

Republican presidential contenders depicted Sen. Hillary Rodham Clinton as weak on Iraq and certain to raise taxes Thursday night, setting aside their own campaign debate squabbles long enough to agree that she is unworthy of the White House. "She is so out of step with the American people," said former Massachusetts Gov. Mitt Romney, joined by Sen. John McCain and Rudy Giuliani in criticizing the former first lady.

The chorus of criticism came as Republicans strived to present their credentials as advocates of tax cuts, particularly to head off the threat of recession. They generally agreed that the newly minted, bipartisan economic stimulus package was a good start but did not go far enough.

"I will vote for it," said McCain, the only contender on stage with a Senate seat. He quickly added he wants the tax cuts President Bush won from Congress in 2001 and 2003 to be made permanent. Former Arkansas Gov. Mike Huckabee and Texas Rep. Ron Paul shared the debate stage, five days before the Florida primary that is the latest pivot point in the battle for the Republican presidential nomination.

The 90-minute debate featured a series of remarkably blunt questions to the five candidates on stage.Giuliani was asked why his poll numbers are deteriorating in Florida, a state where he has devoted two weeks to campaigning. With a smile, he said he was like the New York Giants, the professional football team that made its way through a turbulent season and will play in the Super Bowl.

McCain was asked about his own mother's statement that he lacked support from certain elements of the Republican Party. He said -- despite primary day polls that showed otherwise -- that he won the Republican vote in the New Hampshire and South Carolina primaries, then pivoted to add that he won the support of independents as well.

"They know I'll put my country ahead of my party every time," he added, attempting to portray himself as more electable than his rivals in the general election.It wasn't the only moment where the focus turned away from the battle for the Republican presidential nomination, and toward the general election campaign with the Democrats. Romney had a quick reply when asked how he would run against the team of Clinton and her husband, the former president.

"I frankly can't wait because the idea of Bill Clinton back in the White House with nothing to do is something I can't imagine," he said. After saying Clinton wanted to retreat from Iraq, raise taxes and win government-run health care, Romney added, "She is exactly what's wrong in Washington. I said before, `Washington is broken. She is Washington to the core."
By David Espon
Source: Google News

Existing Single-Family Home Sales Drop

Sales of existing homes fell in December, closing out a horrible year for housing in which sales of single-family homes plunged by the largest amount in 25 years. The median home price dropped for the entire year, the first time that has occurred in four decades.
The National Association of Realtors reported that sales of single-family homes and condominiums dropped by 2.2 percent in December to a seasonally adjusted annual rate of 4.89 million units.

For the year, sales of single-family homes were down by 13 percent, the biggest drop since a 17.7 percent plunge in 1982. The median price for a single-family home dropped 1.8 percent
That was the first annual price decline on records going back to 1968. Lawrence Yun, the Realtors' chief economist, said it was likely that the country has not experienced a decline in housing prices for an entire year since the Great Depression of the 1930s.

The new figures underscored the severity of the slump in housing, which has been battered for the past two years after enjoying a boom in which sales set records for five consecutive years.
The housing bust has sent shock waves through the entire economy as defaults have risen, resulting in multibillion-dollar loses for big financial firms whose investments in subprime mortgages have gone sour.

There is a concern that the housing and credit troubles could be enough to push the country into a full-blown recession. After global stock markets experienced a sharp sell-off earlier this week, the Federal Reserve announced a bold three-quarter point cut in a key interest rate and held out the promise of more rate cuts to follow. The Bush administration and congressional leaders are trying to quickly wrap up negotiations on a stimulus package in an effort to boost consumer and business confidence.

For December, sales were down in all regions of the country. Sales fell by 4.6 percent in the Northeast, 1.7 percent in the Midwest, 1 percent in the South and 2.1 percent in the West.
The inventory of unsold homes dropped by 7.4 percent, raising hopes that backlogs that had hit record levels were starting to be reduced, a key factor necessary to prompt a rebound in the market.

While Yun said he expected sales to start to rebound this spring, other analysts said housing is likely to remain in the doldrums throughout most of 2008, reflecting in part the credit crunch, which has caused lenders to tighten their standards, making it harder for prospective buyers to qualify for loans.
By Martin Crutsinger
Souce: Google News

EBay CEO Whitman Stepping Down

Calling eBay Inc. her "baby," outgoing chief executive Meg Whitman is promising a smooth transition to a new corporate leadership team as she gives up day-to-day control of the online auction company she has led for 10 years.

"EBay is my baby in many ways, and I wanted to make sure the transition was handled in a first class way," Whitman told The Associated Press. She will remain on eBay's board of directors and make herself available to the new team, but looks forward to escaping the 24/7 grind.
"I'm going to power down a little bit," she said. Whitman said she will continue working on presidential candidate Mitt Romney's campaign and a family foundation that focuses on education and health care. Whitman, 51, will leave March 31. She said she began three years ago to think seriously about who would succeed her at the Internet giant she led for 10 years.

Incoming chief executive John Donahoe said during a conference call with analysts Wednesday that eBay is not growing as rapidly as he would like, and he sees the greatest opportunity for growth in increasing the site's offering of fixed-price items. "We need to aggressively change our product, our customer approach and business model," said Donahoe, who has been heading eBay's core auction and e-commerce businesses.

EBay shares fell $2.66, or 9.2 percent, to $26.28 at the open of trading Thursday.
Donahoe pledged to upgrade the site and change the way it charges sellers for listing items. Though details are to come later, he indicated that eBay would lower the fees that people pay to list something for sale, but raise the commission that eBay takes on successful sales.
That's a move analyst Derek Brown of Cantor Fitzgerald said will be eBay's "wild card" going forward, placing pressure on the site to turn any increase in listings into actual sales transactions.

"(The fee structure change) in itself has the potential to change the face of eBay," Brown said.
Donahoe plans on upgrading the site's search function so that if there is an influx of listings, users can still easily find what they are looking for.

Brown said Donahoe's openness about some of eBay's problems is encouraging, but "it feels as if they are pulling a lot of levers at once and that can create its own challenges." The announcement of Whitman's departure came as eBay reported a 53 percent gain in fourth-quarter profits due to a strong holiday season. The results beat Wall Street's expectations, though the company's future guidance was tepid.
By Amanda Fehd
Writer Brian Bergstein contributed to this report
Source: Associated Press

Deal Reached on Tax Rebates for Stimulus

Democrats running Congress and the Bush administration reached a tentative deal Thursday on $300-$1,200 tax rebates and business tax cuts to jolt the slumping economy.
House Speaker Nancy Pelosi agreed to drop increases in food stamp and unemployment benefits during the Wednesday meeting in exchange for gaining rebates of at least $300 for almost everyone earning a paycheck, including low-income earners who make too little to pay income taxes.

Families with children would receive an additional $300 per child, subject to an overall cap of perhaps $1,200, according to a senior House aide who outlined the deal on condition of anonymity in advance of formal adoption of the whole package. Rebates would go to people earning below a certain income cap, likely individuals earning $75,000 or less and couples with incomes of $150,000 or less.

The emerging package was already drawing fire from liberal activists and labor unions upset that proposals to extend unemployment insurance and boost food stamps had been dropped. They said those ideas could pump money into the economy more quickly than tax rebate checks that won't be delivered until June.

Conservative Republicans were likely to be restless over tax rebates going to those without income tax liability. Democratic aides said greater GOP flexibility over giving relief to poor families with children -- who would not have been eligible under President Bush's original tax rebate proposal -- was the catalyst that moved the talks forward.
Source: Google News

Britney Again Skips Custody Case Hearing

For the second time in a row, Britney Spears made it to the courthouse for a hearing in her ongoing child custody dispute -- only to again bolt at the last minute.
The pop star got to the court on time Wednesday but fled before a hearing that could have helped her restore visitation rights with her two young boys.
Wearing bright pink lipstick, sunglasses, shiny gold platform shoes and a very short black dress with a ruffled hem, Spears was driven into an underground garage and then entered the downtown civil court building. A court spokesman said she got through a security metal detector, then announced, "I want to leave," and returned to her car. Spears, 26, had not been ordered to be at the hearing.

On Jan. 14, the pop star also never made it inside the courthouse, leaving abruptly amid a swarm of paparazzi. A lawyer for Spears' ex-husband Kevin Federline said Wednesday such behavior may have played a role in a Superior Court commissioner's decision that she would remain barred from seeing sons Sean Preston, 2, and Jayden James, 1. "When you're trying to convince a judge that previous orders are not necessary, the court has to have the opportunity to observe, to hear from and to assess the demeanor of the person," attorney Mark Vincent Kaplan said outside court.

When Commissioner Scott Gordon called the Spears case on Wednesday, her attorney, Anne Kiley, went out of the courtroom to try to find her. Kiley returned 20 minutes later and conceded she didn't know if Spears would attend. Gordon went ahead with the hearing after reporters were ordered to leave the courtroom. Spears' lawyer argued that she be allowed visits and Federline, 29, was asked a few questions, said court spokesman Allan Parachini.

"I can't provide any more details, except at the end of the day there was no change in the court order and Miss Spears has no visitation and no custody of the children," Parachini said.
Spears' attorney left without commenting to reporters. She did not return a call seeking comment.

Kaplan said the biggest questions in the custody case now have to do with the events of Jan. 3, when Spears refused to relinquish one of the children to a Federline bodyguard. Police were called and she wound up being hauled off to a hospital by paramedics.
The day after that incident, Gordon suspended Spears' visitation rights and gave full custody to Federline, who at that time had temporary custody. "We know what happened that evening," Kaplan said. "But no one knows why it happened."

Late Wednesday, Spears' attorneys withdrew a pending motion that had asked the court to allow them to no longer represent her in the case.
Raquel Maria Dillon contributed to this report
Source: Associated Press

Police investigating Winehouse glass pipe video

British authorities told CNN Wednesday they are examining a home video that shows singer Amy Winehouse smoking something in a glass pipe minutes after she is heard saying she had just taken six tablets of the anti-anxiety drug Valium.

Scotland Yard said it had received the video from The Sun newspaper, which made it public Tuesday. A Grammy-nominated singer, Winehouse's alleged battle with drugs have garnered constant headlines.

Her hit song "Rehab" describes her reluctance to enter a rehabilitation center, which she did last summer. Read full article »
Source: CNN News

Obama backer accuses Bill Clinton of suppressing vote

A prominent supporter of Sen. Barack Obama on Wednesday compared Bill Clinton's appeals for his wife, Sen. Hillary Clinton, in South Carolina to the tactics used by a former Republican strategist that are infamous within Democratic circles.

When asked about the comparison, the former president reacted with disapproval, saying it was a distraction from what voters really cared about.

In an interview with CNN, Dick Harpootlian, a former chairman of the South Carolina Democratic Party and an Obama backer, said some of Clinton's recent remarks on the campaign trail were appeals based on race and gender, meant to "suppress the vote, demoralize voters and distort the record." Read full article »
Source: CNN News

Bill Clinton gets upset with CNN reporter

Bill Clinton became visibly upset Wednesday over comments by a prominent South Carolina Democrat that compared the former president's actions on the trail to those of infamous Republican strategist Lee Atwater.

In an interview with CNN's Jessica Yellin, Dick Harpootlian, a former chairman of the South Carolina Democratic Party and a supporter of Barack Obama, said some of Bill Clinton's recent remarks on the campaign trail were appeals based on race and gender. He said the comments were meant to "suppresses the vote, demoralize voters, and distort the record," and said they were "reminiscent of Lee Atwater."

Clinton sharply disputed the charge, and lashed out at Yellin for raising the question.
"You live for this. This hurts the people of South Carolina," he said. "Because the people of South Carolina come to these meetings and ask questions about what they care about. And what they care about is not what's going to be in the news coverage tonight, because you don't care about it.

"What you care about is this. And the Obama people know that. So they just spin you up on this and you happily go along. I mean, the people don't care about this," he added. "They never ask about it. And you are determined to take this election away from them. And that's not right. That is not right. This election ought to belong to those people who are out here asking questions about their lives."
Source: CNN News

Polls: Giuliani slipping in "crucial" state

Two new polls appear to show Republican Rudy Giuliani slipping in Florida, a state he once called "crucial" to his presidential chances.

In a survey conducted for the Miami Herald and the St. Petersburg Times, the former New York mayor only registers 15 percent among Republican primary voters. That puts him in a tie with former Arkansas Gov. Mike Huckabee, who has spent little time in the state and has only a fraction of the organization Giuliani has there.

John McCain and Mitt Romney are statistically tied for the top spot in the poll — McCain's at 25 percent and Romney's at 23 percent.
Giuliani also finds himself in third place spot in a new American Research Group poll with 16 percent, a statistical tie with Mike Huckabee's 17 percent. John McCain is on top with 29 percent and Mitt Romney is second with 22 percent.

Speaking on CNN's The Situation Room Wednesday, Giuliani maintained he would win the state next Tuesday, and said his strategy of focusing exclusively on Florida over the last month will prove to be the right one.

"We are going to win in Florida, then we will be talking about exactly who made the right decisions," he said. "That's really, I am an optimist about the way you govern and an optimist about the way you run a campaign. That's the way I look at it."

In an interview Tuesday, Giuliani had appeared to downplay his focus on the state, telling an interviewer that the state would be an “important win,” but that “I don’t think any candidate ever puts himself in a corner and says, must win, have to win, must win.’’
The Miami Herald/St. Petersburg Times poll carries a margin of error of plus or minus 5.1 percent, while the ARG poll's margin of error is plus or minus four percentage points. Both were conducted January 20-22.
Source: CNN News

Wall Street powers back

Stocks rallied Wednesday, with the Dow bouncing back from a more than 300-point loss earlier in the session as investors jumped back into a variety of sectors after the recent battering.
The Dow Jones industrial added almost 300 points, after having fallen more around 326 points earlier in the session.

The Standard & Poor's 500 (SPX) index rose 2.1 percent and the Nasdaq composite gained 1 percent. Both indexes had slumped during the session.
Stocks have been hit hard in 2008, amid fears that the credit and housing market crises will send the U.S. economy into recession.

Global stocks slipped too, prompting the Federal Reserve to step in Tuesday and announce an emergency intermeeting interest rate cut, a decision that initially had a mixed impact on stocks, but helped pave the way for Wednesday's bounce back.

Also helping: reports that New York regulators and banks met to discuss a means of raising money for struggling bond insurers, Briefing.com reported. That sent shares of Ambac Financial and MBIA surging.

The rally was also sparked by short-covering, the process by which traders who have sold shares short to take advantage of a falling market need to buy them back.
"Although stock prices might fall tomorrow and beyond, the market did just contract more than 2,000 points in three months, and so people are going to be willing to jump in to certain areas," said Gary Webb, CEO at Webb Financial Group.

By early afternoon, the Dow had fallen over 2500 points from its all-time high of 14,164.53 hit on Oct. 9. the S&P 500 had lost over 18 percent from its all-time high in October.
The Nasdaq had tanked more than 22 percent from its cyclical high in October.

After the close Wednesday, eBay (EBAY, Fortune 500) warned that first-quarter and 2008 results won't meet estimates. The online auctioneer also reported fourth-quarter results that topped estimates, but investors focused on the warning, sending shares lower in extended-hours trading.

eBay also said that CEO Meg Whitman will be stepping down in March, around the time of her 10-year anniversary, as had been expected.

Financial sector: Big banks jumped, with JP Morgan Chase (JPM, Fortune 500) gaining nearly 12 percent. Citigroup (C, Fortune 500), Merrill Lynch (MER, Fortune 500), Morgan Stanley (MS, Fortune 500) and Lehman Brothers (LEH, Fortune 500) all rallied as well.
The banks also benefited after Bear Stearns upgraded the sector, citing the potential for upside as a result of the Fed's interest rate cut.

On Tuesday, the federal reserve cut the fed funds rate, a key overnight bank lending rate that impacts consumer loans, by three-quarters of a percentage point to 3.5 percent. Some investors are expecting the Fed to cut rates further when the central bank policy makers meet next week, suggesting that Fed still sees risks to growth.

Elsewhere in the financial sector, Bank of America (BAC, Fortune 500) shares surged after the company said its planning a stock sale to raise $6 billion in capital. The company also reported quarterly earnings that were short of forecasts.

The Fed rate cut: The turmoil in global markets prompted the Federal Reserve to abruptly cut interest rates three-quarters of a percentage point, to 3.5 percent, on Tuesday. The Dow initially dropped 450 points on the news, but recovered to finish down 128.
Harry Clark, founder and CEO of Clark Capital Management, said the markets are still digesting the Fed's action, which he called an "historic event."

Earnings reports: After the market closed Tuesday, iPod and iPhone maker Apple (AAPL, Fortune 500) reported strong earnings for the fourth quarter but warned that the current quarter could be pressured by slowing consumer spending. Apple shares fell nearly 11 percent, cutting bigger morning losses.

On Wednesday morning, Motorola (MOT, Fortune 500) warned that it will fall to a loss in the first-quarter as it struggles to turnaround its beleaguered handset division. The company also reported and 84 percent drop in fourth-quarter profits. Shares plummeted 18.8 percent.

Dow component Pfizer (PFE, Fortune 500) reported sales and earnings that beat Wall Street estimates and raised its full-year sales projections. Shares gained 2.8 percent.
In other news, the Congressional Budget Office expects the U.S. budget deficit to grow to $250 billion this year, though that number may need to be revised once an economic stimulus package being debated in Washington is released.

The Bush administration proposed a $145 billion plan to boost the nation's economic activity last week, but details have not been finalized.
Market breadth was positive. On the New York Stock Exchange, winners beat losers almost three to one on volume of 2.83 billion shares. On the Nasdaq, advancers beat decliners by roughly three to two on a volume of 3.64 billion shares.

Treasury prices tanked as investors took profits after the recent advance. The decline sent the 10-year note yield up to 3.60 percent from 3.44 percent late Tuesday. The yield on the 2-year note briefly reached a four-year low of 1.86 percent during Wednesday's session before recovering.

In currency trading, the dollar rose versus the yen and eased versus the euro.
U.S. light crude oil for March delivery fell $2.86 to settle at $86.99 a barrel on the New York Mercantile Exchange.
COMEX gold fell $7.20 to settle at $883.10 an ounce.
Source: CNN News

5 million dead as Congo peace deal signed

The government of the Democratic Republic of the Congo and armed groups in the country signed a deal Wednesday to end years of fighting in the country's east, according to Peter Kessler, with the United Nations High Commissioner for Refugees (UNHCR).

He had no details about the scope of the agreement. The signing ended a more than two-week-long conference between the two sides in the eastern city of Goma.
The news comes on the heels of a new report by the International Rescue Committee which said that the conflict and humanitarian crisis in Congo had taken the lives of some 5.4 million people since 1998, and that 45,000 people continue to die there every month.

IRC President George Rupp said the loss of life is equivalent to the entire population of Denmark, or the state of Colorado, dying within a decade.
Even with the country's violence, the IRC found that most of the deaths were from non-violent causes such as malaria, diarrhea, pneumonia, and malnutrition.
Nearly half the deaths were among children younger than five, even though they are only 19 percent of the population, the IRC said. The group said the national rate of mortality is nearly 60 percent higher than the average in the sub-Saharan region.

The IRC's regional director said a peace deal -- even if it covers only the east of the country -- would have a wider impact.

"The significance is huge in the sense that the troubles in North Kivu have really been a major source of instability not only for the people in North Kivu itself, but for people in the surrounding region as well," said Alyoscia D'Onofrio, who spoke to CNN from Bukavu, in South Kivu province, which borders Uganda, Rwanda, and Burundi.

D'Onofrio said a peace deal would signal that the Congolese government can take control of security even in restive areas like the east. That in turn would improve regional security, since conflict in the east has tended to draw in neighboring states, he said.
Source: CNN News

Autopsy fails to find how actor Heath Ledger died

An autopsy Wednesday morning on actor Heath Ledger was inconclusive, and a cause-of-death determination will take 10 to 14 days, a medical examiner's spokeswoman said.

Fans have created a makeshift memorial at the front door of the apartment building where Heath Ledger died. The Academy Award-nominated actor was found dead Tuesday of a possible drug overdose in a Lower Manhattan apartment, the New York Police Department said. He was 28.

Police Commissioner Ray Kelly said Wednesday that Ledger was found face down in a normal sleeping position and not at the foot of his bed, as had been previously reported.
Kelly said technicians collected a $20 bill found in the apartment for testing, because of the way it was folded. Flowers, notes and a candle were left by mourning fans on the sidewalk outside the Soho apartment building.

"You did great work and I know your fans were looking forward to what more you had to offer," read one note. Ledger's former girlfriend, actress Michelle Williams, who was shooting a movie in Sweden, was informed of his death late Tuesday night, a movie production company spokesman said.

Williams left early Wednesday morning with 2-year-old daughter Matilda Rose, the spokesman said. Ledger was the child's father.

Ledger, Oscar-nominated for his role in "Brokeback Mountain," was found by a housekeeper trying to wake him for an appointment with a masseuse, said police spokesman Paul Browne.
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Source: CNN News

Clinton-Obama feud shows no sign of easing

The intense back-and-forth between the campaigns of Sens. Hillary Clinton and Barack Obama continued today, with an Obama supporter accusing Clinton's husband, former President Bill Clinton, of making comments meant to "suppress the vote, demoralize voters, and distort the record." Clinton, asked to comment, disputed the charge and lashed out at a reporter for asking the question. full story
Source: CNN News