Wall Street bounces back after sell-off; results a boost

NEW YORK (Reuters) - Stocks climbed on Tuesday, recovering a day after the market's biggest sell-off since November, as stronger-than-expected earnings brightened the profit picture.


Dell Inc's stock rose after the world's No. 3 computer maker agreed to be taken private in a $24.4 billion deal, the largest leveraged buyout since the 2008-2009 financial crisis. The stock gained 1.1 percent to $13.42.


All 10 S&P sectors were higher, and the S&P 500 and Nasdaq gained more than 1 percent.


The market's bounce follows a sell-off on Monday that gave the S&P 500 its biggest percentage decline since mid-November. The benchmark remains up 6 percent since the start of the year and is less than 4 percent away from its all-time closing high of 1,565.15 from October 2007.


Analysts said fourth-quarter results have been among factors helping to boost stocks. On Tuesday, Archer Daniels Midland reported revenue and adjusted fourth-quarter earnings that beat expectations, boosted by strong global demand for oilseeds. Shares rose 3.3 percent to $29.38.


"There's not a huge upside surprise by any means, but we're definitely seeing slightly better-than-expected earnings overall," said Bryant Evans, portfolio manager at Cozad Asset Management, in Champaign, Illinois.


The Dow Jones industrial average <.dji> was up 99.22 points, or 0.71 percent, at 13,979.30. The Standard & Poor's 500 Index <.spx> was up 15.58 points, or 1.04 percent, at 1,511.29. The Nasdaq Composite Index <.ixic> was up 40.41 points, or 1.29 percent, at 3,171.58.


The market shot higher at the start of the year after U.S. lawmakers were able to come to a last-minute agreement to avoid a national "fiscal cliff," but questions on spending cuts remain.


President Barack Obama on Tuesday urged Congress to pass a small package of spending cuts and tax reforms. Though the plan was quickly rebuffed by Republican leaders, investors are looking for an agreement.


"I think there's some hopefulness out there that a reasonable compromise will be made," Evans said.


Also in earnings, Estée Lauder Cos Inc reported a higher quarterly profit and raised its full-year profit forecast. The stock rose 6 percent to $64.71.


With results in from more than half of the S&P 500 companies, 69 percent have beaten profit expectations, compared with the 62 percent average since 1994 and the 65 percent average over the past four quarters. Sixty-six percent of companies have beaten on revenue.


Fourth-quarter earnings for S&P 500 companies are expected to rise 4.5 percent, according to the data, above the 1.9 percent forecast at the start of earnings season.


On the down side, McGraw-Hill shares slumped 10.7 percent to $44.92 after the U.S. Justice Department filed a civil lawsuit seeking $5 billion over mortgage bond ratings. Standard & Poor's, a McGraw Hill unit, was accused of inflating ratings and understating risk out of a desire to gain more business from investment banks.


On Monday, McGraw-Hill stock suffered its worst one-day decline since the 1987 market crash.


Volume was roughly 6.7 billion shares traded on the New York Stock Exchange, the Nasdaq and the NYSE MKT, compared with the 2012 average daily closing volume of about 6.45 billion.


Advancers outpaced decliners on the NYSE by nearly 11 to 4 and on the Nasdaq by about 3 to 1.


(Editing by Kenneth Barry and Nick Zieminski)



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Marseille Journal: Marseille, France, Tries to Alter Image From Rough to Cultured





MARSEILLE, France — In a building here, down by the old port, immigrants from the colonies, most of them North African, were showered, deloused and examined before entry into France. A sort of French Ellis Island, the structure had been abandoned for 40 years and was nearly demolished in 2009. Now, it is being rehabilitated as a museum, for an exhibit opening on March 1 called Regards de Provence, Mediterranean Reflections — part of Marseille’s celebration of itself as a European Capital of Culture for 2013.




Gaining the title, designated by the European Union annually since 1985, is something like winning the Olympics. It gives Marseille, France’s second-largest city, a chance to remake itself, reclaim its gorgeous port for ordinary citizens and to reshape its image — from a poor, rough, crime-ridden and corrupt crossroads whose economy declined with the end of colonialism to an attractive tourist destination of sun, sea, seafood and culture. That is the intent, certainly — to make Marseille not just a commercial center, but a destination.


With a budget estimated at nearly $135 million, raised from public and private funds, the organizers hope to attract an additional two million visitors and lift the economy. “It’s a shock, a cultural earthquake,” said Jacques Pfister, the head of the local chamber of commerce and director of the association that organized Marseille-Provence 2013, known as MP2013. “We’ve created a cultural offer unique in Europe,” he said. “We want to tie together France, Europe and the Mediterranean.”


More concretely, Mr. Pfister said, “we want the people of Marseille to be able to take back the seacoast and the old port,” which is already mostly car free and is undergoing a multimillion-dollar face-lift.


The city has established 10 new sites for cultural activities, many of them a repurposing of old or abandoned buildings, like the sanitation station and an enormous tobacco factory surrounded by graffitied walls and exhibiting contemporary art on the theme of immigration and exile.


The city has also built some stunning new buildings. There is a huge glass Museum of Civilizations from Europe and the Mediterranean, financed by the state and due to open in June. And the Villa Méditerranée, an international center for dialogue and exchanges about the Mediterranean and its peoples. Paid for by the regional government, it juts over the water.


Good use is being made of some of Marseille’s existing museums, like La Vieille Charité, a 17th-century alms house and hospital in the Panier quarter that was saved some years ago. Transformed into an exhibition space, it is showing “Vestiges,” Josef Koudelka’s haunting black-and-white photographs of Greek and Roman remains from around the Mediterranean.


Zineb Sedira, a photographer and videographer born in France to Algerian parents, said that the city was “trying to break the cliché of Marseille as the gateway to the Orient, to Algeria and colonialism.” Marseille “has for a long time been neglected in France,” better known for crime than for culture, she said. “Marseille now has a chance to put itself on the map.”


Ms. Sedira’s work in Marseille, on the theme of emigration and loss, focuses on the movement of people around the Mediterranean, the main theme of the Marseille year, which is trying to embrace multiculturalism without hiding the scars of colonialism.


“To live together is vital for European life, and Marseille is a good example of it,” said Nicolas Mazet, who owns the Hôtel de Gallifet, an art gallery in what was a large private house in Aix-en-Provence. “MP2013 reminds us of our common European heritage, the result of cultural intermingling from Athens to Grenada.”


Marseille hopes to claim a place as the link connecting northern and southern shores of the Mediterranean. A city with ancient Greek and Roman roots, founded in 600 B.C., it is trying to embrace the Italian and North African experiences of its many immigrant citizens. As many as 30 percent of its 850,000 residents are Muslim.


“Marseille created itself, strata upon strata, with foreign populations,” said the city’s longtime mayor, Jean-Pierre Gaudin. “We’ve been privileged by proximity to the countries of the Maghreb. We’re a multicultural city and must remain so.”


Yolande Bacot curated an exhibit about the history and artifacts of the cultures of the Mediterranean, from ancient to modern times, at the J1, a huge seaside warehouse turned exhibition center. “History reopened itself with the Arab Spring, and we want to confront the past and present” Ms. Bacot said, while modifying what she called France’s “very ethnocentric and Franco-French vision of things.”


In 2004, the Marseille City Council decided to apply for the European Capital of Culture designation for 2013. It was chosen in September 2008. In the time since then, Marseille mounted a sometimes frantic effort to raise money and get itself ready for prime time.


The result is sprawling, involving scores of venues here and in nearby towns in Provence, including the wealthier Arles and Aix-en-Provence (with its famed Musée Granet, which has an exhibition of 15 artists from 14 countries). The celebration will last a year, with a cycle of about 400 performances, exhibitions and concerts, as well as events including boat parades, guided treks and a five-day street-food festival.


Unlike most of the big cities in France, Marseille lacks a sizable middle class to supports art and culture. “Here, those who succeed leave,” Dominique Bluzet, the director of several Marseille theaters, told the newspaper Le Monde. “And why? Because there is no pride in the city. This city doesn’t know how to create bourgeois reflexes, to transmit them.”


The region is hoping for a surge in civic pride that endures, as well as a stronger economy and an increase in tourism similar to what Avignon experienced in 2000 and Lille in 2004 after they were designated European Capitals of Culture. This year, Marseille is sharing the title with Kosice, in eastern Slovakia, which boasts beautiful churches, three universities, a historic city center and a big steel mill. No one here mentions Kosice, although presumably no one wishes it ill.


To be sure, there is harsh criticism, too. Minna Sif, a novelist from Marseille, born to Moroccan parents, compared the festivities to a “sardinade,” a traditional Mediterranean dish of grilled sardines, lined up and covered in olive oil.


“It’s hard for me,” she wrote in the newspaper Libération, “to recognize myself in this sardinade, stamped as the capital of right-thinking, feel-good culture, run by a mess of preening cultural morons, of those assigned to the uncultivated and of ambitious people with their mouths stuffed with words.”


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Jillian Michaels: My Son Phoenix Is 'Fiery' Like Me




Celebrity Baby Blog





02/04/2013 at 03:00 PM ET



Jillian Michaels Biggest Loser TCAs
Gregg DeGuire/WireImage


Jillian Michaels‘ son Phoenix is already taking after his mama — just not the right one!


Although The Biggest Loser trainer expected her baby boy to inherit her partner’s laidback approach to life — Heidi Rhoades delivered their son in May — the 8-month-old’s budding personality is the polar opposite.


“He wants to walk and he gets really pissed about it when he can’t. He gets frustrated,” Michaels, 38, told PEOPLE at the recent TCAs.


“He’s a fiery little sucker, he’s just like me. I’m like, ‘You were supposed to be like Heidi!’ But he’s not. It’s not good, not good.”

Admitting she is “terrified for when he’s a teenager,” Michaels has good reason to be: Recently she spotted her son — who is “crawling aggressively” — putting his electrician skills to the test in the family room.


“He’s into everything, which is kind of a nightmare to be totally honest,” she says. “We have an outlet in the floor in the living room and I caught him eating the outlet on the floor … I was like, ‘Mother of God!’”


Phoenix’s big sister Lukensia, 3, has also been busy keeping her mamas on their toes. “Lu just had her first ski trip and she had a little crush on her teacher, Ollie,” Michaels shares.


“At first I was like, ‘Oh my God, we’re letting our baby go!’ The second day we took her she ran right to him — loves Ollie.”


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Bullying study: It does get better for gay teens


CHICAGO (AP) — It really does get better for gay and bisexual teens when it comes to being bullied, although young gay men have it worse than their lesbian peers, according to the first long-term scientific evidence on how the problem changes over time.


The seven-year study involved more than 4,000 teens in England who were questioned yearly through 2010, until they were 19 and 20 years old. At the start, just over half of the 187 gay, lesbian and bisexual teens said they had been bullied; by 2010 that dropped to 9 percent of gay and bisexual boys and 6 percent of lesbian and bisexual girls.


The researchers said the same results likely would be found in the United States.


In both countries, a "sea change" in cultural acceptance of gays and growing intolerance for bullying occurred during the study years, which partly explains the results, said study co-author Ian Rivers, a psychologist and professor of human development at Brunel University in London.


That includes a government mandate in England that schools work to prevent bullying, and changes in the United States permitting same-sex marriage in several states.


In 2010, syndicated columnist Dan Savage launched the "It Gets Better" video project to encourage bullied gay teens. It was prompted by widely publicized suicides of young gays, and includes videos from politicians and celebrities.


"Bullying tends to decline with age regardless of sexual orientation and gender," and the study confirms that, said co-author Joseph Robinson, a researcher and assistant professor of educational psychology at the University of Illinois in Urbana-Champaign. "In absolute terms, this would suggest that yes, it gets better."


The study appears online Monday in the journal Pediatrics.


Eliza Byard, executive director of the Gay, Lesbian & Straight Education Network, said the results mirror surveys by her anti-bullying advocacy group that show bullying is more common in U.S. middle schools than in high schools.


But the researchers said their results show the situation is more nuanced for young gay men.


In the first years of the study, gay boys and girls were almost twice as likely to be bullied as their straight peers. By the last year, bullying dropped overall and was at about the same level for lesbians and straight girls. But the difference between men got worse by ages 19 and 20, with gay young men almost four times more likely than their straight peers to be bullied.


The mixed results for young gay men may reflect the fact that masculine tendencies in girls and women are more culturally acceptable than femininity in boys and men, Robinson said.


Savage, who was not involved in the study, agreed.


"A lot of the disgust that people feel when you bring up homosexuality ... centers around gay male sexuality," Savage said. "There's more of a comfort level" around gay women, he said.


Kendall Johnson, 21, a junior theater major at the University of Illinois, said he was bullied for being gay in high school, mostly when he brought boyfriends to school dances or football games.


"One year at prom, I had a guy tell us that we were disgusting and he didn't want to see us dancing anymore," Johnson said. A football player and the president of the drama club intervened on his behalf, he recalled.


Johnson hasn't been bullied in college, but he said that's partly because he hangs out with the theater crowd and avoids the fraternity scene. Still, he agreed, that it generally gets better for gays as they mature.


"As you grow older, you become more accepting of yourself," Johnson said.


___


Online:


Pediatrics: http://www.pediatrics.org


It Gets Better: http://www.itgetsbetter.org


___


AP Medical Writer Lindsey Tanner can be reached at http://www.twitter.com/LindseyTanner


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S&P 500 posts worst day since November; McGraw-Hill shares sink

NEW YORK (Reuters) - Stocks slid on Monday, giving the S&P 500 its worst day since November, as renewed worries about the euro zone crisis caused the market to pull back from recent gains.


Shares of McGraw-Hill shed 13.8 percent to $50.30, their worst daily percentage decline since the October 1987 market crash, after news the U.S. Justice Department plans to sue Standard & Poor's, a unit of McGraw-Hill, over its mortgage bond ratings. It would be the first such federal action against a credit rating agency related to the recent financial crisis.


Chevron and Wal-Mart were among the biggest drags on the Dow after analyst downgrades, and all 10 S&P 500 sectors were lower. The losses follow Friday's market climb that left the S&P 500 at a five-year high and the Dow above 14,000.


"The market is extended and due for a pullback. I think people are looking for an excuse to make sales, and there (is) the concern coming from Europe," said Michael James, senior trader at Wedbush Morgan in Los Angeles.


Spanish and Italian bond yields rose, renewing worries about the euro zone's sovereign debt crisis. Spain's prime minister faced calls to resign over a corruption scandal, while a probe of alleged misconduct involving an Italian bank was expected to widen three weeks before a national election.


Adding to market pressure, data from the U.S. Commerce Department showed overall factory orders for December were below economists' expectations.


The Dow Jones industrial average <.dji> was down 129.71 points, or 0.93 percent, at 13,880.08. The Standard & Poor's 500 Index <.spx> was down 17.46 points, or 1.15 percent, at 1,495.71. The Nasdaq Composite Index <.ixic> was down 47.93 points, or 1.51 percent, at 3,131.17.


With 18.7 billion shares traded, it was the busiest day on record for McGraw-Hill shares. Shares of ratings agency Moody's Corp fell 10.7 percent at $49.45, their worst one-day drop since August 2011.


The benchmark S&P 500 rose on Friday, leaving it roughly 60 points away from its all-time intraday high of 1,576.09, while the Dow's march above 14,000 was the highest for the index since October 2007.


The S&P index remains up about 5 percent for the year, with nearly half of the gains coming after U.S. legislators temporarily sidestepped the "fiscal cliff" of automatic tax increases and spending cuts.


The CBOE Volatility index VIX <.vix>, Wall Street's so-called fear gauge, jumped 13.7 percent.


Chevron dipped 1.1 percent to $115.20 after UBS cut its rating to neutral, while Wal-Mart Stores Inc shed 1.2 percent to $69.63 after JP Morgan lowered its rating on the world's largest retailer and reduced its price target.


Shares of household products company Clorox rose 0.7 percent to $79.72 after quarterly profit beat analysts' estimates as a severe flu season boosted sales of disinfecting wipes.


According to Thomson Reuters data, of the 256 companies in the S&P 500 that have reported earnings through Monday morning, 68.4 percent have reported earnings above analyst expectations, compared with the 62 percent average since 1994 and the 65 percent average over the past four quarters.


S&P 500 fourth-quarter earnings are expected to rise 4.4 percent, according to the data. That estimate is above the 1.9 percent forecast at the start of earnings season, but well below the 9.9 percent forecast on October 1.


In deal news, software maker Oracle Corp agreed to buy network equipment company Acme Packet Inc for $1.7 billion net of cash. Shares of Oracle were down 3 percent at $35.13 while Acme Packet shot up 23.7 percent to $29.59.


Shares of Herbalife Ltd ended up 1.3 percent at $35.54, recovering its losses ahead of the close. The New York Post reported the seller of weight loss products is facing a probe by the Federal Trade Commission.


Volume was roughly 6.3 billion shares traded on the New York Stock Exchange, the Nasdaq and the NYSE MKT, compared with the 2012 average daily closing volume of about 6.45 billion.


Decliners outpaced advancers on the NYSE by nearly 4 to 1 and on the Nasdaq also by about 4 to 1.


(Editing by Kenneth Barry and Nick Zieminski)



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Oil Tax Forces Greeks to Fight Winter With Fire


Angelos Tzortzinis for The New York Times


Workers cutting and stacking firewood for sale in Halandri, north of Athens. Demand has caused an increase in illegal logging, and trees have been reported stolen from parks in Athens.







ATHENS — Even in the leafy northern stretches of this city, home to luxury apartment buildings, mansions with swimming pools and tennis clubs, the smell of wood smoke lingers everywhere at night.




In her fourth-floor apartment here, Valy Pantelemidou, 37, a speech therapist, is, like many other Greeks, trying to save money on heating oil by using her fireplace to stay warm.


Unemployment is at a record high of 26.8 percent in Greece, and many people have had their salaries and pensions cut, but those are not the main reasons so few residents here can afford heating oil. In the fall, the Greek government raised the taxes on heating oil by 450 percent.


Overnight, the price of heating a small apartment for the winter shot up to about $1,900 from $1,300. “At the beginning of autumn, it was the biggest topic with all my friends: How are we going to heat our places?” said Ms. Pantelemidou, who has had to lower her fees to keep clients. “Now, when I am out walking the dog, I see people with bags picking up sticks. In this neighborhood, really.”


In raising the taxes, government officials hoped not just to increase revenue but also to equalize taxes on heating oil and diesel, to cut down on the illegal practice of selling cheaper heating oil as diesel fuel. But the effort, which many Greeks dismiss as a cruel stupidity, appears to have backfired in more than one way.


For one thing, the government seems to be losing money on the measure. Many Greeks, like Ms. Pantelemidou, are simply not buying any heating oil this year. Sales in the last quarter of 2012 plunged 70 percent from a year earlier, according to official figures.


So while the government has collected more than $63 million in new tax revenue, it appears to have lost far more — about $190 million, according to an association of Greek oil suppliers — in revenue from sales taxes on the oil.


Meanwhile, many Greeks are suffering from the cold. In one recent survey by Epaminondas Panas, who leads the statistics department at the Athens University of Economics and Business, nearly 80 percent of respondents in northern Greece said they could not afford to heat their homes properly.


The return to wood burning is also taking a toll on the environment. Illegal logging in national parks is on the rise, and there are reports of late-night thefts of trees and limbs from city parks in Athens, including the disappearance of the olive tree planted where Plato is said to have gone to study in the shade.


At the same time, the smoke from the burning of wood — and often just about anything else that will catch fire — has caused spikes in air pollution that worry health officials. On some nights, the smog is clearly visible above Thessaloniki, Greece’s second-largest city, and in Athens, where particulate matter has been measured at three times the normal levels.


“Places that in 2008 wouldn’t even think about using their fireplaces for heating, now they are obliged to do so,” said Stefanos Sabatakakis, a health supervisor with the Hellenic Center for Disease Control and Prevention. He said the rise in pollution could cause eye irritation and headaches in the short term and far more serious problems in the long term. The air is particularly bad for asthma sufferers.


The agency has asked that anyone who is lighting living-room fires just for the aesthetics give them up. It has also uploaded information on its Web site about what not to burn — anything that is painted or lacquered, for instance. But in these times, Mr. Sabatakakis acknowledged, people are not that picky.


Government officials say it is too early to judge the new tax. The winter is not yet over. It has not been particularly cold, they say, and many people may have stocked up on fuel oil last season. In the north of Greece, temperatures often dip to freezing at night, while in Athens they are more likely to stay in the low 40s.


“This is a very complex environment,” said Harry Theoharis, the secretary general of the Ministry of Finance, adding that many factors were affecting people’s behavior. “It is not easy to isolate and say: ‘O.K., this tax, this is the effect it had.’ ”


He said there were no clear indications yet that the tax had discouraged illicit sales of heating oil as diesel, though he had detected a slight change in buying patterns that might indicate some change.


Dimitris Bounias and Nikolia Apostolou contributed reporting.



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Take-Two delays launch of Grand Theft Auto V video game






(Reuters) – Take-Two Interactive Software Inc said on Thursday it has pushed back the launch of the latest game from its hit “Grand Theft Auto” franchise to September 17 from its previously announced release window of spring 2013.


Shares of Take-Two were down six percent at $ 12.31 in early afternoon trading on the Nasdaq.






The delay was to allow Take-Two’s Rockstar Games studio, which develops “Grand Theft Auto” games, additional development time, the video game company said.


Grand Theft Auto V” will be released worldwide for Microsoft Corp‘s Xbox and Sony Corp‘s PlayStation3 game consoles on September 17, the company said.


The action-adventure game lets players complete criminal missions in urban settings. The franchise’s last title “Grand Theft Auto IV” has sold over 25 million units since its release in 2008.


Grand Theft Auto V is set in a fictional city inspired by present-day Southern California.


The delayed launch pushes earnings from Grand Theft Auto V sales from June to September, Sterne Agee analyst Arvind Bhatia said. The new title of the massively popular franchise has the potential to rake in close to $ 1 billion in retail sales and sell 15 to 20 million units, according to Bhatia.


“It adds to their development cost and it’s launching closer to what we think is going to be a period where new consoles will be coming out and there will be more competition from other titles,” Bhatia said.


The video game industry has been struggling to cope with flagging sales over the last year. Analysts say consumers are holding back from buying hardware and software as they wait for rumored next-generation versions of Sony Corp’s PlayStation and Microsoft Corp’s Xbox, expected later this year.


The delay could mean Take-Two is possibly creating a “cross-generation” title that could work on current and next-generation consoles, said analyst Mike Hickey of National Alliance Capital Markets.


“Remember, Xbox signed an exclusive deal with Rockstar at the beginning of the prior cycle for episodic content, and Sony provided exclusive resources for the completion of Grand Theft Auto IV,” Hickey said.


(Reporting by Malathi Nayak in San Francisco; Editing by Leslie Adler and Alden Bentley)


Gaming News Headlines – Yahoo! News





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What Football Game? Beyoncé Rocks the Superdome in Leather & Lace







Style News Now





02/03/2013 at 09:06 PM ET













One thing was certain going into Super Bowl XLVII: Beyoncé was going to put on a killer halftime show, and she was going to look amazing doing it. And if she practiced until her feet bled, there was no sign of it as she danced in her towering heels.


To strut out onstage during ‘Crazy In Love,’ the star wore an uncharacteristically demure belted lamé mini with wide lapels, but she quickly tore it away to reveal a leather bodysuit with a black lace skirt worn over her signature fishnets. She completed the look with thigh-highs and sexy black booties.


Destiny’s Child fans missing the trio’s epic matching outfits were given a treat when Kelly Rowland and Michelle Williams proved the rumors true, joining Beyoncé onstage for a medley that included ‘Bootylicious’ and ‘Single Ladies.’ Their costumes echoed Bey’s: Rowland wore a revealing V-neck Emilio Pucci bodysuit, while Williams was glam in a tough-girl ribbed leather mini.




And to ensure that Beyoncé’s hair was supremely whip-able (as demonstrated during ‘Baby Boy’ and ‘Halo’), stylist Kim Kimble gave her a “soft glam” look by curling it, then brushing out the curls and smoothing them with Kimble Hair Care Brazilian Nut and Acai serum. She sprayed it with L’Oréal’s classic Elnett hairspray to ensure it wouldn’t budge no matter what the superstar put it through.

Tell us: What did you think of Beyoncé’s Super Bowl outfit — and the Destiny’s Child reunion looks?

–Alex Apatoff

PHOTOS: VOTE ON MORE STAR STYLE HERE!




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New rules aim to get rid of junk foods in schools


WASHINGTON (AP) — Most candy, high-calorie drinks and greasy meals could soon be on a food blacklist in the nation's schools.


For the first time, the government is proposing broad new standards to make sure all foods sold in schools are more healthful.


Under the new rules the Agriculture Department proposed Friday, foods like fatty chips, snack cakes, nachos and mozzarella sticks would be taken out of lunch lines and vending machines. In their place would be foods like baked chips, trail mix, diet sodas, lower-calorie sports drinks and low-fat hamburgers.


The rules, required under a child nutrition law passed by Congress in 2010, are part of the government's effort to combat childhood obesity. While many schools already have improved their lunch menus and vending machine choices, others still are selling high-fat, high-calorie foods.


Under the proposal, the Agriculture Department would set fat, calorie, sugar and sodium limits on almost all foods sold in schools. Current standards already regulate the nutritional content of school breakfasts and lunches that are subsidized by the federal government, but most lunchrooms also have "a la carte" lines that sell other foods. Food sold through vending machines and in other ways outside the lunchroom has never before been federally regulated.


"Parents and teachers work hard to instill healthy eating habits in our kids, and these efforts should be supported when kids walk through the schoolhouse door," Agriculture Secretary Tom Vilsack said.


Most snacks sold in school would have to have less than 200 calories. Elementary and middle schools could sell only water, low-fat milk or 100 percent fruit or vegetable juice. High schools could sell some sports drinks, diet sodas and iced teas, but the calories would be limited. Drinks would be limited to 12-ounce portions in middle schools and to 8-ounce portions in elementary schools.


The standards will cover vending machines, the "a la carte" lunch lines, snack bars and any other foods regularly sold around school. They would not apply to in-school fundraisers or bake sales, though states have the power to regulate them. The new guidelines also would not apply to after-school concessions at school games or theater events, goodies brought from home for classroom celebrations, or anything students bring for their own personal consumption.


The new rules are the latest in a long list of changes designed to make foods served in schools more healthful and accessible. Nutritional guidelines for the subsidized lunches were revised last year and put in place last fall. The 2010 child nutrition law also provided more money for schools to serve free and reduced-cost lunches and required more meals to be served to hungry kids.


Sen. Tom Harkin, D-Iowa, has been working for two decades to take junk foods out of schools. He calls the availability of unhealthful foods around campus a "loophole" that undermines the taxpayer money that helps pay for the healthier subsidized lunches.


"USDA's proposed nutrition standards are a critical step in closing that loophole and in ensuring that our schools are places that nurture not just the minds of American children but their bodies as well," Harkin said.


Last year's rules faced criticism from some conservatives, including some Republicans in Congress, who said the government shouldn't be telling kids what to eat. Mindful of that backlash, the Agriculture Department exempted in-school fundraisers from federal regulation and proposed different options for some parts of the rule, including the calorie limits for drinks in high schools, which would be limited to either 60 calories or 75 calories in a 12-ounce portion.


The department also has shown a willingness to work with schools to resolve complaints that some new requirements are hard to meet. Last year, for example, the government relaxed some limits on meats and grains in subsidized lunches after school nutritionists said they weren't working.


Schools, the food industry, interest groups and other critics or supporters of the new proposal will have 60 days to comment and suggest changes. A final rule could be in place as soon as the 2014 school year.


Margo Wootan, a nutrition lobbyist for the Center for Science in the Public Interest, said surveys by her organization show that most parents want changes in the lunchroom.


"Parents aren't going to have to worry that kids are using their lunch money to buy candy bars and a Gatorade instead of a healthy school lunch," she said.


The food industry has been onboard with many of the changes, and several companies worked with Congress on the child nutrition law two years ago. Major beverage companies have already agreed to take the most caloric sodas out of schools. But those same companies, including Coca-Cola and PepsiCo, also sell many of the non-soda options, like sports drinks, and have lobbied to keep them in vending machines.


A spokeswoman for the American Beverage Association, which represents the soda companies, says they already have greatly reduced the number of calories that kids are consuming at school by pulling out the high-calorie sodas.


___


Follow Mary Clare Jalonick on Twitter at http://twitter.com/mcjalonick


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Asian shares advance after U.S. jobs, ISM

TOKYO (Reuters) - Asian shares advanced on Monday, drawing momentum from U.S. data showing some promise of a credible recovery, supported by Federal Reserve's easing plans and solid manufacturing data from Europe and China.


The yen took a break from heavy selling against the U.S. dollar and the euro, but fell to its lowest since August 2008 against the Australian and New Zealand dollars early on Monday on confidence of bold monetary support from the Bank of Japan to overcome the country's stubborn deflation.


The MSCI's broadest index of Asia-Pacific shares outside Japan <.miapj0000pus> rose 0.6 percent after posting a weekly gain of 0.7 percent.


"Asian shares are likely to take the cues from the rise in U.S. equities and prices of risk assets are generally expected to face upward pressures," said Naohiro Niimura, a partner at research and consulting firm Market Risk Advisory.


The Dow Jones industrial average <.dji> rose to 14,000 for the first time since October 2007 and the Standard & Poor's 500 Index <.spx> hit its highest point since December of that year.


U.S. data showed on Friday payrolls rose by 157,000 last month, with upward revisions for November and December, while the Institute for Supply Management said its index of national factory activity rose to its highest since April.


China followed with positive news over the weekend, saying growth in its official purchasing managers' index (PMI) for the non-manufacturing sector ticked up in January for the fourth straight monthly rise, confirming the world's second-largest economy was showing a modest recovery.


Resources-reliant Australian shares <.axjo> steadied after jumping 0.9 percent to a 21-month high on Friday. Positive economic news from China, Australia's largest export destination, usually boosts Australian investor sentiment.


South Korean shares <.ks11> were up 0.3 percent while Hong Kong shares <.hsi> added 0.7 percent.


NIKKEI MAY BE PEAKING


Japan's benchmark Nikkei stock average <.n225> rose 0.5 percent after climbing to a fresh 33-month high earlier as the yen declined. The index logged its 12th straight week of increases last week, the longest run of weekly gains since 1959. <.t/>


Nikkei has been moving in tandem with the yen's two-month-long losing streak with investors eyeing the change in the BOJ's top personnel in April for clues on the degree of the bank's reflationary policy.


"The Nikkei may be nearing its peak for now as we may get a specific name of the most likely candidate for the next BOJ governor soon. That may provide an opportunity to close long dollar/yen positions, while a firming yen will then likely spur investors to book profits on Japanese stocks," said Tetsuro Ii, the chief executive of Commons Asset Management.


The dollar eased 0.1 percent to 92.72 yen after scaling its highest since May 2010 of 92.97 on Friday, while the euro fell 0.3 percent to 126.32 yen, still near its loftiest since April 2010 of 126.97 touched on Friday.


In early Monday trade, the yen plunged to its lowest since August 2008 against both the Australian dollar, at 96.78 yen, and against the New Zealand dollar at 78.74 yen.


The euro inched down 0.1 percent to $1.3624, off Friday's 14-1/2-month peak of $1.3711 hit after data showed euro zone factories had their best month in January in nearly a year.


On Friday, the dollar index measured against a basket of key currencies fell to a 4-1/2-month low of 78.918 <.dxy>. The index was up 0.2 percent on Monday.


As economic optimism rose and concerns about the euro zone's debt difficulties eased, investors took on more risk.


Research provider TrimTabs Investment Research said on Saturday investors poured a record $77.4 billion in new cash into stock mutual funds and exchange-traded funds in January, surpassing the previous monthly record of $53.7 billion in February 2000.


In the oil market, tension across the Middle East put Brent crude on track to its biggest weekly gain since mid-November, and U.S. crude rose for an eighth straight week, although it eased 0.2 percent to $97.56 a barrel on Monday.


With the rise in equities on recovering appetite for riskier assets, safe-haven appeal waned, pushing up yields of U.S. Treasury bonds. The U.S. 10-year Treasury yield hit a nine-month high of 2.052 percent in Asia on Monday.


A weekly gauge of sentiment in the Japanese government bond market deteriorated sharply, remaining in negative territory for a fifth straight week as rising global appetite for risk sapped demand for bonds, the latest Reuters poll showed on Monday.


(Editing by Eric Meijer)



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