Thứ Tư, 15 tháng 5, 2013

Oil falls below $93 on Europe, US economic news

NEW YORK (AP) — The price of oil fell below $93 on Wednesday after disappointing economic reports from Europe and the U.S.

By late morning in New York, benchmark oil for June delivery was down $1.78 to $92.41 a barrel. That marks five straight days of declines after oil rose above $96 last week.

New figures released Wednesday showed the eurozone's economy continued to contract in the first quarter, keeping it in recession for a sixth consecutive quarter. And a report in the U.S. showed factories cut back sharply on production in April, suggesting economic growth may be slowing this spring.

That added to the pressure on oil prices seen Tuesday after the International Energy Agency raised its forecast for U.S. oil production while cutting its prediction for global crude demand.

The dreary economic news is overshadowing the latest data from the Energy Department showing that oil supplies declined unexpectedly last week.

Crude supplies declined by 600,000 barrels, or 0.2 percent, to 394.9 million barrels, in the week ended May 10. Analysts expected an increase of 300,000 barrels. Still, demand for gasoline and distillates such as diesel remain below year-ago levels.

Meanwhile, traders were monitoring news that the EU has launched an investigation into possible price-fixing on the oil markets. Three oil companies, Britain's BP, Royal Dutch Shell and Norway's Statoil, as well as Platts, a division of McGraw Hill Financial which compiles prices for energy markets, confirmed they were being investigated.

The EU, which did not name the targets of its investigation, said oil companies "may have colluded in reporting distorted prices."

"Even small distortions of assessed prices may have a huge impact on the prices of crude oil, refined oil products and biofuels purchases and sales, potentially harming final consumers," the EU said.

Brent crude, a benchmark for many international oil varieties, was down $1.32 to $101.17 a barrel on the ICE Futures exchange in London.

In other energy futures trading on Nymex:

— Wholesale gasoline fell 5 centx to $2.79 a gallon.

— Heating oil lost 4 cents to $2.83 a gallon.

— Natural gas added 2 cents to $4.05 per 1,000 cubic feet.

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Pablo Gorondi in Budapest and Pamela Sampson in Bangkok contributed to this report.


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Rugby-Winning All Blacks sevens team home, focus on World Cup

By Greg Stutchbury

WELLINGTON, May 15 (Reuters) - New Zealand's All Blacks Sevens rugby team returned home on Wednesday having clinched their 11th World Series title in an increasingly competitive season that sets up the prospect of a tantalising World Cup next month.

Gordon Tietjens' team clinched the final tour stop in London on Sunday with a crushing 47-12 victory over Australia to finish on 172 points, 41 ahead of second-placed South Africa.

The victory was made all the more sweeter for Tietjens, whose normally stable selections were rocked through injuries to experienced players like captain DJ Forbes and playmaker Tomasi Cama, forcing him to introduce several new players.

As a result, the win at Twickenham was only their second on the tour and the key to their series victory was consistency across all nine tournaments.

The team made seven finals and finished third in the other two tournaments in Wellington and Hong Kong.

"We have done it with a lot of players out. A lot of new youngsters have come up and put their hand up," Tietjens told the International Rugby Board's (IRB) series website.

"It's a confidence booster moving into the World Cup," he added of the June 28-30 tournament in Moscow.

"We know how hard it is going to be, but we only take it one game, one tournament, at a time.

"That (the World Cup) is going to be totally different.

"It might be a totally different team but these guys have put their hands up and said they want to go to Moscow so I have a few problems ahead of me."

LEVEL FIELD

Injury and selection issues aside, Tietjens is also acutely aware that much the field has been levelled across the board during this season's circuit and how close the World Cup tournament could be.

Kenya, under former England coach Mike Friday, came within a whisker of winning their first title in Wellington despite having two players sin-binned in the final against England.

At the same tournament, sevens heavyweights Fiji failed to qualify for a world series Cup quarter-final for the first time and were then beaten by Canada in the final of the Bowl competition.

The Fijians rebounded during the series to win the showcase tournament in Hong Kong but were a distant third in the overall series after some poor performances since that victory in March.

While Fiji struggled, they did not suffer the same ignominy Scotland had to face last weekend in London.

Inventors of the shortened form of the game, the Scots were forced into an eight-team playoff against the likes of Zimbabwe, Georgia and Hong Kong to ensure their place on the circuit next year.

The promotion-relegation playoff was introduced by the IRB this year in an attempt to improve the standard of play and broaden its depth as the sport prepares for its debut at the 2016 Summer Olympics in Rio de Janeiro.

The bottom three sides after the penultimate Glasgow tournament - Scotland, Portugal and Spain - were forced into the playoff tournament with five qualifiers in London.

The regular play on the world circuit paid off in the end, with all three retaining their places next season, though Scotland were beaten 20-19 by Hong Kong in pool play before they overcame Tonga and then Russia to ensure their place.

"We rose to the occasion and we are back on the series," Scotland captain Colin Gregor told the IRB website.

"It is horrendous being down here so we need to make sure we start the season properly, so tough summer ahead of us with the World Cup and then September, October, we're flying." (Editing by John O'Brien)


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Education woes seen as Achilles' heel of Brazil

SEROPEDICA, Brazil (AP) — There's a storage room just off a university lab that gives students more experience than many can handle: Skinned pigs and cats, disembodied cow livers, intestines, brains and the other unidentifiable detritus of years' worth of dissections fill a dozen wading pool-sized vats to the brim.

With the veterinary department's incinerator long on the fritz, the stomach-turning, formaldehyde-drenched mass of animal carcasses and organs grows by the day.

Similar scenes of neglect and decay play out across the sprawling, once-stately campus. Laboratories routinely flood when it rains, lecture halls reach oven-like temperatures because the burned-out air conditioning units were never replaced, the Internet works only intermittently and students hardly dare venture out after dark for fear of being mugged.

The situation at the Rural Federal University in this distant suburb of Rio de Janeiro is not an anomaly. As a new middle class rises in Brazil with aspirations for better education, it is finding lamentable conditions and low standards of education at many colleges and universities across Brazil. That has experts warning that the country's strained education system could stymie development, even as Brazil emerges as an economic powerhouse.

Thanks largely to a decade-long boom in commodities, Brazil last year outstripped Britain to become world's sixth largest economy. To maintain its spot, the country needs well-trained professionals, especially engineers to help tap the vast deep-sea oil deposits off the coast of Rio de Janeiro state that officials here are counting on to fuel Brazil's development.

Experts are warning that colleges and universities are simply not up to the task.

"Without qualified professionals coming out of our universities in the numbers we need in the next 10 or so years, Brazil is running a great risk of losing its new position as the world's sixth economy and with it the pretensions of playing a bigger role on the world stage," said Antonio Frets, a veteran member of the Brazilian Academy of Education. "If there's not a real and meaningful education reform, Brazil could be left in the dust."

The statistics are alarming.

Just over 17 percent of Brazilians aged 18-24 were enrolled in a university or had already obtained a diploma in 2011, according to a study by the Education Ministry. While that number is way up from 7 percent in 1997, it still lags far behind the average in developed countries and even that in many of Brazil's Latin American neighbors A study by the Organization for Economic Cooperation and Development said around 40 percent of U.S. citizens aged 25-34 had obtained a bachelor's degree; in Chile, that number stood at slightly under 40 percent.

The average Brazilian has completed an average of just 7.3 years of schooling, according to census data. Under half of the country's workforce has finished high school and just around 12 percent of workers have a college degree. Nearly 13 million people, or 8.6 percent of the population, are illiterate.

The OECD's 2009 PISA educational survey, which measures 15-year-olds' literacy and math skills, ranked Brazil 53rd out of 65 countries, behind nations such as Bulgaria, Mexico, Turkey, Trinidad and Tobago, and Romania. Only one Brazilian college, the University of Sao Paulo, made it into the 2012 Times Higher Education World University Rankings, at No. 178 out of 200 institutions.

All that could prove a major stumbling block to development for Brazil. The past decade of booming growth has seen the number of unskilled jobs shrink, replaced by semiskilled and high-skilled posts which observers say the country is already hard-pressed to fill. And as the economy continues to develop, so will the need for skilled labor.

The paucity of such jobs is already having repercussions on businesses here. Brazil ranked 48th out of 144 countries on the World Economic Forum's 2012-213 global competitiveness report due to infrastructure problems as well as a lack of skills.

Money isn't the problem. Brazil invests 5 percent of its gross domestic product on education, about the same level of expenditure as Spain, Germany or Japan, and just under the OECD average of 6.2 percent, according to the organization's 2012 "Education at a Glance" study. The federal government says it has poured $4.2 billion into its university expansion program over the past decade.

The issue, observers say, lies largely in the way money's managed — or, often, mismanaged.

Case in point is Rio's Rural Federal University, where the school's budget multiplied more than 20-fold in recent years, rising from $7.4 million in 2005 to $173.5 million in 2012. Yet earlier this year, students invaded administrative offices to protest what they contend are dangerous conditions on campus.

Protesting students and faculty say they are hard-pressed to see where the money's gone, and some have speculated about graft, embezzlement and other forms of corruption.

Rainwater pours through holes in the technology department's roof, filling the laboratory knee-deep when it rains. The university's Olympic-sized pools are so green with algae that physical education instructors are said to lie atop a desk and flail their arms and legs in the air to teach different swimming stokes. The construction company hired to build an archive for the geology department handed over an unusable shell of a building, with no flooring, windows or doors. The molding, puddle-filled structure is now occupied only by the homeless.

"Here we've got professors who aren't teaching classes because there aren't adequate facilities. Repairs are started but never finished and buildings are getting ruined," said Gustavo Perreira, 22, a fourth-year law student who's a coordinator of the student movement that led the occupation. "The university is falling apart but it's not a problem of a lack of resources. It's that those resources aren't being applied as they should."

The university has experienced a recent boom in enrollment, jumping from around 7,000 students to 11,000 in the past three years.

Long the domain of the country's tiny ruling elite, Brazil's universities have become more inclusive in recent years thanks in large part to affirmative action programs aimed at boosting enrollment of poor and nonwhite students.

Enrollment at the country's public and private colleges increased from just over 1 million students in 1980 to nearly 11 million in 2011, according to an Education Ministry study. From 2012-2011 alone, enrollment in Brazil's 59 federally funded universities increased by 10 percent, and observers say the sudden boom has strained resources across the board.

"The public university system had to be expanded, but the way it was gone about worries me," said Fabio Garcia dos Reis, director of a branch of the private, Sao Paulo-based UniSal college. "With the increased number of students, they don't have enough qualified professors, nor enough labs nor classrooms."

Still, Garcia acknowledged the situation at the private institutions is even worse.

Around three-fourths of college students here study at the country's private institutions, many of which sprang up during the 1990s or later and are widely regarded as little more than diploma mills. Generally small, with enrollments of around 1,500, these colleges have a hard time recruiting qualified faculty and holding on to students, Garcia said. They also tend to have short shelf lives, with many folding after just five or so years and others being snapped up by large conglomerates.

"We have to take a hard look at what we doing and make urgent reforms," Garcia said. "Otherwise I don't have a shadow of a doubt that there will be a crisis in a few years."


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Cricket-No lack of effort or application in NZ, says Cook

By Ed Osmond

LONDON, May 15 (Reuters) - England were not complacent or under-prepared during their disappointing tour of New Zealand this year, captain Alastair Cook said on Wednesday.

England, the world's second-ranked side, were outplayed by their eighth-ranked hosts and only a courageous century by Matt Prior and a rearguard batting effort on the final day secured the draw in the third test that left the series level at 0-0.

"It was not a lack of effort or application," Cook told a news conference before the first test against New Zealand at Lord's starting on Thursday.

"We had good preparation and it was not to do with a lack of attitude."

England went into the New Zealand tour on a high after winning a test series in India for the first time since 1985.

"We did not play as well in New Zealand as we did in India," said the 28-year-old left-hander. "But India was an outstanding achievement and it should not be brushed under the carpet.

"We are in a serious industry and every summer you have meetings outlining your plans. We are moving forward and trying to improve."

Cook, who took over the captaincy from Andrew Strauss last year, will lead his country in a test at the home of cricket for the first time.

"I am looking forward to tomorrow," Cook said. "It will be an incredible honour for me to walk out as captain at Lord's. You are always going to be under scrutiny and there is always pressure when you put on the England shirt."

CLOUDY CONDITIONS

New Zealand have only won four tests out of 50 in England but twice claimed series victories, in 1986 and 1999.

They outplayed Cook's side on their home soil under the innovative captaincy of Brendon McCullum and look likely to field a four-pronged pace attack in what are forecast to be cold and cloudy conditions.

Cook said there was no danger of England underestimating their opponents or allowing their minds to wander towards the Champions Trophy in June or the Ashes series against Australia.

"New Zealand are a tough side to beat," he said. "You just have to stay in the present and that is a skill a lot of sportsmen have.

"I just want us to play some good cricket. It is always important to start well, especially in a two-test series."

Cook gave few clues as to which player in England's 12-man squad will be left out of the team with fit-again Tim Bresnan and Steven Finn vying for the third pace-bowling spot.

"Finn has been coming out at good pace," Cook said. "I watched him in the nets and I was glad I didn't have to face him."

Off-spinner Graeme Swann is also back in the squad after missing the series in New Zealand due to an elbow injury but Cook said he was not certain to play.

"It is always an option to leave the spinner out," he said. "We have options. You always challenge yourself to improve and we have high standards." (Editing by Ken Ferris)


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El Salvador court hears arguments in abortion case

SAN SALVADOR, El Salvador (AP) — El Salvador's Supreme Court heard opening arguments Wednesday in a landmark abortion case in which a woman suffering from kidney failure and lupus has not been allowed to terminate a pregnancy in which the fetus is given no chance of surviving.

The Central American country's laws prohibit all abortions, even when a woman's health is at risk. At present, the woman and any doctor who terminated her 23-week pregnancy would face arrest and criminal charges.

Supporters gathered outside the court building where the case of the 22-year-old woman, who for privacy reasons has been identified only as "Beatriz," is being heard. Court spokesman Jaime Marinero said the five-justice panel had begun hearing arguments but it was not known when it would issue a ruling.

Beatriz is described as in fragile health. "She is pretty bad," said her mother, Delmy.

Her daughter suffers from lupus, a chronic immune disorder, and kidney failure, and medical experts say the pregnancy is a threat to her health.

Ultrasound images, meanwhile, indicate the fetus is developing with only a brain stem, a condition known as anencephaly. Most babies born with anencephaly live only a few days.

The government's Health Ministry has said it supports Beatriz's request for an abortion on health grounds. But the government's Legal Medicine Institute contends her illnesses are under control and says the pregnancy should be allowed to continue.

A medical committee at the maternity hospital where Beatriz has been treated said the baby wouldn't survive and recommended terminating the pregnancy, saying the woman's health "will certainly get worse as the pregnancy advances."

The New York-based group Human Rights Watch issued a statement calling on Salvadoran President Mauricio Funes to stand up for the woman's rights.

"The president should take immediate measures so that Beatriz can terminate a pregnancy that is putting her life at serious risk," the group's Americas director, Jose Miguel Vivanco, said in the statement.

El Salvador's attorney general for human rights, Oscar Luna, said that "in reality, what should prevail above all are human rights — in this case, the right to life."

"We support protecting the rights of the mother, and this does not imply opening the door to on-demand abortion," Luna said.

The Yes to Life Foundation, a Salvadoran group that opposes abortion, has said the woman should wait to see if there were any medical procedures available to induce an early delivery.

Regina de Cardenal, the head of the foundation, said the case is being used to press for legalized abortion in El Salvador.


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Cricket-New Zealand to make late decision on bowling attack

By John Mehaffey

LONDON, May 15 (Reuters) - New Zealand will assess weather and pitch conditions on Thursday morning before making a final decision on whether to field four pace bowlers in the first test against England at Lord's.

On the eve of the first match in the two-test series on Wednesday, captain Brendon McCullum said the final place would go to either Doug Bracewell or left-arm spinner Bruce Martin, who played in the drawn three-match series in New Zealand this year.

Rain is forecast throughout the first four days of the match and the prospect of a shortened game will also influence the selectors' decision with Kane Williamson able to chip in with a few overs of off-spin if Martin is omitted.

Martin bowled well and batted usefully in the first two tests at home after making his debut at the advanced age of 32. But he failed to take a wicket in the third test in Auckland, when New Zealand fell just short of winning the series, and was expensive in the tour match against the England Lions in Leicester.

"We've got 12 at the moment and that's just the balance issue for us," McCullum said. "We're trying to work out whether to play the four seamers or have Bruce and the same setup we brought into the three tests at home. That's something we are going to look at in the morning. Either way we have got good options."

New Zealand made a horrible start to the year when Ross Taylor withdrew from their tour of South Africa after he was replaced as captain by McCullum. They were then bowled out before lunch for 45 on the opening day of the first test.

However, they then had the better of England in the first test at home and eventually drew the series 0-0 after they needed only more wicket to win in Auckland.

HARDER CHALLENGE

"Obviously that series back home was really good for us. We learned a lot as a team. We know that this challenge is going to be a lot different and it's going to be a lot harder as well," McCullum told a news conference.

"We know we are going to have improve as a team on our performance. We know that they (England) are going to be a tough proposition but we believe we have got some guys who will be favoured by these conditions as well."

McCullum said his relationship with Taylor, New Zealand's premier batsman who returned for the home series against England, was fine.

"Ross has been great since we arrived in the UK, he's been outstanding. Ross is determined to perform well throughout this series," he said.

"We had a discussion when we first arrived here and it was a really good discussion. We have some great moments over the last 10 to 12 years and some great moments both on and off the field."

McCullum, now batting at number six after a brief spell as a an opener, scored 248 at an average of 82.67 in the home series in England. His aggressive batsmanship was paralleled by an attacking and innovative approach as captain.

"It's early days," he said. "For us as a group, we know that we are going to struggle to go to go toe to toe with the big boys of world cricket playing our style of game for long periods.

"We have been slow starters, we have tried to address that with our preparation on this tour. But these conditions are more familiar to us than they are on the Indian sub-continent, conditions where we have been caught on the hop." (Editing by Alison Wildey)


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Woman: China police ask to ax White House petition

BEIJING (AP) — Upset about plans for a petrochemical plant near her hometown in China, a woman turned to a new method that Chinese are using to air their complaints: she posted a petition on the White House's website. Then, Chinese police asked her to remove it.

Last week's run-in with internal security agents turned into an unexpected lesson for the woman.

"I didn't think (the petition) was a big deal and didn't foresee the ensuing events," said the woman, who asked to be identified only by the initials she used on the petition, B.Y., for fear of further angering the police.

B.Y., who is in her late 20s and works in the finance industry in the central city of Chengdu, said the officers asked her last Friday to delete the petition from the White House open petition site.

Set up in 2011, the "We the People" site allows the public to directly petition the White House. But she said she discovered the site does not allow people to remove petitions so she was unable to comply.

The Chengdu police department declined comment and would not provide the unlisted number for its domestic security protection branch.

B.Y.'s petition problem, which was first reported by Hong Kong's South China Morning Post newspaper, shows how prickly Chinese authorities are about Internet dissent, probably particularly when it involves the White House.

Chengdu, the capital of Sichuan province, has been on edge over plans to build a petrochemical plant 40 kilometers (25 miles) northwest of the city. The plant is expected to produce 10 million tons of oil and 800,000 tons of ethylene per year. Residents are concerned that the plant, operated by state-owned PetroChina, will aggravate air and water pollution, and question its safety because it is near a seismic fault where two deadly earthquakes have occurred in the past five years.

Authorities thwarted a planned demonstration over the plant on May 4 by filling the streets with police for a supposed earthquake drill, and have censored discussions of protest on the Internet.

Internet sites, particularly social media, are China's most unfettered forums for discussion, and many, especially younger Chinese, chafe at increasingly intrusive censorship.

At about the same time, Chinese discovered that the White House petition site was beyond the censors' reach. Discussions about an unsolved case involving the poisoning of a university student named Zhu Ling in Beijing 18 years ago were being deleted from Chinese sites, so someone turned to the White House site. In a few days, a petition calling for an investigation of a suspect living in the U.S. gathered 100,000 online signatures — the threshold for an official White House response — and kept the discussion alive in China.

B.Y. said she went to the White House site to sign the petition for Zhu Ling. Then, she saw she could start her own petition as well.

"So, I wrote about Chengdu," B.Y. said in an interview conducted by instant message. Her petition, posted in English on May 7, notes public concern about the project and urges the international community to evaluate the plan and monitor its environmental impact.

The next day, she received a call from the domestic security personnel. "I got a shock today," she wrote on her Sina Weibo microblog. Two days later, she met with the officers at a police station near her workplace.

"I will be out to have some tea," she wrote Friday. "If I should not return in two hours, please report me as missing." Having tea usually means someone has been called by the domestic security personnel for a talk.

"It was merely a chat," B.Y. said in the interview. "They wanted to know what the opposing views were and if there were other issues the public are worried about."

Asked whether the White House had provided any information to Chinese authorities to help them identify the petition writer, White House spokesman Matt Lehrich said it does not disclose users' information to any outside person or organization.

Unable to remove the White House petition, B.Y. attempted to comply with the police request by deleting a Sina Weibo post that had called attention to the petition. But she is also continuing to post Chengdu pollution levels on her microblog.

Quoting a well-known Chinese author, Hao Qun, who goes by the pen name Murong Xuecun and whose own microblog was recently censored, B.Y. said, "I am going to stay here until the stone blossoms."


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South Africa: Winnie items for sale

JOHANNESBURG (AP) — Dozens of paintings, a silver tea set and other items belonging to Nelson Mandela's ex-wife Winnie will be auctioned to pay off debts she owes to a South African school.

A law firm representing the Abbotts School in Johannesburg says the auction will be held Tuesday at Winnie Madikizela-Mandela's home in the Soweto township.

South African media say Madikizela-Mandela defaulted on a $2,150 payment to the school, where a relative was studying. A court ruled against her in 2011. Her lawyer declined to comment.

Madikizela-Mandela, whose former husband became president after 27 years in prison, was an anti-apartheid leader in her own right.

In March, forensic experts exhumed two skeletons believed to belong to two young activists last seen at her home 24 years ago. No charges have been filed.


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Myanmar minority resist Cyclone Mahasen evacuation

SITTWE, Myanmar (AP) — The cyclone was only a day or two away, churning through the Indian Ocean and carrying with it winds and rains that authorities warned could quickly turn deadly.

But in dozens of refugee camps that spatter Myanmar's western coast, where tens of thousands of displaced Rohingya people live in plastic-roofed tents and huts made of reeds, an order to evacuate ahead of the storm was met with widespread refusal.

In these camps, filled with people who barely exist officially, nearly any government order is distrusted.

Around 140,000 people — mostly Rohingya — have been living in crowded camps in Myanmar's Rakhine state since last year, when two outbreaks of sectarian violence between the Muslim minority and ethnic Rakhine Buddhists forced many Rohingya from their homes.

Nearly half the displaced live in coastal areas considered highly vulnerable to storm surges and flooding from Cyclone Mahasen, which is expected to make landfall early Friday.

"They say they'll take us someplace safe," said Kyaung Wa, a cycle-rickshaw driver who has spent nearly a year in a series of camps on the outskirts of Sittwe after his house was destroyed in the violence. If his current home is little more than a hut covered with a plastic sheet, he fears ending up someplace even worse, and living deeper in the countryside and away from work.

So he and the vast majority of his neighbors insisted they would stay, along with thousands of other Rohingya along the coastline.

Officials, he said, had been trying to empty his camp for months.

"Now they say, 'You have to move because of the storm,'" he said. "We keep refusing to go. ... If they point guns at us, only then will we move."

President's Office Minister Aung Min told reporters Wednesday that the government guarantees the safety of the Rohingyas during relocation and promises to return them to their current settlement when the storm has passed.

Mahasen appeared to have weakened Wednesday, with the cyclone downgraded to a Category 1 storm, according to the U.N.'s Office for the Coordination of Humanitarian Affairs.

However, the center of the cyclone was heading toward Chittagong in Bangladesh and could, "depending on its final trajectory, bring life-threatening conditions for 8.2 million people in northeast India, Bangladesh and Myanmar," the U.N. office said in a Wednesday storm update.

There was no wind or rain in Chittagong on Wednesday afternoon, but about 170 factories close to the Bay of Bengal were closed in anticipation of the storm.

Cox's Bazar, a seafront town in Bangladesh in the expected path of the cyclone, experienced drizzling rain and high tides 3 to 4 feet (about one meter) above normal. There was flooding in low-lying areas of several nearby island towns, said Ruhul Amin, a government official, and tens of thousands of people had left their homes for cyclone shelters and schools and government buildings on high ground.

Related heavy rains and flooding in Sri Lanka were blamed for eight deaths earlier this week, said Sarath Lal Kumara, spokesman for Sri Lanka's disaster management center.

In Myanmar at least eight people — and possibly many more — were killed as they fled the cyclone Monday night, when overcrowded boats carrying more than 100 Rohingya capsized. Only 42 people had been rescued by Wednesday, and more than 50 Rohingya were still missing, said Deputy Information Minister Ye Htut.

Much attention was focused on western Myanmar because of fears over the fate of the crowded, low-lying Rohingya camps.

Myanmar's government had planned to move 38,000 people within Rakhine state by Tuesday but "it is unclear how many people have been relocated," the U.N. office said, adding that Muslim leaders in the country have called on people to cooperate with the government's evacuation.

With sprawling camps still crowded with people, it appeared very few Rohingya had agreed to leave, despite offers of additional food rations.

The ones that had left said they had little choice.

"They just put us on the truck and brought us here," said Mahmoud Issac, a day laborer now living with his family and about 500 other Rohingya on the grounds of a small mosque. His wife and five children live on the ground floor of a two-room school, while he and the other men sleep on the mosque's portico.

He has no idea if he'll be allowed to return to the camp that had become his home.

The Rohingya trace their ancestry to what is now Bangladesh, but many have lived in Myanmar for generations. Officially, though, they are dismissed as illegal aliens. They face widespread discrimination in largely Buddhist Myanmar, and particularly in Rakhine, where many of the Rohingya live.

Tensions remain high in Rakhine nearly a year after sectarian unrest tore through the region and left parts of Sittwe, the state capital, burned to the ground. At least 192 people were killed.

The violence has largely segregated Rakhine state along religious lines, with prominent Buddhists — including monks — urging people not to employ their Muslim onetime neighbors, or to shop in their businesses.

International rights groups and aid agencies urged that the evacuations be stepped up.

The British-based aid agency Oxfam welcomed the government's evacuation efforts, but said "swifter action is needed to ensure people are moved before the storm hits."

"It is essential that humanitarian principles are adhered to in moving all affected populations safely to suitable locations and that no one is left out," the group's director for Myanmar, Jane Lonsdale, said in a statement.

Weather experts have warned that the storm could shift and change in intensity before hitting land.

Myanmar's southern delta was devastated in 2008 by Cyclone Nargis, which swept away entire farming villages and killed more than 130,000 people. Two days before hitting Myanmar, Nargis weakened to a Category 1 cyclone before strengthening to a Category 4 storm.

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Associated Press writers Jocelyn Gecker in Bangkok, Farid Hossain in Cox's Bazar, Bangladesh, and Krishan Francis in Colombo, Sri Lanka, contributed to this report.


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Rwanda building collapse kills 6, injures 30

KAMPALA, Uganda (AP) — A four-story building under construction collapsed, killing at least six workers and injuring dozens more people, Rwandan police said Wednesday.

Authorities were searching for survivors after the building collapsed late Tuesday afternoon in the eastern Rwanda district of Nyagatare, in what police called an "unfolding tragedy."

At least 30 workers injured in the collapse are now being treated at a nearby hospital, said Christophe Semuhungu, the police spokesman for Rwanda's Eastern Province.

It was yet clear what caused the collapse or even how many people are feared buried under the rubble.

In recent years, building collapses have become frequent in East and Central African countries as some property developers bypass regulations to cut costs. In March, a building collapsed in the Tanzanian city of Dar es Salaam, killing at least 30 people.


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Twin bombs strike Afghan checkpoint, killing 1

KABUL, Afghanistan (AP) — Two bombs exploded at a checkpoint outside a provincial governor's compound in eastern Afghanistan on Wednesday, killing at least one police officer, an official said.

The explosions struck in the early morning in Jalalabad, the capital of Nangarhar province. The first bomb wounded a policeman, and the second was remotely detonated minutes later as police swarmed to the blast scene to secure it.

The second explosion killed one police officer and wounded at least five policemen and three civilian passers-by who were on their way to a nearby park, said Ahmad Zia Abdulzai, a spokesman for the governor

The head of the provincial health department, Dr. Baz Mohammad Shirzad, said 11 victims were taken to a local hospital where one, the police officer, died of his injuries.

At the scene later Wednesday, dried blood stained the sidewalk next to the checkpoint and the makeshift police shelter was reduced to a pile of rubble.

Abdulzai said authorities were investigating how insurgents were able to plant the bombs despite heavy security near the governor's compound.

The Taliban have been ramping up attacks on government forces lately, seeking to destabilize Afghanistan as more foreign troops prepare to draw down from the 12-year war.

Another roadside bomb in Nangarhar on Saturday ripped through a police vehicle, killing two and wounding three others.

Meanwhile, NATO said a fourth U.S. soldier died as a result of a deadly Tuesday attack on a convoy in Afghanistan's southern Kandahar province, the spiritual heartland of the Taliban.

The attack involving small arms fire and a suicide bomber in the Zhari district of Kandahar initially killed three U.S. soldiers. The fourth soldier died on Wednesday, said the NATO report.

So far this year, 58 international troops have been killed in Afghanistan, according to an Associated Press count. Of that tally, 44 are U.S. service members.


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Amnesty for undeclared dollars divides Argentina

BUENOS AIRES, Argentina (AP) — A plan to get Argentines to pull their undeclared U.S. dollars from under their mattresses and out of illegal tax havens, and deposit them in the banking system is eliciting warnings that it will turn the country into a magnet for money launderers and organized crime.

The government of President Cristina Fernandez dismisses those concerns, saying the proposal to accept these dollars without charging taxes or asking whether they were obtained legally is needed to finance the key construction and energy industries, which have stalled due to inflationary pressures and currency controls.

Critics say the real motive is to bring billions of greenbacks into the investment-starved formal economy, and thus stave off another crippling devaluation of the peso before October's mid-term congressional elections determine whether Fernandez can keep ruling with a free hand.

The proposal, which goes before the Senate next week, aims to get savers and investors to deposit undeclared dollars at Argentina's Central Bank in exchange for bonds and certificates of deposit. The bonds would pay 4 percent through 2016, while the CDs could be traded and eventually redeemed for the entire amount in dollars, as long as the holder presents evidence that the money was spent on construction or real estate.

The government says the law is aimed principally at Argentines who have bought U.S. dollars as a hedge against high inflation. Deputy Economy Minister Axel Kiciloff estimated that Argentine individuals and companies have socked away up to $200 billion in undeclared currency outside the country.

The government is trying to make up for its disappearing foreign reserves, which have fallen more than 20 percent to $39.4 billion, by bringing in these black-market savings before the legislative elections, said Alfonso Prat-Gay, a deputy for the opposition Civic Coalition and former president of the Central Bank.

But Argentina's auditor general Leandro Despouy warned senators that it could exacerbate the dollar shortage by increasing distrust among international anti-money laundering groups and holding back foreign investment even more. "This law is going to be objected to because of the opening it entails for the possibility of laundering," Despouy told a senate committee on Tuesday. He called it a huge invitation for anyone to have their money "legitimized through fictitious groups."

The Financial Action Task Force, which guides governments worldwide on money laundering controls, could conclude that Argentina is providing incentives to launderers because this would be the second amnesty the Fernandez's government has offered in five years. The last amnesty pulled about $4 billion into government coffers in 2009.

This proposal specifies that no elected officials and no one linked to crimes of money laundering, financing terrorism or tax evasion can benefit from the amnesty. But Roberto Durrieu, a lawyer specializing in the prevention of corruption and money laundering, said the law needs to include a "more specific typology of these crimes."

"There is a series of contradictions in articles of the project, and we run the risk that organized crime would see a window to enter Argentina," Durrieu told lawmakers.

Opposition politicians have noted that the proposal comes amid a federal investigation into money laundering allegations involving businessmen and financiers with close ties to Fernandez.

Lazaro Baez, a businessman close to Fernandez and her late husband, President Nestor Kirchner, has denied allegations that he became rich on public works projects through his access to the presidential couple and had cash flown out of the country on private planes. Kirchner's former personal secretary, Miriam Quiroga, meanwhile spent hours testifying before a judge and prosecutor on Tuesday after declaring in a TV interview that she saw bags of cash brought through the presidential residence.

Fernandez has rejected the criticism, and said her opponents are pressing for a peso devaluation that would devastate ordinary Argentines who lack the ability to hide funds abroad.

"Those who want to make money at the cost of a devaluation that the people will have to pay for will have to wait for another government," she said last week. "Every time there's an election, on the side there's the economy and on the other, the scandals. It's typical of every election."

The government's refusal to pay billions of dollars to foreign governments and other investors whose businesses have been expropriated or otherwise harmed by government decisions have largely closed off foreign capital markets to Argentina. The risk to future investments has raised borrowing rates to the point that poor, landlocked Bolivia can issue debt at a third of the cost of resource-rich Argentina. Meanwhile currency controls meant to stem capital flight have had the opposite effect, with dollars flowing out at an increasing rate.

The proposed bonds would help finance oil and gas development by YPF SA, the state-controlled energy company Argentina seized from Spain's Grupo Repsol last year. Repsol has gone to international courts seeking $10.5 billion for its controlling shares, which the Fernandez government has so far refused to pay, and threatened to sue any other energy company that tries to develop the Argentine oil and gas resources it discovered.

Argentina's construction sector, meanwhile, traditionally has fixed contracts and estimated building costs in dollars, and it slowed to a standstill after the Fernandez government ordered all new contracts to be made in pesos. Many buyers and sellers have found it too difficult to settle on prices in an economy where actual inflation is estimated to be rising more than twice as fast as the official rate of 10 percent, black-market trading for dollars values pesos at half their official exchange rate, and fears of a disruptive currency devaluation have grown.

In this context, the initiative seems to offer a lifeline to real estate developers.

"Any measure that looks to get dollars out from under people's mattresses and into the real, productive economy is welcomed," said Gustavo Weiss, president of the Argentina Construction Chamber.


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South Africa: Winnie Mandela's items to be sold

JOHANNESBURG (AP) — Dozens of paintings, a silver tea set and other items belonging to Nelson Mandela's ex-wife Winnie will be auctioned to pay off debts she owes to a South African school.

A law firm representing the Abbotts School in Johannesburg says the auction will be held Tuesday at Winnie Madikizela-Mandela's home in the Soweto township.

South African media say Madikizela-Mandela defaulted on a $2,150 payment to the school, where a relative was studying. A court ruled against her in 2011. Her lawyer declined to comment.

Madikizela-Mandela, whose former husband became president after 27 years in prison, was an anti-apartheid leader in her own right.

In March, forensic experts exhumed two skeletons believed to belong to two young activists last seen at her home 24 years ago. No charges have been filed.


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Winning All Blacks sevens team home, focus on World Cup

By Greg Stutchbury

WELLINGTON (Reuters) - New Zealand's All Blacks Sevens rugby team returned home on Wednesday having clinched their 11th World Series title in an increasingly competitive season that sets up the prospect of a tantalising World Cup next month.

Gordon Tietjens' team clinched the final tour stop in London on Sunday with a crushing 47-12 victory over Australia to finish on 172 points, 41 ahead of second-placed South Africa.

The victory was made all the more sweeter for Tietjens, whose normally stable selections were rocked through injuries to experienced players like captain DJ Forbes and playmaker Tomasi Cama, forcing him to introduce several new players.

As a result, the win at Twickenham was only their second on the tour and the key to their series victory was consistency across all nine tournaments.

The team made seven finals and finished third in the other two tournaments in Wellington and Hong Kong.

"We have done it with a lot of players out. A lot of new youngsters have come up and put their hand up," Tietjens told the International Rugby Board's (IRB) series website.

"It's a confidence booster moving into the World Cup," he added of the June 28-30 tournament in Moscow.

"We know how hard it is going to be, but we only take it one game, one tournament, at a time.

"That (the World Cup) is going to be totally different.

"It might be a totally different team but these guys have put their hands up and said they want to go to Moscow so I have a few problems ahead of me."

LEVEL FIELD

Injury and selection issues aside, Tietjens is also acutely aware that much the field has been levelled across the board during this season's circuit and how close the World Cup tournament could be.

Kenya, under former England coach Mike Friday, came within a whisker of winning their first title in Wellington despite having two players sin-binned in the final against England.

At the same tournament, sevens heavyweights Fiji failed to qualify for a world series Cup quarter-final for the first time and were then beaten by Canada in the final of the Bowl competition.

The Fijians rebounded during the series to win the showcase tournament in Hong Kong but were a distant third in the overall series after some poor performances since that victory in March.

While Fiji struggled, they did not suffer the same ignominy Scotland had to face last weekend in London.

Inventors of the shortened form of the game, the Scots were forced into an eight-team playoff against the likes of Zimbabwe, Georgia and Hong Kong to ensure their place on the circuit next year.

The promotion-relegation playoff was introduced by the IRB this year in an attempt to improve the standard of play and broaden its depth as the sport prepares for its debut at the 2016 Summer Olympics in Rio de Janeiro.

The bottom three sides after the penultimate Glasgow tournament - Scotland, Portugal and Spain - were forced into the playoff tournament with five qualifiers in London.

The regular play on the world circuit paid off in the end, with all three retaining their places next season, though Scotland were beaten 20-19 by Hong Kong in pool play before they overcame Tonga and then Russia to ensure their place.

"We rose to the occasion and we are back on the series," Scotland captain Colin Gregor told the IRB website.

"It is horrendous being down here so we need to make sure we start the season properly, so tough summer ahead of us with the World Cup and then September, October, we're flying."


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Canada ethics boss reviewing C$90,000 check to senator

By Randall Palmer

OTTAWA (Reuters) - Canadian Ethics Commissioner Mary Dawson is reviewing a move by Prime Minister Stephen Harper's chief of staff to write a personal check for C$90,000 ($88,000) to a Conservative senator so he could repay housing allowances he should not have received.

News of the gift by Chief of Staff Nigel Wright, a wealthy former businessman, to Senator Mike Duffy is the latest embarrassment for Harper, whose Conservative government was elected on a promise of accountability.

Opposition politicians demanded on Wednesday an independent inquiry into expense claims made by members of the Senate, the upper house of Parliament, and said a "dark cloud of ethical failures" stretched to senior levels of government.

Dawson's spokeswoman, Jocelyne Brisebois, said the ethics commissioner is reviewing Wright's involvement in the repayment "of a senator's expenses" and is following up with Wright on his obligations under the Conflict of Interest Act.

A Senate investigation found last week that Duffy and two other senators were not entitled to housing allowances they had claimed.

Duffy agreed to pay his allowances back to the government, but because he did not have the money available, Wright cut him a check from his own account, Harper's chief spokesman Andrew MacDougall said.

Repaying the money was the right thing to do, and taxpayers were not on the hook, MacDougall said, adding that Harper had not been aware that Wright had covered Duffy's expenses.

However, in addition to federal conflict-of-interest law governing public office holders such as Wright, it appeared that Duffy might have broken Senate rules that say members cannot take gifts "that could reasonably be considered to relate to the senator's position".

"The dark cloud of ethical failures hanging over the Prime Minister's Office is growing larger," said opposition New Democratic Party ethics critic Charlie Angus. "This is a very serious charge against Stephen Harper's right-hand man. The prime minister cannot bury his head in the sand hoping it will go away."

Harper came to power in 2006 promising to clean up scandals that had dogged the previous Liberal government. Recently, however, the Conservatives have faced a series of problems of their own relating to campaign finance, misleading robocalls and now the Senate expenses claims.

They are falling in the polls and would probably lose power if an election were held today. The next election isn't until October 2015.

On Monday, the Conservatives lost a federal House of Commons seat in Newfoundland and Labrador in a special election called after a minister violated campaign financing rules.

In a statement last Thursday, Duffy insisted he had acted in good faith, and he noted that an audit of his expenses indicated there was a lack of clarity in the Senate's rules on residency and housing allowances.

Senate Ethics Officer Lyse Ricard declined comment on whether the gift broke Senate conflict-of-interest rules.

The only exception to the Senate ban on taking gifts is for those given "as a normal expression of courtesy or protocol, or within the customary standards of hospitality that normally accompany the senator's position".

Private ethics watchdog Democracy Watch issued a statement saying that in its opinion Duffy violated the Senate conflict-of-interest provision, and that Wright may have violated federal law.

MacDougall declined to provide comment from Wright.

($1=$1.02 Canadian)

(Editing by Janet Guttsman; and Peter Galloway)


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Rwanda building collapse kills 3, injures 21

KAMPALA, Uganda (AP) — Police in Rwanda say a four-story building that was under construction collapsed, killing at least three workers and injuring 21 more people.

Rwandan police said in a statement late Tuesday that the building in the eastern district of Nyagatare collapsed Tuesday afternoon. The statement described the incident as an "unfolding tragedy."

It said police are working with the Rwandan military to find survivors. It was yet clear what caused the collapse or even how many people are feared buried under the rubble.

In recent years, building collapses have become frequent in East and Central African countries as some property developers bypass regulations to cut costs. In March, a building collapsed in the Tanzanian city of Dar es Salaam, killing at least 30 people.


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Congo: 32 die in clash between army and militia

KINSHASA, Congo (AP) — The Congolese army says that 32 were killed in fighting between soldiers and Mai Mai militiamen.

The rebels launched an assault early Wednesday on the town of Beni, 220 miles (350 kilometers) north of Goma.

Army spokesman Col. Olivier Hamuli said the assailants targeted a military center there. At least 24 militiamen were killed and three soldiers died including a lieutenant colonel.

He said five others who were awaiting transfer to a military training center also were killed.

Resident Jean Kambale said heavy gunfire had rocked the town since early Wednesday but that calm had returned by the afternoon.

Eastern Congo has been wracked by fighting since the end of the 1994 genocide in neighboring Rwanda and is home to a myriad of violent armed groups.


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Liberals stage comeback to win in Canada's British Columbia

By Jennifer Kwan

VICTORIA, British Columbia (Reuters) - The incumbent Liberal Party won an election in the Canadian Pacific province of British Columbia on Tuesday, in a stunning comeback that defied the pollsters who had expected voters to boot the party out of power.

The Liberals, in power for more than a decade, lost support after the introduction, and then cancellation, of an unpopular sales tax. But they gained momentum late in an election campaign that focused on the economy, balanced budgets and controlled spending.

"Tonight we have received a mandate from the people of British Columbia and I say to the citizens of British Columbia you have humbled us," Premier Christy Clark said in a speech accepting her party's victory.

"During this campaign people told us that they want to know we will be sharing the economic benefits of this province with everyone. They told us that they wanted us to balance economic and environmental issues. We will heed those concerns."

A majority victory was predicted by several networks including CTV News and CBC.

At the time of her speech, Clark was still in a tight race with the New Democrats (NDP) challenger for her seat and the winner had yet to be decided.

The Liberals' victory was characterized as shocking by analysts because the party had trailed the left-leaning NDP by about 20 percentage points heading into the campaign.

Provisional returns at about 11:45 p.m. Pacific Time (0645 GMT Wednesday) showed the Liberals had won, or were ahead, in 50 of the 85 seats in the provincial legislature, while the NDP were heading for 33 seats. Forty-three seats are needed for a majority.

The Liberals held 45 seats in the previous legislature, the NDP had 36, and four were held by independents.

The turning point in the campaign seemed to be Clark's ability to play up fears that the NDP would be poor stewards of Canada's fourth-largest provincial economy.

NDP leader Adrian Dix opposed both the proposed C$6 billion ($5.9 billion) Enbridge Inc Northern Gateway pipeline that would ship 525,000 barrels of oil sands crude per day from Alberta to the B.C. coast, and Kinder Morgan Energy Partners LP's plan to more than double the size of its Trans Mountain pipeline carrying crude oil from Edmonton, Alberta, to the coast.

Dix had promised to revoke an agreement the Liberals had signed under which British Columbia would recognize whatever federal decision was taken after an environmental review of the Northern Gateway pipeline, due at the end of this year.

British Columbia, which includes large parts of the Canadian Rockies as well as the rugged and often undeveloped Pacific coast, prides itself on its environmental policies. Greenpeace was founded there in 1971.

Green Party candidate Andrew Weaver won the party's first seat in a provincial legislature in Canada on Tuesday.

($1 = 1.0160 Canadian dollars)

(Editing by Mohammad Zargham and Pravin Char)


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Rugby-All Blacks captain McCaw back training but no date for return

WELLINGTON, May 16 (Reuters) - All Blacks captain Richie McCaw has started running and lifting weights again though whether he plays the tail end of the Super Rugby competition was still up in the air.

The 32-year-old loose forward is in the midst of a New Zealand Rugby Union-sanctioned six-month sabbatical from all rugby and will miss next month's three-test series against France as a result.

McCaw had spent some time travelling around North America and Europe during his sabbatical, which is scheduled to finish in late June, in time for the Canterbury Crusaders' final regular season games against the Waikato Chiefs and Wellington Hurricanes.

The six-team playoffs series begins on July 19 with the Super Rugby final on Aug. 3.

"When I'm back playing is still in the air a bit," McCaw was quoted as saying by Fairfax Media on Thursday.

"I'll get these next couple of months training (done), then it will come down to a discussion with (coach) Todd (Blackadder) and what's best for them and what's best for me.

"We'll make the decision going forward."

McCaw had begun running and done a weights session last week but would now look to increase the workload as he builds towards a possible return for the end of the Super Rugby season, though more likely the Rugby Championship tournament involving Australia, South Africa and Argentina that starts on Aug. 17.

"I've got a bit of time to get fit," he added.

"Last week was about getting the dust off. Next week I'll ramp it up a bit. I want to make sure when I'm back playing, I'm in good shape.

"If I get the next couple of months done right, hopefully we'll be in good shape to do what's needed."

McCaw's team mate Kieran Read, who is likely to replace the flanker as All Blacks' captain for the tests against France, has returned from a long-term toe injury for the Crusaders' match against the Auckland Blues on Saturday.

Read suffered a partial tear of ligaments in his toe in the Crusaders' 55-20 victory over the Southern Kings on March 23.

The 27-year-old number eight's return will be welcomed by the Crusaders, who had a bye last week but beat the table-topping ACT Brumbies 30-23 in Canberra on May 5 giving them some impetus into the final part of the season. (Reporting by Greg Stutchbury; Editing by Justin Palmer)


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Sharif's win sparks hope for Pakistan-India ties

WAGAH, Pakistan (AP) — Over a decade ago, the man now set to become Pakistan's next prime minister stood at this border crossing with archenemy India to inaugurate a "friendship" bus service connecting the two countries as cheering supporters waved flags and tossed rose petals.

There is widespread hope on both sides of the border that Nawaz Sharif will take similarly bold steps to improve relations with India following his election victory over the weekend, thus reducing the chance of a fourth major war between the nuclear-armed foes.

The reason for this optimism is not only his track record of reaching out to India the last time he was prime minister — until the effort was doomed by Pakistan's powerful army — but also his commitment to turning around Pakistan's stuttering economy. Closer ties with India are seen as critical because of the potential for much greater trade between the two countries.

Reducing the threat from India could also help the 63-year-old Sharif accomplish another unspoken goal, reducing the clout of the Pakistani army, which has long used the potential for armed conflict to justify a huge defense budget.

But the army, which sabotaged Sharif's previous peace efforts in 1999 by secretly sending troops into India and eventually toppling him in a coup, could hit back. It may do so if it feels its interests are being threatened or the country is moving too quickly on sensitive issues with India like the disputed Himalayan region of Kashmir.

"We will pick up the threads from where we left in 1999," Sharif told reporters Monday at his palatial estate near the eastern city of Lahore. "That is the roadmap that I have for improvement of relations between Pakistan and India."

Another potential spoiler is the Pakistan-based Islamic militant group Lashkar-e-Taiba, which carried out an attack on the Indian city of Mumbai in 2008 that killed over 160 people. The attack followed efforts by Pakistan's newly elected government to improve ties with majority Hindu India.

India's political leaders and media have hailed Sharif's victory. Prime Minister Manmohan Singh sent Sharif a message the day after the May 11 election saying the people of India "welcome your publicly articulated commitment to a relationship between India and Pakistan that is defined by peace, friendship and cooperation." Sharif responded to the goodwill by saying he would be pleased if Singh attended his inauguration.

But India has been frustrated by Pakistan's failure to crack down on Lashkar-e-Taiba, which has strong historical links with Pakistani intelligence. That frustration could grow with Sharif since he has also shown no inclination to target the group, which is based in his party's stronghold of Punjab province. The two-time prime minister is also seen as more devoutly religious and close to hardline Islamic parties than the outgoing government is.

Sharif sought to temper concerns Monday when an Indian journalist asked him about the Mumbai attack, saying "we will ensure there is no repeat of any such incident ever again."

The Lashkar-e-Taiba founder who is believed to have masterminded the attack, Hafiz Saeed, remains free in Lahore, despite a $10 million reward offered by the U.S. for his arrest and conviction. A trial of seven Pakistani men suspected of involvement in the Mumbai attack has also made little progress.

Even if Sharif wanted to target Lashkar-e-Taiba, he could run up against Pakistan's powerful Inter-Services Intelligence spy agency, which helped form the group to put pressure on India over Kashmir, which is divided between the two countries but claimed in its entirety by both.

Kashmir has sparked two of the three major wars fought between Pakistan and India since they were carved out of British India in 1947. The Pakistani army used militant proxies to fight in Kashmir for years, and is accused of still doing so despite its denials.

Sharif discovered the danger of crossing the army in 1999. He began the year by inaugurating the "friendship" bus service at the Wagah border near Lahore in February. The Indian prime minister at the time, Atal Bihari Vajpayee, rode the first bus across the border to meet Sharif, who reminisced about the day in his meeting with reporters Monday.

"We were very happy on this visit," said Sharif. "It was a defining moment in Indo-Pak relations."

Two days later, the leaders signed a landmark agreement known as the Lahore Declaration that sought to avoid nuclear conflict.

But the goodwill didn't last long. In May 1999, the Pakistani army chief at the time, Gen. Pervez Musharraf, quietly sent soldiers into an area of Indian-held Kashmir called Kargil, sparking a conflict that cost hundreds of lives and could have led to nuclear war. Sharif said the army acted without his knowledge. Five months later, Musharraf toppled Sharif in a coup and sent him into exile in Saudi Arabia, not allowing him to return until 2007.

Hostility in the army toward India remains strong, but the current chief, Gen. Ashfaq Parvez Kayani, is believed to have supported efforts over the past 18 months to improve trade relations given the poor state of Pakistan's economy. Trade between the two countries is about $2 billion dollars per year, and many experts believe that amount could increase multiple times with better ties.

Pakistan announced in 2011 that it would grant India most favored nation trading status, something India did in 1996. But domestic pressure from businesses worried about competition has prevented the government from following through.

Sharif, the son of a wealthy industrialist whose party is considered pro-business, will be watched closely to see if he moves quickly on the issue, said Khurram Husain, a freelance business journalist in the southern Pakistani city of Karachi.

"The faster he does it after coming into power, the more he shows the other side we are serious," Husain said.

Another area where Sharif could work to improve economic ties is by trying to open more border crossings between the two countries, Husain said, noting that Wagah is currently the only crossing for cargo.

The Wagah crossing is also the site of a colorful border closing ceremony each day attended by hundreds of people on both sides, who watch Pakistani and Indian soldiers try to outmarch each other by throwing their legs high in the air to show their rivals the bottom of their boot — a grave insult in this part of the world.

Zaheer Ahmed, who was headed to the border ceremony with his young son, said he was optimistic that relations with India would improve following Sharif's victory.

"Nawaz is a businessman, so I believe he will definitely improve trade with India, which would help both countries," said Ahmed. "An increase in trade would also bring more people-to-people contact, which would make Pakistan's relations with India friendlier."

Despite the optimism, an editorial in the Hindustan Times in India said the country should not expect a Kashmir settlement or a crackdown on Lashkar-e-Taiba in the coming months.

"What it can hope for is a government that will address the structural failures of the Pakistani economy, a government that will try and strengthen civilian institutions at the expense of the army; and a government that will understand that cutting dependence on the United States and China is only possible if Pakistan has a modus vivendi with India," it said.

____

Associated Press writers Rebecca Santana and Munir Ahmed in Islamabad, Asif Shahzad and Zaheer Babar in Lahore and Ashok Sharma in New Delhi contributed to this report.


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Cricket-Aussie batsmen must stand up in Ashes series

By Nick Mulvenney

SYDNEY, May 15 (Reuters) - Australia's pace bowling unit will give the tourists every chance of success in the Ashes series in England but will not be able to win back the precious urn without some help from the batsmen, captain Michael Clarke said on Wednesday.

Clarke said the Australians would relish going into the series in July and August as underdogs and that, if fit, pacemen Peter Siddle, Ryan Harris, James Pattinson, Mitchell Starc and Jackson Bird would cause England real problems.

"We've got a good attack, there's no doubt about it. The squad of quicks we have is a really good combination. They gel well together, they're all a little bit different," he told reporters at North Sydney Oval after the announcement of a sponsorship deal with Commonwealth Bank.

"But as batters, we've got to put runs on the board. There's no point in giving our bowlers 150 runs to bowl at. As batters, we have a huge responsibility to make sure we're getting 350, getting 400, putting those runs on the board.

"I'm very confident that if we can choose the best attack, we can have some success over there."

The batting might prove to be the hard part as, Clarke's own prolific scoring aside, Australia have frequently struggled for runs over the last year or two and have lost Ricky Ponting and Mike Hussey to retirement in the last few months.

The nadir came with the 4-0 series loss in India in February and March, which made England even stronger favourites to keep the Ashes they won at home in 2009 and retained with a 3-1 drubbing in Australia in 2010-11.

"Like all the boys, we're disappointed with our most recent results in India," Clarke added. "We know that's unacceptable as an Australian cricket team and we've been working hard to try and turn that around.

"All I can ask of the boys is to do their very best and give it a red-hot crack. We know that we're playing a very good team in their own back yard.

"We know that we're going there as underdogs but we like that tag."

SENSATIONAL FORM

Clarke took over as captain after the last Ashes series and has been in sensational form with the bat since, scoring 2,533 test runs at an average of 68.45 with one triple century, three double centuries and five other hundreds.

His importance to the otherwise frail batting order could not be underestimated and he was confident he would be fit to play in England despite missing the last test in India with a disc problem that has troubled him since he was 17.

"It'll be no different to how it's been throughout my career. I've managed to play 90 odd test matches and only miss one," the 32-year-old said.

"That's a big part of why preparation is so important for me. If I can't walk out to bat and score a hundred and help Australia have success, then in my eyes I'm unavailable for selection."

Clarke also said he hoped former vice captain Shane Watson - "one of the best all rounders in the world" - would be fully fit to contribute with both bat and ball against what he admitted was a very good England side.

"(But) every team's beatable, I've experienced that first hand when I came into a great Australian side at the start of my career," he said.

"We lost games of cricket. We lost the Ashes in 2005 and no one expected that. If we play our best cricket, I'm confident we can win the Ashes." (Editing by Peter Rutherford)


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Nigeria deploys army to northeast to fight rebels

LAGOS, Nigeria (AP) — Nigeria rumbled to a war footing Wednesday as soldiers and equipment moved into its northeastern states as part of an emergency military campaign against Islamic extremists waging a bloody insurgency.

In the last two days, Associated Press journalists and witnesses have seen armored tanks and soldiers moving through major roads and cities in Adamawa, Borno and Yobe states. Those states, crossing an arid region of some 155,000 square kilometers (60,000 square miles), are now under a state of emergency declared by President Goodluck Jonathan Tuesday night. The presidential order allows the military to arrest anyone at will and raid any building suspected of housing extremists.

Residents of the northeastern region greeted the new military campaign with faded hope and suspicion. Some prayed for an end of a violent guerrilla campaign that's killed more than 1,600 people since 2010, according to an AP count.

"Let's hope that there is light at the end of the tunnel; we have had enough killings and attacks and this created a tense situation in the land," said Amuga Keftin, who teaches at the Modibbo Adama University of Technology in Yola, the state capital of Adamawa state.

Others worried that regular life would halt entirely in the region, as people stay home out of fear of being targeted by security forces already accused of harassing, detaining and even killing civilians.

"We are waiting to see the arrival of the soldiers and it's our hope that unprovoked attacks, arrests and (abuses will) not be witnessed," Adamawa state resident Rabecca Musa said.

It was unclear the exact strength of the incoming military presence. A statement issued Wednesday by Brig. Gen. Chris Olukolade, a military spokesman, promised a "massive deployment of men and resources." However, Olukolade did not provide specifics and did not return calls for comment.

"The operational (planners) have also briefed participating troops appropriately on arrests, cordon and search — especially directed at apprehending those who have been violating sovereignty of Nigeria through terrorist training for insurgency and related activities," said Olukolade's statement.

In Maiduguri, the spiritual home of the Islamic extremist network known as Boko Haram, state officials said soldiers had been airlifted into the city. An AP journalist saw convoys of military vehicles on Monday night heading north into the rural expanse that borders Niger and Chad.

Nigeria's military also has jet fighters and attack helicopters, but it was not clear if those would be used in the assault.

Under the president's directive, soldiers have ultimate control over security matters in the three states, though his order allows civilian governments to remain in place. Such declarations are rare in Nigeria, a nation that abandoned a revolving door of coups and military rulers for democracy in 1999. Former President Olusegun Obasanjo placed two states under emergency rule during his tenure, throwing out elected leaders and installing caretaker governments.

This is Jonathan's second declaration of a state of emergency. In late December 2011, he declared emergencies in parts of four states, including Borno and Yobe. However, that declaration and an increased security presence failed to end the violence that is plaguing the nation.

The president's speech Tuesday offered the starkest vision of the ongoing violence, often downplayed by security forces and government officials due to political considerations. Jonathan described the attacks as a "rebellion," at one point describing how fighters had destroyed government buildings and "had taken women and children as hostages." He even acknowledged for the first time that Nigerian forces had lost control of some villages and towns in the northeast, something analysts and residents have warned has happened.

Nigeria's military even has said Islamic fighters now use anti-aircraft guns mounted on trucks to fight the nation's soldiers, likely outgunning the country's already overstretched security forces.

While the military prepares for its campaign, human rights activists remain concerned about the possibility of soldiers indiscriminately arresting and killing civilians. A recent military operation in a fishing village in Borno state along the shores of Lake Chad saw at least 187 people killed amid allegations that soldiers were responsible. While the military has denied repeatedly that it attacks and kills civilians, the country's armed forces have a history of committing such assaults.

"The path towards public safety cannot be an expansion of violations of the rights of Nigerians," Jibrin Ibrahim, the director of the Center for Democracy and Development, said in a statement. "We believe that the human rights of citizens should not be secondary to the provision of security."

In Washington, State Department spokesman Patrick Ventrell condemned Boko Haram's "campaign of terror" and echoed the need to deal with the "worsening cycle of violence in northern Nigeria."

But he said Nigeria must ensure that its security forces "protect civilians in any security response in a way that respects human rights and the rule of law." Recent allegations of abuses in Baga and elsewhere in the north need to be fully investigated, with those responsible for wrongdoing held accountable, he said.

"We have made clear to the Nigerian government that its heavy-handed response to insecurity in northern Nigeria and the failure to address human rights violations will potentially affect our ability to provide security assistance going forward," Ventrell told reporters. "We've made that message clear to the Nigerians."

Meanwhile, violence pitting different ethnic groups against each other continues, with clashes that kill dozens at a time. In addition, authorities acknowledged Tuesday that a single attack by an ethnic militia in Nasarawa state killed at least 46 police officers and 10 agents with the country's secret police.

Even Jonathan in his speech Tuesday named 11 states in Nigeria that have suffered in "the recent spate of terrorist activities and protracted security challenges." The president's tally identified nearly a third of the states in Nigeria, without him mentioning the eastern states suffering through a spate of kidnappings and those in the oil-rich southern delta where crude oil thefts go unstopped. His words signal the serious challenges now facing this country's weak, increasingly embattled central government.

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Associated Press writers contributing to this report include Mohammed Abubakar in Potiskum, Nigeria; Haruna Umar in Maiduguri, Nigeria; Ibrahim Abdul in Yola, Nigeria; Bashir Adigun in Abuja, Nigeria; and Bradley Klapper in Washington.

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Jon Gambrell can be reached at www.twitter.com/jongambrellAP .


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Buenos Aires launches tours for Argentine pope

BUENOS AIRES (AP) — You can see the streets where he grew up and played soccer, the church where Jorge Bergoglio prayed as a teenager and the cathedral where the man who would become Pope Francis said Mass. You can even visit the stand where he bought his newspapers every weekend and where he went for a haircut.

With an Argentine on the throne of St. Peter, the South American country's capital city has launched a series of guided tours to give visitors a glimpse of the places that formed Francis, even if the bus and walking tours are just a modest, and so far non-commercial first stab at papal tourism.

The tour bus is a single-story cruiser with sealed windows above a huge image on each side of Francis and the words "Pope Circuit" in papal yellow, which also happens to be the official color of the metropolitan government that began offering the tours last weekend.

For three hours, the bus winds through Buenos Aires twice each Saturday and Sunday and can carry about 40 passengers, rolling past 24 sites linked to the new pope, but stopping only twice and leaving little opportunity for snapshots. There's no charge for the trip, or for more limited walking tours of downtown and neighborhood sites offered on Tuesdays and Thursdays.

"I loved the tour ... It's to live the history of Bergoglio, of his family, and I also visited his neighborhood, which I had never seen," said Alicia Perez, a 71-year-old Argentine who was one of the few non-journalists on inaugural bus tour.

The house at 531 Membrillar where the pope and four siblings grew up with his mother and father, Regina Maria Sivori and Mario Bergoglio, in the 1930s and 40s is gone now, but the bus cruises down the tree-shaded middle-class street past the property, where another dwelling was later built.

Nearby there's the little plaza where he played soccer as a boy, and the narrow, neo-classical San Jose de Flores church where he worshipped as a teenager and felt called to devote his life to God.

Visitors also see the seminary in the leafy neighborhood of Villa Devoto where Bergoglio decided to become a Jesuit priest, and the Metropolitan Cathedral, which looks more like a classical Greek temple than a typical Catholic church. Bergoglio eventually presided as the capital's archbishop in the imposing structure, which also houses the tomb of South American independence hero Jose de San Martin.

The tour also passes by the Jesuit College of El Salvador, where Bergoglio taught literature and psychology in the 1960s, and the Salvador University he later oversaw.

The tour leaves out the gritty slums where Bergoglio's church was a frequent benefactor, but there's a nod to his reputation for ministering to society's outcasts: a swing past the Devoto prison where he often said Mass on the Thursday before Easter.

The bus finally stops at the parish of San Jose del Talar, where visitors can pray at a sanctuary that features a painting of the Virgin untying knots and passing them to angels. Bergoglio had the painting brought from Germany in the 1980s, and ever since, attendance at the church has soared.

Less sacred ground is covered as well. The bus stops downtown at the historic Roverano passageway, where Bergoglio had a monthly haircut for 20 years at Romano's barber shop, a high-ceilinged place that seems to have been frozen in time since the early 20th Century. But the barbers would rather not be bothered: Tourists are advised to gawk from outside as the artisans with scissors and razors work on their mostly elderly clientele.

"It's a pride to have had Monsignor Bergoglio, now Pope Francis, as a client every month for 20 years," says a poster stuck to the shop window.

Owner Nicolas Romano, 72, is only four years younger than the pope. He told an Associated Press team that returned for a post-tour interview that Bergoglio came to the barbershop until about a decade ago, when one of the barbers began giving him a personal trim at the archbishop's office. An assistant also gave him a monthly pedicure.

"He was a man of few words. He spoke just what was needed, sometimes of politics or current affairs," said one of the barbers, 71-year-old Mario Saliche.

The tour ends at the Plaza de Mayo, which is fronted by the cathedral and the office building where Bergoglio lived alone in a humble room, shunning an ornate diocesan mansion in a northern suburb. The church has not provided outsiders with access to this bedroom, despite the curiosity of the faithful.

Across the plaza is the newsstand where Bergoglio bought his La Nacion paper on Saturdays and Sundays.

"He paid me with coins and we chatted about soccer and how things were," said Nicolas Schandor, who owns the weekend stand. He also said Bergoglio would stop to chat with war veterans occupying the plaza, and give food to the poor who slept on the cathedral's steps. "He's a very simple person. Nobody expected he would become pope."

Schandor's kiosk is one of the few attractions on the trip that shows any evidence of papal commerce: A plastic key holder with the pope's image goes for about $1.90, and a calendar costs $2.30. Schandor said some tourists even have themselves photographed with him.

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AP Video available at https://vimeo.com/66256578


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Stocks shrug off weak European GDP data

PARIS (AP) — Stock markets shrugged off weak economic data in Europe on Wednesday even as news hit that the 17-country euro currency bloc is now in its longest-ever recession.

Europe's economic motor, Germany, returned to growth but still disappointed. Its gross domestic product rose 0.1 percent in the first quarter of the year. That's less than the 0.3 percent rise analysts were expecting. Meanwhile, the French economy, the bloc's second-largest, fell back into recession.

But after dropping in morning trading, European stocks were up in the afternoon.

France's CAC-40 index was up 0.3 percent to 3,979, while the DAX in Germany rose 0.1 percent to 8,350. Meanwhile, Britain's FTSE index of leading shares added 0.1 percent to 6,695, partially on the back of positive earnings.

"Stocks have largely recovered from their early malaise to re-test recent highs as strong corporate numbers took center stage," said Toby Morris, a sales trader at CMC Markets UK, citing results from easyJet and the London Stock Exchange.

U.S. markets, meanwhile, barely budged in early trading in New York.

The Dow Jones industrial average was even at 15,217, while the broader Standard & Poor's index was up 0.1 percent to 1,652.

Earlier, Asian stocks focused on an improving U.S. economy. On Tuesday, a report from the National Federation of Independent Business showed a slight improvement in confidence among small business owners in the U.S. in April.

Japan's Nikkei 225 index surged 2.3 percent to close at 15,096.03, propelled by a falling yen and a surge in Sony's shares.

Hong Kong's Hang Seng rose 0.5 percent to 23,044.24. South Korea's Kospi added 0.1 percent to 1,971.26. Benchmarks in India, Thailand, Singapore and Taiwan also rose. Australia's S&P/ASX 200 shed 0.6 percent to 5,191.70.

But the poor European data was weighing on oil prices since a slowing economy uses less energy. Benchmark oil for June delivery fell 70 cents to $93.51 per barrel in electronic trading on the New York Mercantile Exchange.

In currencies, the euro fell to $1.2885 from $1.2937 late Tuesday in New York.

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Pamela Sampson contributed to this report from Bangkok.


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