Israeli group demands that Twitter shuts down Hezbollah account - BlogPost - The Washington Post

Israeli group demands that Twitter shuts down Hezbollah account - BlogPost - The Washington Post: "The Hezbollah Twitter account with which Shurat HaDin has a problem, @almanarnews, represents a Lebanese satellite television station affiliated with Hezbollah, and shares a variety of links with its nearly 8,000 followers.

Its most recent tweets in English spoke about Iran’s plan to test long-range missiles, a bomb attack in Afghanistan on civilians, and Russia’s declaration that the Arab League’s visit to Syria was “reassuring.”

The Middle East Forum describes Al-Manar News this way: “Calling itself the ‘station of resistance,’ al-Manar has become an integral part of Hezbollah's plan to reach the entire Arab and Muslim worlds.”"

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Obama to ask for debt limit hike: Treasury official | Reuters

Obama to ask for debt limit hike: Treasury official | Reuters: "(Reuters) - The White House plans to ask Congress by the end of the week for an increase in the government's debt ceiling to allow the United States to pay its bills on time, according to a senior Treasury Department official on Tuesday.

The approval is expected to go through without a challenge, given that Congress is in recess until later in January and the request is in line with an agreement to keep the U.S. government funded into 2013."

The debt is projected to fall within $100 billion of the current cap by December 30, when the United States has $82 billion in interest on its debt and payments such as Social Security coming due. President Barack Obama is expected to ask for authority to increase the borrowing limit by $1.2 trillion, part of the spending authority that was negotiated between Congress and the White House this summer.

Under the agreement struck in August during the showdown over the government's debt limit, the cap is automatically raised unless Congress votes to block the debt-ceiling extension. Lawmakers have 15 days within receiving the request to vote, which is largely symbolic because the president can veto it and Congress would be unlikely to muster the two-thirds majority to override it. Moreover, the U.S. House of Representatives also is in recess until January 17.

The deal called for raising the debt ceiling by $2.1 trillion to serve the nation's borrowing needs into 2013 and also included mandatory cuts to the federal budget deficit. Since then, the extension has been increased twice by a total of $900 billion.

The debt limit currently stands at $15.194 trillion and would increase to $16.394 trillion with the request.

(Reporting By Margaret Chadbourn; Editing by Chizu Nomiyama)

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Gold near 6-month low after Italy auction | Reuters

Gold near 6-month low after Italy auction | Reuters: "(Reuters) - Gold extended losses and fell to its lowest in almost 6-months on Thursday as the euro fell against the dollar after an Italian bond auction saw yields at an unsustainable level and renewed euro zone fears and credit tightness worries.

Echoing the weakness in gold, spot platinum fell more than 3 percent to its lowest since November 2009 and silver fell more than 3 percent to a 3-month low."

The euro hit its lowest level versus the dollar in nearly a year on Thursday, after high 10-year bond yields at an Italian auction prompted investors to sell the single currency, with moves exacerbated by thin year-end trade.

Investors still demanded a near 7 percent yield to buy 10-year paper, a level seen unsustainable over time for the euro zone third-largest economy. A stronger U.S. unit makes dollar-priced commodities such as precious metals costlier for holders of other currencies.

"Peripheral yields are still on the rise; the 6-month Italian debt auction wasn't that bad but the long-term auction is still lacking trust," said VTB Capital analyst Andrey Kryuchenkov.

"Sentiment is still down since it's the year-end and really you have larger problems at hand: the markets are still disappointed with the ECB reluctance to become the lender of last resort and changing fiscal discipline will take time."

Spot gold fell 1.77 percent to $1,527.79 an ounce by 1214 GMT, from $1,555.19 late in New York on Wednesday.

Earlier it hit a near six-month low of $1,521.94.

U.S. gold February futures lost more 2 percent to $1,529.70.

LIQUIDITY SQUEEZE

A spiraling euro debt crisis and increased need for liquidity in the last few months have pushed banks and other financial participants to sell assets including gold, generally deemed to be a safe haven during economic woes.

Gold was on course for a 12 percent fall this month, its biggest drop since October 2008 when the credit crunch hit most financial markets.

"The stress in the banking sector has increases as indicators such as the euro/dollar basis swaps show... There is a shortage of liquidity and, if you have to refinance, you have to sell your assets, including gold," said Credit Suisse analyst Tobias Merath.

"Gold is not a safe haven assets against a liquidity crisis. Banks need to sell assets to raise cash and avoid bankruptcy."

A rebound for gold is possible if policymakers take measures such as liquidity injection or interest rates cuts, which could help alleviate the credit crunch and would lessen the necessity to sell assets such as commodities, analysts said.

Silver was down 2.63 percent at $26.33 an ounce while palladium was down 1.07 percent at $627.72 an ounce. Platinum was last down 2.85 percent at $1,345.20 an ounce.

It earlier hit its lowest in more than 2 years at $1,338.20.

Platinum was hit harder than other precious metals due to growth fears in the Eurozone for 2012, Kryuchenkov said.

As in Europe buyers prefer diesel engines with a higher platinum content poor growth in this area dampens platinum demand prospects.

(Editing by William Hardy)

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Oil above $107, U.S. stocks and Iran in focus | Reuters

Oil above $107, U.S. stocks and Iran in focus | Reuters: "(Reuters) - Oil held above $107 a barrel on Thursday as investors looked ahead to a U.S. report that is expected to show falling crude and fuel stockpiles and as Iranian threats to halt a vital oil trade lent support.

A report from the U.S. government's Energy Information Administration (EIA) at 1600 GMT was forecast to show crude stocks fell by 1.7 million barrels. That was before Wednesday's report from industry group the American Petroleum Institute said they rose by 9.6 million barrels, which weighed on prices overnight."

Brent crude rose 9 cents to $107.65 a barrel by 1227 GMT after falling nearly $2 the day before. Wednesday's decline snapped a string of six straight sessions of gains. U.S. crude climbed 37 cents to $99.73.

"Worries over Iran are supportive. The market is up even though the API stats were bearish, so people may be waiting for the EIA," said Christopher Bellew, an oil broker at Jefferies Bache.

Low trading volume due to the holiday season was expected to exaggerate price moves. Brent faces resistance at $109.40, the level of the 100-day moving average, and at $109.50, the intra-day highs of the two previous sessions.

A weaker euro limited the rise in oil prices. The euro fell to its lowest since September 2010 versus the dollar on Thursday as yields at an auction of Italian debt remained at levels seen as unsustainable.

Gains in the dollar can pressure dollar-denominated commodities by making them more expensive to consumers using other currencies. Gold fell to its lowest in almost six months and copper retreated for a second day.

"A big increase in U.S. crude oil stocks and the falling euro against the dollar are the main pressure points for the market at the moment," said Ken Hasegawa, a derivatives manager with brokerage Newedge in Tokyo.

Brent is still on track to post a 13 percent gain in 2011, supported by the virtual shutdown of Libya's oil exports for much of the year, after a nearly 22 percent rise in 2010.

With Libyan output and exports now recovering, investors' concern over oil supplies has shifted to Iran, the world's third-largest oil exporter in 2010, according to the EIA.

Iran, at odds with the West over its nuclear program, said on Tuesday it would stop the flow of oil through the Strait of Hormuz if sanctions were imposed on its crude exports.

The U.S. Fifth Fleet, which patrols the seas of the Middle East and Central Asia, said on Wednesday it would not allow any disruption to seaborne traffic in the area.

(Additional reporting by Randy Fabi in Singapore; editing by Jane Baird)

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