Wanting dhoti-clad PM may have caused 'Vishwaroopam' ban: Karunanidhi

CHENNAI: Dravida Munnetra Kazhagham (DMK) president M Karunanidhi on Wednesday wondered whether the Tamil Nadu government's ban on Kamal Haasan's movie "Vishwaroopam" was because the actor wanted a dhoti-clad Tamilian as prime minister.

In a letter to party cadres, Karunanidhi said some sections of people are of the view that the actor earned the ire of the state government after he said that a dhoti-clad Tamilian, referring to Union finance minister P Chidambaram, should become the country's prime minister.

Karunanidhi also said that there is a view among a section of people that a television channel close to the ruling party in the state had offered to buy the rights of "Vishwaroopam", which the actor declined as the price quoted was much lower than what the film was sold for to another channel.

The Tamil Nadu government had earlier banned the release of "Vishwaroopam" for 15 days as it feared the movie could spark a law and order problem because it contained references to the Muslim community that were allegedly derogatory.

Many Muslim organisations had opposed the movie, claiming that it presented the community in poor light.

Earlier in the day, Kamal Haasan told reporters that he was unable to understand why "Vishwaroopam" was banned. The film had cost Rs.95 crore to produce.

Kamal said he would scout for a truly secular Indian state; otherwise, he would settle in some other country that was secular.

"I don't understand what is happening. If I try to understand, I will turn into a politician. I don't want to," the 58-year-old actor said.

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APNewsBreak: EPA moves to ban some rodent poisons


WASHINGTON (AP) — The Environmental Protection Agency is moving to ban the sale of a dozen rat and mouse poisons sold under the popular D-Con brand in an effort to protect children and pets.


The agency said Wednesday it hopes to reduce the thousands of accidental exposures that occur every year from rodent-control products. Children and pets are at risk for exposure because the products typically are placed on floors.


The agency had targeted a handful of companies two years ago, saying they needed to develop new products that are safer for children, pets and wildlife. All but Reckitt Benckiser Inc., manufacturer of D-Con, did so.


The company will have at least 30 days to request a hearing before an administrative law judge. If no hearing is requested, the ban will take effect.


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Giffords to Senate: 'Americans Are Counting on You'













Former congresswoman Gabrielle Giffords, whose congressional career was ended by a bullet wound to her head, opened a Senate hearing on gun violence today by telling the panel, "Speaking is difficult, but I need to say something important."


In a determined and forceful voice, she told the Senators to be "courageous" because "Americans are counting on you."


Giffords sat alongside her astronaut husband Mark Kelly as she delivered her emotional statement just over a minute long imploring Congress to act on gun policy.


"This is an important conversation for our children, for our communities, for Democrats, and Republicans," the former Arizona congresswoman said. "Speaking is difficult but I need to say something important: Violence is a big problem too many children are dying. Too many children. We must do something. It will be hard, but the time is now. You must act. Be bold, be courageous, Americans are counting on you. Thank you," Giffords said before being helped out of the hearing room.


Giffords was shot by a gunman in her Arizona district two years ago, and was a last-minute addition to the hearing about the nation's gun laws as lawmakers grapple with how to curb gun violence in the wake of the Newtown, Conn., tragedy that left 20 children and seven adults dead late last year.


Today's hearing is a showdown on guns, featuring two powerful but conflicting forces in the gun control movement. Giffords' husband also testified, as did Wayne LaPierre, the fiery executive vice president and CEO of the National Rifle Association.








Mark Kelly on Gun Control: 'This Time Must Be Different' Watch Video











Mark Kelly Makes Case Against High-Capacity Gun Magazines Watch Video





Kelly's opening remarks before the Senate Judiciary Committee today emphasized that he and his wife are both gun owners and he has said that he recently bought a new hunting rifle. But he said they are also dedicated to minimizing gun violence because of their personal tragedy.


"We are simply two reasonable Americans who realize we have a problem with gun violence, and we need Congress to act," Kelly said. "Our rights are paramount, but our responsibilities are serious and as a nation we are not taking responsibility for the gun rights our founding fathers conferred upon us."


Kelly said that a top priority should be to close the loophole that says people who buy weapons at gun shows are not required to undergo background checks.


"Closing the gun show loophole and requiring private sellers to require a background check for they transfer a gun…I can't think of something that would make our country safer than doing just that," he told the panel.


Giffords and Kelly recently launched Americans for Responsible Solutions, an organization promoting the implementation of universal background checks and limits on high capacity magazines.


"Overwhelmingly, you told us that universal background checks and limiting access to high capacity magazines were top priorities, and I'll make sure to address each of those ideas in my opening remarks," Kelly wrote in an email to supporters Tuesday. Kelly asked the group's allies to sign a petition calling on Congress to pass legislation on both issues.


LaPierre laid out the NRA's opposition to universal background checks and urged legislators not to "blame" legal gun owners by enacting new gun control laws.


"Law-abiding gun owners will not accept blame for the acts of violence of deranged criminals. Nor do we believe the government should dictate what we can lawfully own and use to protect our families," LaPierre said."And when it comes to background checks, let's be honest – background checks will never be 'universal' – because criminals will never submit to them."


"If you want to stop crime, interdict violent criminals incarcerate them and get them off the streets," LaPierre said.


He repeated an NRA proposal to place armed security guards in every school in America, arguing that "it's time to throw an immediate blanket of security around our children."






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Egypt curfew scaled back as Mursi seeks end to bloodshed


CAIRO/BERLIN (Reuters) - Authorities in an Egyptian city scaled back a curfew imposed by President Mohamed Mursi, and the Islamist leader cut short a visit to Europe on Wednesday to deal with the deadliest violence in the seven months since he took power.


Two more protesters were shot dead before dawn near Cairo's central Tahrir Square on Wednesday, a day after the army chief warned that the state was on the brink of collapse if Mursi's opponents and supporters did not end street battles.


More than 50 people have been killed in the past seven days of protests by Mursi's opponents, raising global concern over whether the Islamist leader can restore stability to the most populous Arab country.


Mursi imposed a curfew and a state of emergency on three Suez Canal cities on Sunday but that only seemed to further provoke crowds in a week of unrest marking the second anniversary of the uprising that toppled Hosni Mubarak.


The governor of Ismailia, one of the three canal cities, said on Wednesday he was scaling back the curfew, which would now take effect nightly from 2:00 a.m. instead of 9:00 p.m..


Mursi, speaking in Berlin before hurrying home to deal with the crisis, called for dialogue with opponents but would not commit to their demand that he first agree to include them in a unity government.


Asked about that proposal, he said the next government would be formed after parliamentary elections in April.


Egypt was on its way to becoming "a civilian state that is not a military state or a theocratic state", Mursi said.


The violence at home forced Mursi to scale back his European visit, billed as a chance to promote Egypt as a destination for foreign investment. He flew to Berlin but called off a trip to Paris and was due back home after only a few hours in Europe.


Chancellor Angela Merkel, who met him, echoed other Western leaders who have called on him to give his opponents a voice.


"One thing that is important for us is that the line for dialogue is always open to all political forces in Egypt, that the different political forces can make their contribution, that human rights are adhered to in Egypt and that of course religious freedom can be experienced," she said at a joint news conference with Mursi.


SPIRIT OF REVOLUTION


Mursi's critics accuse him of betraying the spirit of the revolution by keeping too much power in his own hands and those of his Muslim Brotherhood, the Islamist movement banned under Mubarak which won repeated elections since the 2011 uprising.


Mursi's supporters say the protesters want to overthrow Egypt's first democratically elected leader. The current unrest has deepened an economic crisis that saw the pound currency tumble in recent weeks.


Near Cairo's Tahrir Square on Wednesday morning, dozens of protesters threw stones at police who fired back teargas, although the scuffles were brief.


"Our demand is simply that Mursi goes, and leaves the country alone. He is just like Mubarak and his crowd who are now in prison," said Ahmed Mustafa, 28, a youth who had goggles on his head to protect his eyes from teargas.


Opposition politician Mohamed ElBaradei called for a meeting of the president, ministers, the ruling party and the opposition to halt the violence. But he also restated the precondition that Mursi first commit to seeking a national unity government.


The worst violence has been in the Suez Canal city of Port Said, where rage was fuelled by death sentences passed against soccer fans for roles in deadly riots last year.


After decades in which the West backed Mubarak's military rule of Egypt, the emergence of an elected Islamist leader in Cairo is probably the single most important change brought about by the wave of Arab revolts over the past two years.


Mursi won backing from the West last year for his role in helping to establish a ceasefire between Israel and Palestinians that ended a conflict in Gaza. But he then followed that with an effort to fast-track a constitution that reignited dissent at home and raised global concern over Egypt's future.


Western countries were alarmed this month by video that emerged showing Mursi making vitriolic remarks against Jews and Zionists in 2010 when he was a senior Brotherhood official.


German Foreign Minister Guido Westerwelle said ahead of Mursi's visit that the remarks, in which Mursi referred to Zionists as "descendants of apes and pigs" were "unacceptable".


"NOT AGAINST JEWS"


Asked about those remarks at the news conference with Merkel, Mursi repeated earlier explanations that they had been taken out of context.


"I am not against the Jewish faith," he said. "I was talking about the practices and behavior of believers of any religion who shed blood or who attack innocent people or civilians. That's behavior that I condemn."


"I am a Muslim. I'm a believer and my religion obliges me to believe in all prophets, to respect all religions and to respect the right of people to their own faith," he added.


Egypt's main liberal and secularist bloc, the National Salvation Front, has so far refused talks with Mursi unless he promises a unity government including opposition figures.


"Stopping the violence is the priority, and starting a serious dialogue requires committing to guarantees demanded by the National Salvation Front, at the forefront of which are a national salvation government and a committee to amend the constitution," ElBaradei said on Twitter.


Those calls have also been backed by the hardline Islamist Nour party - rivals of Mursi's Brotherhood. Nour and the Front were due to meet on Wednesday, signaling an unlikely alliance of Mursi's critics from opposite ends of the political spectrum.


Brotherhood leader Mohamed El-Beltagy dismissed the unity government proposal as a ploy for the Front to take power despite having lost elections. On his Facebook page he ridiculed "the leaders of the Salvation Front, who seem to know more about the people's interests than the people themselves".


In a sign of the toll the unrest is having on Egypt's economy, ratings agency Fitch downgraded its sovereign rating by one notch to B on Wednesday.


German industry leaders see potential in Egypt but are concerned about political instability.


"At the moment many firms are waiting on political developments and are cautious on any big investments," said Hans Heinrich Driftmann, head of Germany's Chamber of Industry and Commerce.


(Additional reporting by Yasmine Saleh and Marwa Awad in Cairo, Stephen Brown and Gernot Heller in Berlin and Arshad Mohammed in Washington; Writing by Peter Graff; Editing by Peter Millership)



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Obama's popularity highest in four years: poll






WASHINGTON: US President Barack Obama's popularity has hit 60 per cent, the highest level since he first took office four years ago, according to a poll released Wednesday.

The survey by ABC television and The Washington Post was made public just a little more than a week after the president's formal swearing-in was witnessed by an estimated one million people in Washington and millions more across the nation.

The pollsters credited public approval of the president's inauguration address for his soaring poll numbers.

In that address, Obama embraced a liberal agenda that vowed action during his second term on gun reform, gay rights and the environment, among other issues.

But while the poll showed he has broad public support, it also found that his popularity is slightly less than that enjoyed by two other re-elected presidents -- Bill Clinton and Ronald Reagan -- at the start of their second terms.

Obama's favourability rating at the start of this second term is higher however than that of his predecessor George W. Bush at the same point during his tenure.

The 60 per cent popularity represents a 10-point increase since last summer, during the heat of the contentious presidential race against Republican challenger Mitt Romney.

Obama has a way to go however, until he matches his all-time highest popularity numbers -- 79 per cent -- achieved just days before he took office in January 2009, the pollsters said.

The telephone survey of 1,022 adults was taken between January 23 to 27 and had a 3.5 per cent margin of error.

- AFP/jc



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Centre is not generous to us, Tripura CM says

AGARTALA: Manik Sarkar is running for the fourth successive term as the chief minister of one of the poorest states in the country. His frustration is aimed at the Centre for not being "generous" to Tripura.

"Ours is a poor state, but the Centre cannot shirk away from its responsibilities. The very concept of Centre's contribution is flawed. It is the responsibility of the Centre under the quasi-federal structure to aid every state. The Centre is not generous to us. I don't know the reason," Sarkar told TOI on Tuesday.

The 64-year-old CPM leader, who doesn't own a house or a car and is probably the poorest chief minister in the country, vows to continue his struggle for the state's development. He intends to make Tripura a self-sufficient economy by promoting industry and setting up markets.

Sarkar, who hopes to retain power this time also, has chalked out a roadmap for economic development of the state in the next five years. "My approach in the next five years would be to get investors to set up units based on raw materials available here as well as to set up markets for the products in the state. This will also generate employment," Sarkar said.

He finds solace in the fact that Tripura, though financially weak, is financially disciplined. Sarkar said, "Our economy may be weak but we have high standard of financial discipline. Our per capita income at current prices in the 10th plan was Rs 29,081, which increased to Rs 50,000 in 2011-12."

Tripura has surplus power, but no industries. It has an abundant reserve of natural gas that has not been tapped, but there aren't enough jobs. "Our state has surplus power, but the Centre has failed to evacuate the excess power. We have proposed selling power from our share to Bangladesh, which is deficit in power. The Centre has not responded to our proposal yet for reasons best known to it," Sarkar said.

Tripura is landlocked by Bangladesh on three fronts and by Mizoram and a part of Assam on the eastern boundary. More than 50% of the state's population depends on agriculture. According to the state economic review 2010-11, it is the second largest producer of natural rubber after Kerala.

For a long time, Tripura was dogged by militancy. "The militants have been isolated. They do not have any hideouts within the state now," he said.

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Soldier looks forward to driving with new arms


BALTIMORE (AP) — A soldier who lost all four limbs in a roadside bombing in Iraq says he's looking forward to driving and swimming with new arms after undergoing a double-arm transplant.


"I just want to get the most out of these arms, and just as goals come up, knock them down and take it absolutely as far as I can," Brendan Marrocco said Tuesday.


The 26-year-old New Yorker spoke at a news conference at Johns Hopkins Hospital, where he was joined by surgeons who performed the operation.


After he was wounded, Marrocco said, he felt fine using prosthetic legs, but he hated not having arms.


"You talk with your hands, you do everything with your hands, basically, and when you don't have that, you're kind of lost for a while," he said.


Marrocco said his chief desire is to drive the black Dodge Charger that's been sitting in his garage for three years.


"I used to love to drive," he said. "I'm really looking forward to just getting back to that, and just becoming an athlete again."


Although he doesn't expect to excel at soccer, his favorite sport, Marrocco said he'd like to swim and compete in a marathon using a handcycle.


Marrocco joked that military service members sometimes regard themselves as poorly paid professional athletes. His good humor and optimism are among the qualities doctors cited as signs he will recover much of his arm and hand use in two to three years.


"He's a young man with a tremendous amount of hope, and he's stubborn — stubborn in a good way," said Dr. Jaimie Shores, the hospital's clinical director of hand transplantation. "I think the sky's the limit."


Shores said Marrocco has already been trying to use his hands, although he lacks feeling in the fingers, and he's eager to do more as the slow-growing nerves and muscles mend.


"I suspect that he will be using his hands for just about everything as we let him start trying to do more and more. Right now, we're the ones really kind of holding him back at this point," Shores said.


The procedure was only the seventh double-hand or double-arm transplant ever done in the United States.


The infantryman was injured by a roadside bomb in 2009. He is the first soldier to survive losing all four limbs in the Iraq War.


Marrocco also received bone marrow from the same donor to minimize the medicine needed to prevent rejection. He said he didn't know much about the donor but "I'm humbled by their gift."


The 13-hour operation on Dec. 18 was led by Dr. W.P. Andrew Lee, plastic surgery chief at Hopkins.


Marrocco was being released from the hospital Tuesday but will receive intensive therapy for two years at Hopkins and then at Walter Reed National Military Medical Center in Bethesda.


After a major surgery, human nerves regenerate at a rate of an inch per month, Lee said.


"The progress will be slow, but the outcome will be rewarding," he added.


___


Associated Press Writer David Dishneau contributed to this story from Hagerstown, Md.


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Palin and Fox Part Ways, but Is She Really Over?













Sarah Palin's break up with Fox News should not have been, well, breaking news, as she had publicly complained in August on Facebook that the network had canceled her appearances at the Republican National Convention. And going back even further, Palin didn't give Fox the scoop in October 2011 when she announced she wasn't going to run for president. Still, the news of the Fox split overtook Twitter and the news cycle by storm.


One thing I've learned in my years covering Palin, which began on Aug. 29, 2008, when Sen. John McCain stunned the country by selecting her as his running mate: Everyone has an opinion on whatever she does, and she can get clicks and coverage like no one else.


The prevailing theory now is that since Palin no longer has a megaphone like Fox News through which she can blast her opinions, her moment is now officially over.


The 'Ends' of Sarah Palin


It might be true, but there have been so many "ends of Sarah Palin" that it's almost too hard to keep track of them all. She was over when she lost the 2008 campaign, she was over when she quit the Alaska governorship, she was over when she decided to do a reality show, she was over when she decided not to run for president, and now again, she's over because her appearances on Fox News are over.












Secret Service Scandal: Fired Agent 'Checked Out' Sarah Palin Watch Video





I, for one, did think Palin would lose her relevancy when she quit the Alaska governorship, and also when she didn't run for president. But in both cases, people who both love her and hate her just couldn't get enough information about her, and she still got an incredible amount of news coverage. Her voice was heard loud and clear, even if it blasted only from her Facebook posts. That's just another example of what she's been able to pull off that others who've come before or after just haven't. Palin's been written off from Day One, but like a boomerang, she just keeps coming back.


Yes, she wasn't really helpful to Mitt Romney's campaign, but she also never really explicitly backed him. And what an odd pair they would have made if she had. In her interview last weekend with Steve Bannon, the executive chairman of Breitbart News who made "The Undefeated," the positive 2011 movie about her, she said, "The problem is that some on the right are now skittish because of the lost 2012 election. They shouldn't be. Conservatism didn't lose. A moderate Republican candidate lost after he was perceived to alienate working-class Reagan Democrats and independent voters." Not a sign that she wants to rethink some of her policy points, or that she will retreat into the shadows.


Another Possible TV Home


I think more likely than her fading away (we all still cover every eyebrow-raising Facebook post of hers) is that she will possibly find an on-air home elsewhere, at somewhere like CNN. She told Breitbart.com that she "encourages others to step out in faith, jump out of the comfort zone, and broaden our reach as believers in American exceptionalism. That means broadening our audience. I'm taking my own advice here as I free up opportunities to share more broadly the message of the beauty of freedom and the imperative of defending our republic and restoring this most exceptional nation. We can't just preach to the choir; the message of liberty and true hope must be understood by a larger audience."


Later in the interview, she added, "I know the country needs more truth-telling in the media, and I'm willing to do that. So, we shall see."






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Army warns unrest pushing Egypt to the brink


CAIRO, Egypt (Reuters) - Egypt's army chief said political unrest was pushing the state to the brink of collapse - a stark warning from the institution that ran the country until last year as Cairo's first freely elected leader struggles to curb bloody street violence.


Abdel Fattah al-Sisi, a U.S.-trained general appointed by President Mohamed Mursi last year to head the armed forces, added in a statement on Tuesday that one of the primary goals of deploying troops in cities on the Suez Canal was to protect the waterway that is vital for Egypt's economy and world trade.


Sisi's comments, published on an official army Facebook page, followed 52 deaths in the past week of disorder and highlighted the mounting sense of crisis facing Egypt and its Islamist head of state who is striving to fix a teetering economy and needs to prepare Egypt for a parliamentary election in a few months that is meant to cement the new democracy.


Violence largely subsided on Tuesday, although some youths again hurled rocks at police lines in Cairo near Tahrir Square.


It seemed unlikely that Sisi was signaling the army wants to take back the power it held for six decades since the end of the colonial era and through an interim period after the overthrow of former air force chief Hosni Mubarak two years ago.


But it did send a powerful message that Egypt's biggest institution, with a huge economic as well as security role and a recipient of massive direct U.S. subsidies, is worried about the fate of the nation, after five days of turmoil in major cities.


"The continuation of the struggle of the different political forces ... over the management of state affairs could lead to the collapse of the state," said General Sisi, who is also defense minister in the government Mursi appointed.


He said the economic, political and social challenges facing the country represented "a real threat to the security of Egypt and the cohesiveness of the Egyptian state" and the army would remain "the solid and cohesive block" on which the state rests.


Sisi was picked by Mursi after the army handed over power to the new president in June once Mursi had sacked Field Marshal Hussein Tantawi, in charge of Egypt during the transition and who had also been Mubarak's defense minister for 20 years.


The instability has provoked unease in Western capitals, where officials worry about the direction of a powerful regional player that has a peace deal with Israel. The United States condemned the bloodshed and called on Egyptian leaders to make clear violence was not acceptable.


DEEPLY POLARISED


The 58-year-old previously headed military intelligence and studied at the U.S. Army War College. Diplomats say he is well known to the United States, which donates $1.3 billion in military aid each year, helping reassure Washington that the last year's changes in the top brass would not upset ties.


One of Sisi's closest and longest serving associates, General Mohamed el-Assar, an assistant defense minister, is now in charge of the military's relations with the United States.


Almost seven months after Mursi took office, Egyptian politics have become even more deeply polarized.


Opponents spurned a call by Mursi for talks on Monday to try to end the violence. Instead, protesters have rallied in Cairo and Alexandria, and in the three Suez Canal cities - Port Said, Ismailia and Suez - where Mursi imposed emergency rule.


On Tuesday, thousands were again on the streets of Port Said to mourn the deaths of two people in the latest clashes there, taking the total toll in Mediterranean port alone to 42 people. Most were killed by gunshots in a city where weapons are rife.


Mohamed Ezz, a Port Said resident speaking by telephone, heard heavy gunfire through the night. "Gunshots damaged the balcony of my flat, so I went to stay with my brother," he said.


Residents in the three canal cities had taken to the streets in protest at a nightly curfew now in place there. The president's spokesman said on Tuesday that the 30-day state of emergency could be shortened, depending on circumstances.


In Cairo on Tuesday afternoon, police again fired teargas at stone-throwing youths in a street near Tahrir Square, the center of the 2011 uprising. But the clashes were less intense than previous days and traffic was able to cross the area. Street cleaners swept up the remains of burnt tires and other debris.


The police have been facing "unprecedented attacks accompanied by the appearance of groups that pursue violence and whose members possess different types of weapons", the state news agency reported, quoting the Interior Ministry spokesman.


Street flare-ups are a common occurrence in divided Egypt, frustrating many people desperate for order and economic growth.


WARY MILITARY


Although the general's comments were notably blunt, Egypt's military has voiced similar concerns in the past, pledging to protect the nation. But it has refused to be drawn back into a direct political role after its reputation as a neutral party took a pounding during the 17 months after Mubarak fell.


"Egyptians are really alarmed by what is going on," said Cairo-based analyst Elijah Zarwan, adding that the army was reflecting that broader concern among the wider public.


"But I don't think it should be taken as a sign that the military is on the verge of stepping in and taking back the reins of government," he said.


In December, Sisi offered to host a national dialogue when Mursi and the rivals were again at loggerheads and the streets were aflame. But the invitation was swiftly withdrawn before the meeting went ahead, apparently because the army was wary of becoming embroiled again in Egypt's polarized politics.


Protests initially flared during the second anniversary of the uprising which erupted on January 25, 2011 and toppled Mubarak 18 days later. They were exacerbated in Port Said when residents were angered after a court sentenced to death several people from the city over deadly soccer violence.


Since the 2011 revolt, Islamists who Mubarak spent his 30-year rule suppressing have won two referendums, two parliamentary elections and a presidential vote.


But that legitimacy has been challenged by an opposition that accuses Mursi of imposing a new form of authoritarianism. Mursi's supporters says protesters want to overthrow Egypt's first democratically elected leader by undemocratic means.


The army has already been deployed in Port Said and Suez and the government agreed a measure to let soldiers arrest civilians as part of the state of emergency. Sisi reiterated that the army's role would be to support the police in restoring order.


Mursi's invitation to rivals to a national dialogue with Islamists on Monday was spurned by the main opposition National Salvation Front coalition, which described it as "cosmetic".


The presidency said a committee would be formed to look at changes to the constitution, but it ruled out changing the government before the parliamentary election.


Mursi's pushing through last month of a new constitution which critics see as too Islamic remains a bone of contention.


(Additional reporting by Yasmine Saleh and Omar Fahmy in Cairo, Yusri Mohamed in Ismailia and Abdelrahman Youssef in Alexandria; Writing by Edmund Blair; Editing by Alastair Macdonald and Peter Millership)



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US consumer confidence down sharply in January






WASHINGTON: US consumer confidence dove sharply for the second straight month in January, the Conference Board said Tuesday, with rising taxes cited as a likely reason for the surge in gloom.

The board's consumer confidence index sank to 58.6 in January from 66.7 in December, far below the 2012 peak of 73.1 in October.

The January level was also below where the index stood in January 2012, as readings on consumer views of the current situation and the outlook both diminished. It was the third consecutive monthly decline in confidence.

"Consumer confidence posted another sharp decline in January, erasing all of the gains made through 2012," said the Conference Board's Lynn Franco.

"Consumers are more pessimistic about the economic outlook and, in particular, their financial situation," she said in a statement.

"The increase in the payroll tax has undoubtedly dampened consumers' spirits and it may take a while for confidence to rebound."

- AFP



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