Tornado touches down in downtown Mobile, Alabama; damage reported






MOBILE, Alabama (Reuters) – A tornado hit downtown Mobile, Alabama at about 5 p.m. on Tuesday, according to the National Weather Service.


NWS observing program leader Gene Jacobi of the service’s Mobile office said it had confirmed reports of a tornado, but did not yet know its size.






Local media reports are describing property damage, downed trees and power lines, and widespread power outages. (Reporting By Mary Wisniewski and Kaija Wilkinson in Mobile; Editing by Todd Eastham)


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Shootings across city wound at least 3 on Christmas













Englewood shooting


Police outside the crime scene on 69th Street, where an 18-year-old man was shot before midnight on Christmas.
(Peter Nickeas / Chicago Tribune / December 26, 2012)



























































An 18-year-old man was shot and killed and three others wounded, two of them seriously, across the city Tuesday afternoon.


The man died after someone shot him in the 2000 block of West 69th Street, just west of Damen Avenue, in the West Englewood neighborhood. He was shot after 11:30 p.m. but additional details about that shooting weren't immediately available.  


A woman is in critical condition after getting shot in the neck Tuesday night, according to police, one of at least three people shot since 2 p.m. Christmas day.





The 22-year-old was shot inside an apartment on the 1900 block of South Harding Street in the Lawndale neighborhood about 9:40 p.m., police said. She was taken to Mount Sinai Hospital.


The woman was shot by her boyfriend during a fight inside the apartment, police said.


About 7 p.m., an 11-year-old boy was grazed in the arm in the 6200 block of South Michigan Avenue and taken to Comer Children's Hospital, according to police. He was walking in a group when he heard shots and felt pain.


Another man was left in serious condition after someone shot him in the back in the Hermosa neighborhood about 2 p.m. That happened in the 4300 block of West Armitage Avenue on the Northwest Side.


No one is in custody for the shootings and Area North and Area Central detectives are investigating.


pnickeas@tribune.com
Twitter: @peternickeas






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Egypt approves constitution drafted by Mursi allies


CAIRO (Reuters) - Egyptian voters overwhelmingly approved a constitution drafted by President Mohamed Mursi's allies, results announced on Tuesday showed, proving that liberals, leftists and Christians have been powerless to halt the march of Islamists in power.


Final elections commission figures showed the constitution adopted with 63.8 percent of the vote in the referendum held over two days this month, giving Mursi's Islamists their third straight electoral victory since veteran autocrat Hosni Mubarak was toppled in a 2011 revolution.


Opposition groups had taken to the streets to block what they see as a move to ram through a charter that mixes politics and religion dangerously and ignores the rights of minorities.


Mursi says the text - Egypt's first constitution since Mubarak's fall - offers enough protection for minorities, and adopting it quickly is necessary to end two years of turmoil and political uncertainty that has wrecked the economy.


"I hope all national powers will now start working together now to build a new Egypt," Murad Ali, a senior official in the Muslim Brotherhood's Freedom and Justice Party, told Reuters.


"I see this as the best constitution in Egypt's history."


In a sign that weeks of unrest have taken a further toll on the economy, the government ordered new restrictions on foreign currency apparently designed to prevent capital flight. Leaving or entering with more than $10,000 cash is now banned.


Two years since waves of unrest broke out across the Middle East and North Africa - sweeping away long-entrenched rulers in Tunisia, Libya and Yemen as well as Egypt - well-organized Islamist parties have emerged as the main beneficiaries.


Urban secularists and liberals who were behind the revolts complain that their success has been hijacked.


"We need a better constitution," said Khaled Dawood, an opposition spokesman. "It does not represent all Egyptians."


Mursi's opponents say the new constitution could allow clerics to intervene in lawmaking, while offering scant protections to minorities and women. Mursi dismisses those criticisms, and many Egyptians are fed up with street protest movements that have prevented a return to normality.


Immediately after the announcement, a small group of protesters set tires on fire and blocked traffic near the central Tahrir square, the cradle of Egypt's uprising, but there were no immediate signs of violence or major demonstrations.


Washington, which provides billions of dollars a year in military and other support for Egypt and regards it as a pillar of security in the Middle East, called on Egyptian politicians to bridge divisions and on all sides to reject violence.


"President Mursi, as the democratically elected leader of Egypt, has a special responsibility to move forward in a way that recognizes the urgent need to bridge divisions," State Department spokesman Patrick Ventrell said. He noted that many Egyptians had voiced "significant concerns" over the constitutional process.


WORSENING ECONOMY


The government says its opponents are worsening the economic crisis by prolonging political upheaval. It has pledged to impose unpopular tax increases and spending cuts to win a loan package from the International Monetary Fund.


The ban on travelling with more than $10,000 in cash followed a pledge by the central bank to take unspecified measures to protect Egyptian banks. Some Egyptians have begun withdrawing their savings in fear of more restrictions.


"I am not going to put any more money in the bank and neither will many of the people I know," said Ayman Osama, father of two young children.


He said he had taken out the equivalent of about $16,000 from his account this week and planned to withdraw more, adding that he had also told his wife to buy more gold jewellery.


The "yes" vote paves the way for a parliamentary election in about two months, setting the stage for another battle between surging Islamists and their fractious opponents.


The final result, announced by the election commission, matched - to the last decimal place - an earlier unofficial tally announced by Mursi's Muslim Brotherhood.


But the opposition said it was disappointed - it had appealed for the result to be amended to reflect what it described as major vote violations during the two-round vote.


Officials said there were no violations serious enough to change the result significantly. "We have seriously investigated all the complaints," said judge Samir Abu el-Matti of the Supreme Election Committee. The final turnout was 32.9 percent.


SENSE OF CRISIS


The referendum has sharpened painful divisions in the Arab world's most populous nation and a growing atmosphere of crisis has gripped Egypt's polarized society.


Anxiety about the economy deepened this week when Standard and Poor's cut Egypt's long-term credit rating. Prime Minister Hisham Kandil told the nation of 83 million on Tuesday the government was committed to fixing the economy.


"The main goals that the government is working towards now is plugging the budget deficit, and working on increasing growth to boost employment rates, curb inflation, and increase the competitiveness of Egyptian exports," he said.


The referendum follows Islamist victories in parliamentary and presidential elections, representing a decisive shift in a country at the heart of the Arab world where Mursi's Muslim Brotherhood was suppressed for generations by military rulers.


However, secularist and liberal opposition members hope they can organize better in time for the next parliamentary vote.


Hossam El-Din Ali, a 35-year-old newspaper vendor in central Cairo, said he agreed the new constitution would help bring some political stability but like many others he feared the possible economic austerity measures lying ahead.


"People don't want higher prices. People are upset about this," he said. "There is recession, things are not moving. But I am wishing for the best, God willing."


(Additional reporting by Patrick Werr, Tamim Elyan, Ahmed Tolba and Marwa Awad; Writing by Maria Golovnina)



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Yen on defensive on U.S. fiscal worry, helps Nikkei

TOKYO (Reuters) - Uncertainty over whether U.S. lawmakers will strike a deal by an end-of-year deadline to avert a severe fiscal retrenchment undermined the yen and bolstered Japanese shares on Tuesday in low volume, with many participants away on Christmas holiday.


The dollar rose to a 20-month high of 84.965 yen early on Tuesday in Asia, as Japanese markets caught up with global investors who had reacted overnight to incoming Japanese Prime Minister Shinzo Abe's weekend comments that raised the pressure on the Bank of Japan.


During a meeting on Tuesday with officials from Japan's major business lobby, Keidanren, Abe reiterated calls on the BOJ to conduct bold monetary easing to beat deflation by setting an inflation target of 2 percent.


The head of Abe's coalition partner said on Tuesday the coalition party and Abe had agreed to set a 2 percent inflation target and compile a large stimulus budget to help the economy return to growth and overcome deflation.


The yen has come under pressure as a result of expectations that the BOJ will be compelled to adopt more drastic monetary stimulus measures next year.


The dollar was expected to stay firm this week as investors repatriate dollars, and as the U.S. fiscal impasse is likely to continue to sap investor appetite for risky assets and raise the dollar's safe-haven appeal.


"The dollar is seen relatively well bid, with all focus on the fiscal cliff," said Yuji Saito, director of foreign exchange at Credit Agricole in Tokyo.


"Negotiations may be carried over the weekend, but markets still expect a deal to be struck by December 31. It is unthinkable that the U.S. will risk driving its economic growth sharply lower by not agreeing to avoid it."


U.S. lawmakers and President Barack Obama were on Christmas holiday and talks were unlikely to resume until later in the week.


House of Representatives Speaker John Boehner failed to gain support for a tax plan at the end of last week, raising fears that the United States may face the "fiscal cliff" of some $600 billion in automatic spending cuts and tax increases set to start on January 1.


Japan's Nikkei stock average <.n225> resumed trading after a three-day weekend with a 1.1 percent gain, recapturing the key 10,000 mark it ceded on Friday after Boehner's failure sparked a broad market sell-off and the Tokyo benchmark closed down 1 percent. The Nikkei was likely to be supported as long as the yen stayed weak. <.t/>


"Ongoing optimism about the weak yen is lifting hopes that exporters' earnings will be better than expected," said Hiroichi Nishi, general manager at SMBC Nikko Securities.


Analysts say a near-term correction may be possible as the index is now in "overbought" territory after gaining 16.2 percent over the last six weeks, hitting a nine-month high last Friday. Its 14-day relative strength index was at 72.34, above the 70 level that signals an overbought condition.


MSCI's broadest index of Asia-Pacific shares outside Japan <.miapj0000pus> nudged up 0.1 percent, driven higher by surging Shanghai shares, as most Asian bourses were shut for Christmas.


The Shanghai Composite Index <.ssec> soared over 2 percent to five-month highs as investors bought property stocks on mounting optimism about the sector. Taiwan shares <.twii> jumped 1.3 percent on gains in technology and financial shares.



Asset performance in 2012: http://link.reuters.com/muc46s


2012 commodities returns: http://link.reuters.com/faz36s


^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>


U.S. HOLDS 2013 KEY


Goro Ohwada, president and CEO at Japan-based fund of hedge funds Aino Investment Corp, said investors were likely to focus on economic fundamentals and the United States for cues on investment direction in 2013.


"There is a feeling that an investment strategy based on economic fundamentals may finally work next year, with asset prices more closely reflecting fair value. The problem is, we don't know yet which asset is a better bet than others," Ohwada said, adding that oil and gold appeared to be near their highs.


Naohiro Niimura, a partner at research and consulting firm Market Risk Advisory, said commodities and energy prices will likely move in tight ranges in 2013, with investors eyeing political events, including the U.S. fiscal cliff outlook, Italian parliamentary election set for February 24-25, and Germany's elections in September.


"The macroeconomic policies taken this year around the world to support growth are expected to result in a moderate recovery in 2013 to reduce an excessive downside risk to prices. This will likely keep commodities, gold and energy prices near their highs," Niimura said.


(Additional reporting by Ayai Tomisawa in Tokyo; Editing by Edmund Klamann and Daniel Magnowski)



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Pagano back to coach Colts after cancer treatment


INDIANAPOLIS (AP) — Chuck Pagano stepped to the podium Monday, hugged his team owner, thanked his family for its support and wiped a tear from his eye.


He might, finally, turn out the lights in his office, too.


Nearly three months to the day after being diagnosed with leukemia, the Colts' first-year coach returned to a team eager to reunite with a boss healthy enough to go back to work.


"I told you my best day of my life was July 1, 1989," Pagano said, referring to his wedding date. "Today was No. 2. Getting to pull up, drive in, get out of my car, the key fob still worked. I was beginning to question whether it would or not. When I asked for Bruce to take over, I asked for him to kick some you-know-what and to do great. Damn Bruce, you had to go and win nine games? Tough act to follow. Tough act to follow. Best in the history of the NFL. That's what I have to come back to."


The comment turned tears into the laughter everyone expected on such a festive occasion.


For Pagano and the Colts, Monday morning was as precious as anyone could have imagined when Pagano took an indefinite leave to face the biggest opponent of his life, cancer.


In his absence, all the Colts was win nine of 12 games, make a historic turnaround and clinch a playoff spot all before Sunday's regular-season finale against Houston, which they pegged as the day they hoped to have Pagano back. If all goes well at practice this week, Pagano will be on the sideline for the first time since a Week 3 loss to Jacksonville.


Pagano endured three rounds of chemotherapy to put his cancer in remission.


That Pagano's return came less than 24 hours after Indy (10-5) locked up the No. 5 seed in the AFC and the day before Christmas seemed fitting, too.


"I know Chuck is ready for this challenge. In speaking to his doctor multiple times, I know that the time is right for him to grab the reins, get the head coaching cap on and begin the journey," owner Jim Irsay said. "It's been a miraculous story. It really is a book. It's a fairytale. It's a Hollywood script. It's all those things but it's real."


The reality is that he's returning to a vastly different team than the one he turned over to Arians, his long-time friend and first assistant coaching hire.


Back then, the Colts were 1-2 and most of the so-called experts had written them off as one of the league's worst teams. Now, they're ready to show the football world that they can be just as successful under Pagano as they were under Arians, who tied the NFL record for wins after a midseason coaching change.


Pagano also has changed.


The neatly-trimmed salt-and-pepper hair and trademark goatee that were missing in November have slowly returned, and the thinner man who appeared to be catching his breath during a postgame speech in early November, looked and sounded as good as ever Monday.


He repeatedly thanked fans for their prayers and letters, the organization and his family for their unwavering help and promised to provide comfort and support to other people who are facing similar fights. During one poignant moment that nearly brought out tears again, Pagano even recounted a letter sent to him by a 9-year-old child who suggested he suck on ice chips and strawberry Popsicles in the hospital and advised him to be nice to the nurses regardless of how he felt — and he never even paused.


"I feel great, my weight is back, my energy is back and again, it's just a blessing to be back here," Pagano said.


In the minds of Colts players and coaches, Pagano never really left.


He continually watched practice tape and game film on his computer, used phone calls and text messages to regularly communicate with players and occasionally delivered a pregame or postgame speech to his team.


"He texted me and called me so much, it was like he was standing there in my face every day," said receiver Reggie Wayne, who has been friends with Pagano since the two were working together at the University of Miami.


But the Colts found plenty of other ways to keep Pagano's battle in the forefront.


They began a fundraising campaign for leukemia research, calling it Chuckstrong. Players had stickers with the initials CP on their locker room nameplates, and Arians wore an orange ribbon on his baseball cap during games. Orange is the symbolic color for leukemia. At one point, nearly three dozen players shaved their heads to show their ailing coach they were with him.


That's not all.


Arians and first-year general manager Ryan Grigson decided to leave the lights on in Pagano's office until he returned. Pagano noted the team even installed plastic clips to make sure those lights were not mistakenly turned off while he was gone. Those clips were removed when Pagano arrived Monday morning.


And Arians said nobody sat in the front seat of the team bus.


"He's always been our head coach," Arians said.


So after getting medical clearance from his oncologist, Dr. Larry Cripe, to return with no restrictions, Pagano couldn't wait to get to the office Monday morning.


Arians arrived at 7 a.m., three hours early for the scheduled team meeting. By then, Pagano had already driven past the inflatable Colts player with the words "Welcome Back Chuck" printed on its chest and was back in his office preparing for the Texans.


Players showed up a couple of hours later, and when the torch was passed from Arians back to Pagano, players gave their returning coach a standing ovation that Wayne said was well-deserved.


All Pagano wants to do now is emulate the success Arians and his players have had this season.


"I asked him (Arians) if he would lead this team and this ballclub and this organization and take over the reins," Pagano said. "What a masterful, masterful job you did Bruce. You carried the torch and all you went out and did was win nine ballgames. You got us our 10th win yesterday and you got us into the playoffs. You did it with dignity and you did it with class. You're everything that I always knew you were and more."


___


Online: http://pro32.ap.org/poll and http://twitter.com/AP_NFL


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Utilities keeping eye on expected snow storm






OKLAHOMA CITY (AP) — Utility companies are watching and waiting as a Christmas Day storm is expected in Oklahoma and Arkansas.


The National Weather Service says 4 to 8 inches of snow is possible from western Oklahoma to the Arkansas state line and up to 10 inches could fall in the Ozark Mountains of northwest Arkansas.






Kathleen O’Shea with Oklahoma Gas and Electric — which has about 798,000 customers in Oklahoma and western Arkansas — says the utility is tracking the storm system to see where repair crews might be needed. Stan Whiteford with Public Service Company of Oklahoma — which has about 527,000 Oklahoma customers — says repair crews have been notified that they could be called.


Both say snow is not as big a threat as freezing rain or high winds to down power lines.


Weather News Headlines – Yahoo! News





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Six political lessons of 2012
















































































2012: The year in pictures


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STORY HIGHLIGHTS


  • Julian Zelizer: 2012 was a year of bitter domestic battles, turbulence overseas

  • He says the weakness of GOP, renewed strength of liberalism were apparent

  • Zelizer says the year also highlighted the influence of new immigrants in America

  • Zelizer: Year ended with a tragic reminder about need to act on gun control




Editor's note: Julian Zelizer is a professor of history and public affairs at Princeton University. He is the author of "Jimmy Carter" and of the new book "Governing America."


(CNN) -- 2012 has been a tumultuous year in American politics. With the presidential election capping off the year, Americans have witnessed a series of bitter domestic battles and turbulent events overseas. As the year closes out, it is worth thinking about some of the most important lessons that politicians and voters can learn from this year as they prepare for 2013.


Here are six:


The Republican brand name is in trouble: The GOP took a drubbing in 2012. To be sure, Mitt Romney ran a problematic campaign. His inability to connect with voters and a number of embarrassing gaffes hurt the chances for Republicans to succeed.



Julian Zelizer

Julian Zelizer



Just as important to the outcome was the party that Romney represented. Voters are not happy with the GOP. Public approval for the party has been extremely low. Congressional Republicans have helped to bring down the party name with their inability to compromise.


Recent polls show that if the nation goes off the fiscal cliff, the Republicans would be blamed. According to a survey by NBC and the Wall Street Journal, 65 percent of people asked for a short word or phrase to describe the GOP came up with something negative. The Republican Party was also the lowest-rated political institution.



The exit polls in November showed that the GOP is out of step with the electorate on a number of big issues, including immigration and gay marriage. If Republicans don't undertake some serious reforms and offer fresh voices, all the new messaging in the world won't help them as the competition starts for 2016.


Opinion: Madness in the air in Washington


America has grown more liberal on cultural and social issues: The election results confirmed what polls have been showing for some time. If the 1960s was a battle over conservative "traditional family values" and liberal ideals of social relations, liberals eventually won. Throughout the year, polls showed, for example, that the public was becoming more tolerant of gay marriage and civil unions. Americans support the view that gay sex should be legal by a margin of 2-1, compared to 1977 when the public was split.


In the election, same-sex marriage was approved in three states, voters in Wisconsin sent to office the first openly gay senator, and two states approved of referendums to legalize the recreational use of marijuana. Americans are accepting of social diversity, and expect that the pluralism of the electorate will be reflected by the composition of elected officials in Washington.


While there are some conservative voices who lament these changes and warn of a nation that is veering toward Sodom, a majority are more than comfortable that some of the taboos and social restrictions of earlier eras are fading and that we live in a nation which is more tolerant than ever before. These social and cultural changes will certainly raise more questions about restrictive practices and policies that remain in place while creating pressure for new kinds of leaders who are responsive to these changes.


The Middle East remains a tinderbox: In the years that followed Barack Obama's election, there was some hope that the Middle East could become a calmer region. When revolutions brought down some of the most notorious dictators in the region, many Americans cheered as the fervor for democracy seemed to be riding high.








But events in 2012 threw some cold water on those hopes. The Muslim Brotherhood won control of the Egyptian government. In Syria, the government brutally cracked down on opponents, reaching the point in December where Obama's administration has started to talk about the possibility of the al-Assad regime using chemical weapons, though the severity of the threat is unclear. The battles between Palestinians and Israel raged with rockets being fired into Tel Aviv and Israelis bombing targets in Gaza.


Although national attention is focused on domestic policy, it is clear that the Middle East has the capacity to command national attention at any moment and remains as explosive as ever.


Our infrastructure needs repair: Hurricane Sandy devastated the Northeast in November, leaving millions of Americans on the East Coast without power and with damaged property. Soon after the hurricane hit, New York Gov. Andrew Cuomo made an important point. The infrastructure of our cities is outdated and needs to be revamped so that it can withstand current weather patterns. Speaking of the need for levees in New York, Cuomo said: "It is something we're going to have to start thinking about ... The construction of this city did not anticipate these kinds of situations."


Regardless of whether Congress takes action on the issue of climate change, in the short term cities and suburbs must do more work to curtail the kind of damage wreaked by these storms and to mitigate the costs of recovery -- building underground power lines, increasing resources for emergency responders, building state-of-the-art water systems, and constructing effective barriers to block water from flooding.


The new immigrants are a powerful political and social force: As was the case in the turn of the twentieth century when Eastern and Southern Europeans came into this county, massive waves of immigration are remaking the social fabric of the nation. Latino-Americans, Asian-Americans and other new portions of the electorate who have been coming into the country since the reform of immigration laws in 1965 are coming to represent a bigger and bigger portion of the electorate.


Not only are their numbers growing as a voting bloc, but they are more organized and active than ever before, both on election day as well as in policy making.


Soon after the election, The New York Times reported that 600 members of United We Dream, a network of younger immigrants who don't have their papers, met for three days to plan how to lobby for a bill that would enable 11 million illegal immigrants to become legal. One of the leaders, Christina Jimenez, explained: "We have an unprecedented opportunity to engage our parents, our cousins, our abuelitos in this fight." They have both parties scrambling as Democrats are working to fulfill the promises that brought these voters to their side in November, while some Republicans are desperate to dampen the influence of hardline anti-immigration activists in their party.


We need to do something about guns. The year ended with a horrific shooting at an elementary school in Connecticut. When a 20-year-old went on a rampage apparently using guns that had been legally purchased by his mother, the world watched with horror. Several prominent conservative advocates of gun rights, including former congressman and television host Joseph Scarborough as well as Sen. Joe Manchin, made statements indicating that the time has come to impose stricter controls and regulations on the purchase of weapons. "I don't know anybody in the sporting or hunting arena that goes out with an assault file," Manchin said.


Over the next few weeks, there will certainly be a big debate about what caused this shooting. People from different perspectives will highlight different issues but making it more difficult for people to get their hands on certain kinds of weapons, while not a cure-all, can only diminish the chances of this happening again.


There are many more lessons but these six stand out. After the trauma of the past week, let's hope the new year starts off with better days.



Follow us on Twitter @CNNOpinion


Join us on Facebook/CNNOpinion


The opinions expressed in this commentary are solely those of Julian Zelizer.






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6 shot within hours; 5 seriously hurt









Six people were hurt, five seriously, in shootings on the South and West sides late Monday.


Four of the injured were hurt in a single shooting on the Far South Side, and all four were taken to local hospitals in serious-to-critical condition, according to the Chicago Fire Department.

The shooting happened shortly before 7:30 p.m. in the 9400 block of South Justine Street, officials said.


A male shooter opened fire, striking four males as they walked down the sidewalk, Chicago Police Department News Affairs Officer Amina Greer said, citing preliminary information.

A 15-year-old boy and a 22-year-old man were taken to Advocate Christ Hospital in Oak Lawn, a 17-year old man was taken to Mount Sinai Hospital and a 19-year-old man was taken to John H. Stroger, Jr. Hospital of Cook County, police said.





The 15-year-old was shot in the abdomen, and the 17-year-old was shot in the chest, police said.


The other two men were shot multiple times.


Police said the condition of each was stabilized at the hospital.


The shooting happened in the Brainerd neighborhood.


About 9:05 p.m., a 19-year-old man was shot in the head in the West Side's University Village neighborhood, police said. 


The man was taken to Stroger in serious condition from the 1200 block of West Washburne Avenue , Zala said.


Earlier Monday evening, a 37-year-old man was shot in the leg and back in the South Side's Gresham neighborhood, police said.


The shooting happened in the 700 block of West 81st Street about 5:50 p.m., Zala said. The man was taken to an area hospital, where his condition was stabilized.


Check back for more information.

chicagobreaking@tribune.com

Twitter: @ChicagoBreaking





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Asian shares steady, U.S. budget concerns weigh

TOKYO (Reuters) - Asian shares steadied in quiet pre-holiday trade on Monday from a slump late last week, with prices capped by nervousness about the risk of the United States failing to avert a fiscal crisis.


European shares will likely be subdued, with financial spreadbetters predicting London's FTSE 100 <.ftse> and Paris's CAC-40 <.fchi> to open steady to 0.1 percent higher. <.l><.eu/>


Activity in other assets was also subdued, with spot gold steadying as investors took to the sidelines, while oil extended losses, with U.S. crude inching down 0.2 percent to remain below $89 a barrel while Brent futures eased 0.3 percent to $108.70.


MSCI's broadest index of Asia-Pacific shares outside Japan <.miapj0000pus> was up 0.1 percent after falling to a near two-week low on Friday when House of Representatives Speak John Boehner failed to gain support for a tax plan, raising fears the U.S. may not be able to avert the "fiscal cliff" of automatic spending cuts and tax increases set to start January 1.


The White House on Friday tried to rescue stalled talks but there was little headway as lawmakers and President Barack Obama abandoned Washington for Christmas.


Many market players still expect both sides to reach a compromise before the year-end deadline but heightening tensions were likely to stifle trade already slowed by the holidays.


"It's all about the U.S. fiscal cliff issue," said Victor Shum, managing director at IHS Purvin & Gertz. "The chances are that we will get a deal between the White House and the Republicans, but the fact that Boehner failed to get members to support his plan is worrying."


Australian shares <.axjo> advanced 0.25 percent in a shortened session before the Christmas break, lifted by blue chips, but trade was extremely thin with many players already away.


The Hang Seng Index <.hsi> closed up 0.2 percent, with Hong Kong financial markets shut at midday for the Christmas holiday and resuming trading on Thursday. Shanghai shares <.ssec> outperformed their peers with a 0.5 percent rise on expectations for more public funds' allocations.


South Korean shares <.ks11> edged up 0.1 percent in light trading before Christmas Day, with the weakening Japanese yen and U.S. fiscal uncertainty keeping investors uneasy.


Japanese financial markets are closed for a public holiday and will resume trading on Tuesday.


The dollar inched up 0.2 percent to 84.35 yen, having fallen below 84 yen on Friday. The dollar hit a 20-month high of 84.62 yen on December 19.


The yen has been pressured by expectations the Bank of Japan will be compelled to adopt more drastic monetary stimulus measures next year as incoming prime minister Shinzo Abe demands action by the central bank to bring Japan out of decades-long deflation.


Abe stepped up pressure over the weekend, saying on Japanese television that he will try to reform a law guaranteeing the BOJ's independence if his demand for a binding inflation target is not met.


Currency speculators increased their bets against the U.S. dollar in the latest week, according to data from the Commodity Futures Trading Commission released on Friday. Bets against the yen fell after reaching a more than five-year peak.


But market players generally see the dollar staying firm for now as the U.S. fiscal impasse will likely continue to sap investor appetite for risky assets and raise the dollar's safe-haven appeal.


"It looks like all momentum for the fiscal cliff negotiations is gone," said Rob Ryan, strategist for RBS in Singapore. While the dollar could be swayed by year-end flows, "on balance I would see a stronger U.S. dollar into the end of the year," Ryan said.


EPFR Global, a fund-tracking firm, said on Friday that investors around the world pulled $4.1 billion from bond funds worldwide during the week ending December 19, the most since August 2011, and favored riskier exchange-traded funds despite the U.S. budget tussle.


ETFs are generally believed to represent the behavior of institutional investors, and can be used opportunistically to bet on various indexes.


EURO ZONE SET TO FOCUS ON ITALY


Focus for the euro zone next year will turn to Italy, where Mario Monti announced on Sunday, two days after his resignation, that he would consider seeking a second term as Italian prime minister if approached by allies committed to backing his austere brand of reforms.


Stakes will be high at a parliamentary election set for February 24-25, as the world's eighth largest economy suffers from recession and public debt exceeding $2.6 billion, have aggravated investor concerns about growth and stability in the euro zone.


Italy faces a huge bond redemption in the first quarter of 2013 and a failure to secure funding could refuel concerns about sovereign financing not only in Italy but also similarly-indebted Spain, battering confidence in the euro.


(Additional reporting by Masayuki Kitano and Manash Goswami in Singapore; Editing by Eric Meijer)



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Seahawks roll past 49ers in noisy Seattle 42-13


SEATTLE (AP) — As the noise grew, coach Pete Carroll looked up through the rain at the deafening home crowd fueling the blowout his Seattle Seahawks were putting together on the field.


After three seasons of breaking down and reconstructing the Seahawks roster, Carroll doesn't have a team that is just going to the postseason. His club reinforced the notion that no one in the NFC wants to see Seattle when the playoffs begin, even as a wild card.


"That crowd was crazy. They were great," Carroll said Sunday night. "And I'm so thrilled we were able to share it with them. They deserve a playoff team and they got it."


Russell Wilson threw a career-high four touchdown passes to move into second place for most TD passes by a rookie. Marshawn Lynch scored two first-quarter TDs, and the Seahawks routed the San Francisco 49ers 42-13.


Richard Sherman returned Red Bryant's blocked field goal 90 yards for another touchdown as the Seahawks (10-5) jumped to a 21-0 lead. That only added to an already hyped crowd on a typically cold and rainy December night, with noise echoing off the walls and overhanging roof of CenturyLink Field that might have been heard all the way across Puget Sound.


No one cared about the cold rain, not with the performance they were seeing on the field. And not with a ticket to the postseason guaranteed thanks to Seattle's first 10-win season since 2007.


"The thing has been happening, it's been coming together," Carroll said. "We're getting better and you can just feel it and see it. It's coming to life for us."


Seattle will likely be the No. 5 seed in the NFC. There remains a slight chance of winning the NFC West, if the Seahawks beat St. Louis in the season finale and Arizona can upset the 49ers in San Francisco.


The Seahawks, 7-0 at home, delayed San Francisco (10-4-1) from celebrating a division title. They turned Jim Harbaugh's 49th birthday into a miserable evening.


Sherman, who played for Harbaugh at Stanford, had a special birthday gift for his former college coach: "I did it with a 90-yard touchdown."


"We beat some pretty good teams and there's no way we thought we were going to beat this team like this. They are a great team. They showed that last week on Sunday night football," Sherman said. "They are an amazing team with a lot of weapons on offense, a great defense so it was a blessing that we were able to get this done, but we expect a different result if we play them again."


Whether home or on the road, the Seahawks are a scary postseason opponent with the way they are playing.


Seattle was the first team since 1950 to score at least 50 points in consecutive weeks thanks to its 58-0 win over Arizona and 50-17 victory against Buffalo. It seemed inconceivable the scoring binge could continue against San Francisco, the best scoring defense in the NFL.


But it did.


Seattle has outscored its last three opponents 150-30.


The 42 points were the most allowed since Harbaugh took over the 49ers, and the most San Francisco yielded since giving up 45 to Atlanta in 2009. It was the perfect way for Carroll to snap a three-game losing streak against his rival.


"It was a lot of points again tonight, and we're just thrilled about it," Carroll said. "Things have just changed. We have changed on offense, and Russell has been a huge part of it, and the coaches allowing it to happen. We don't hold ourselves to points because the standard isn't out there for us. We just try to play really good football and see what happens at the end."


Lynch finished with 111 yards on 26 carries, his third straight game against the 49ers topping 100 yards. Wilson wasn't asked to do much — other than throw touchdown passes.


He hit Lynch on a 9-yard TD in the first quarter, Anthony McCoy for a 6-yarder late in the first half, and Doug Baldwin on 4 and 6 yard TDs in the second half.


Wilson has 25 TD passes, one behind Peyton Manning's NFL rookie record of 26. He finished 15 of 21 for 171 yards. His only incompletion in the first half was a deflected pass that Patrick Willis intercepted.


Wilson led Seattle on scoring drives of 9, 12, 13 and 15 plays. He was never threatened by Aldon Smith, who remained stuck on 19 1-2 sacks for the season because of the play of Seattle left tackle Russell Okung.


The Seahawks were 11 of 13 on third-down conversions. Wilson was the clear winner in the matchup of young quarterbacks.


"If you capitalize on third down and capitalize in the red zone it's tough to beat us. That attention to detail that we've had all week prepared us to play a great game and it showed against a very, very good football team," Wilson said. "For us to do what we did at home in front of all our amazing fans is pretty special."


San Francisco's Colin Kaepernick had already proven himself capable of winning on the road with victories in New Orleans and last week in New England. But Seattle is a different beast, widely regarded by players as the loudest venue in the NFL. His inexperience playing in such an environment showed. He was flustered and disorganized at the line of scrimmage, letting the noise from Seattle's fans affect him.


Kaepernick finished 19 of 36 for 244 yards and a late TD pass, but his forgettable night was capped when Sherman stepped in front of his pass for Randy Moss at the back of the end zone on the first play of the fourth quarter for his seventh interception of the season.


"I think we could have done better," Harbaugh said. "I don't think there was any part that we can really feel good about right now."


Notes: San Francisco RB Frank Gore had just 28 yards on six carries after rushing for a season-high 131 when the teams met in Week 7. ... 49ers TE Vernon Davis (concussion) and WR Mario Manningham (knee) both left with injuries and didn't return. ... Seattle last went undefeated at home in 2005. ... Baldwin's last TD catch came in Week 6 vs. New England.


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