With record highs in sight, stocks face roadblocks

NEW YORK (Reuters) - If Wall Street needs to climb a wall of worry, it will have plenty of opportunity next week.


Major U.S. stock indexes will make another attempt at reaching all-time records, but the fitful pace that has dominated trading is likely to continue. Next Friday's unemployment report and the hefty spending cuts that look like they about to take effect will be at the forefront.


The importance of whether equities can reach and sustain those highs is more than Wall Street's usual fixation on numbers with psychological significance. Breaking through to uncharted territory is seen as a test of investors' faith in the rally.


"It's very significant," said Bucky Hellwig, senior vice president at BB&T Wealth Management in Birmingham, Alabama.


"The thinking is, there's just not enough there for an extended bull run," he said. "If we do break through (record highs), then maybe the charts and price action are telling us there's something better ahead."


Flare-ups in the euro zone's sovereign debt crisis and next Friday's report on the U.S. labor market could jostle the market, though U.S. job indicators have generally been trending in a positive direction.


Small- and mid-cap stocks hit lifetime highs in February. Now the Dow Jones industrial average <.dji> and the S&P 500 <.spx> are racing each other to the top. The Dow, made up of 30 stocks, is about 75 points - less than 1 percent - away from its record close of 14,164.53, which it hit on October 9, 2007. The broader S&P is still 3 percent away from its closing high of 1,565.15, also reached on October 9, 2007.


The advantage may be in the Dow's court. So far in 2013, it has gained 7.5 percent, beating the S&P 500 by about 1 percent.


THE RALLY AND THE REALITY CHECK


The Dow's relative strength owes much to its unique make-up and calculation, as well as to investors' recent preference for buying value stocks likely to generate steady reliable gains, rather than growth stocks.


But the more defensive stance illustrates how stock buyers are getting concerned about this year's rally. While investors don't want to miss out on gains, they're picking up companies that are less likely to decline as much as high-flying names - if a market correction comes.


The Russell Value Index <.rav> is up 7.6 percent for the year so far, outpacing the Russell Growth Index's <.rag> 5.7 percent rise. Within the realm of the S&P 500, the consumer staples sector led the market in February, gaining 3.1 percent.


There is some concern that growth-oriented names are being eclipsed by defensive bets, said Ryan Detrick, senior technical strategist at Schaeffer's Investment Research in Cincinnati.


"This isn't a be-all and end-all sell signal by any means, but we would feel much more comfortable if some of the more aggressive areas, like technology and small caps, would start to gain some leadership here," Detrick said.


Signs that investors are becoming concerned about the rally's pace is evident in the options market, where the ratio of put activity to call activity has recently shifted in favor of puts, which represent expectations for a stock to fall.


"We are seeing some put hedging in the financials, building up for the past month," said Henry Schwartz, president of options analytics firm Trade Alert in New York.


The put-to-call ratio representing an aggregate of about 562 financial stocks is 1:1, when normally, calls should be outnumbering puts.


Investors have no shortage of reasons to crave the relative safety of blue chips and defensive stocks. Although markets have mostly looked past uncertainty over Washington's plans to cut the deficit, fiscal policy negotiations still pose a risk to equities.


The $85 billion in spending cuts set to begin on Friday is expected to slow economic growth this year if policymakers do not reach a new deal. Markets so far have held firm despite the wrangling in Washington, but tangible economic effects could pinch stock prices going forward.


The International Monetary Fund warned that full implementation of the cuts would probably take at least 0.5 percentage point off U.S. growth this year.


EASY MONEY AND TEPID HIRING


Investors will also take in a round of economic data at a time when concerns are percolating that the market is being pushed up less by fundamentals and more by loose monetary policy around the world.


The main economic event will be Friday's non-farm payrolls report for February. The U.S. economy is expected to have added 160,000 jobs last month, only a tad higher than in January, in a sign the labor market is healing at a slow pace. The U.S. unemployment rate is forecast to hold steady at 7.9 percent.


While lackluster data has been a catalyst in the past for stock market gains as investors bet it would ensure continued stimulus from the Federal Reserve, that sentiment may be wearing thin.


Markets stumbled last week following worries that the Fed might wind down its quantitative easing program sooner than expected.


"It shows the underpinning of the market is being driven at this point by monetary policy," Hellwig said.


With investors questioning what is behind the rally, it will make a run to record highs even more significant, Hellwig added.


"There's smart people that are in the bull camp and the bear camp and the muddle-through camp," Hellwig said. "The fact that you can statistically, using historical evidence, make a case for going higher, lower, or staying the same makes this number very important this time around."


(Wall St Week Ahead runs every Friday. Comments or questions on this column can be emailed to: leah.schnurr(at)thomsonreuters.com)


(Reporting by Leah Schnurr; Additional reporting by Doris Frankel in Chicago; Editing by Jan Paschal)



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Kelly lifts No. 3 Duke past No. 5 Miami 79-76


DURHAM, N.C. (AP) — Ryan Kelly had waited two months for the chance to help his Duke teammates reclaim the form that made them the nation's top-ranked team.


He returned with a stunning performance that shook up No. 5 Miami and left his own Hall of Fame coach struggling for the right words.


The senior scored a career-high 36 points in his return from a foot injury that had sidelined him since January, helping the third-ranked Blue Devils beat the Hurricanes 79-76 on Saturday night in a matchup of the Atlantic Coast Conference's top teams.


"I guess I was ready for it," Kelly said. "That's all I can say."


Kelly knocked down 10 of 14 shots — including 7 of 9 3-pointers— for the Blue Devils (25-4, 12-4 ACC), who avenged a blowout road loss in January by grinding out a tough win in Cameron Indoor Stadium. He also went 9-for-12 from the foul line and pulled down seven rebounds in 32 minutes.


It left Duke coach Mike Krzyzewski joking to reporters that he was interested to read how they'd describe Kelly's big night.


"I mean, me saying 'spectacular' or whatever doesn't do his performance justice," Krzyzewski said. "One for the ages. Probably as good a performance as any player has had — a Duke player has had — in Cameron."


Kelly's performance was the highlight of a game that certainly lived up to the teams' lofty rankings and their status as the league's best. Miami led by seven in the first half and by two at the break, while Duke never led by more than five until the final 3 minutes.


Quinn Cook added 15 points, including a 3-pointer that gave Duke a 10-point lead with 1:55 left.


But the Hurricanes (23-5, 14-2) made a frantic rally and missed two 3s in the final seconds to tie it. Shane Larkin came up short on the first over Kelly. Durand Scott ran down the rebound and fired a pass to the left corner to Rion Brown, whose final 3 clanged off the rim as the horn sounded.


Kelly's season-high was 22 points and his career-best was 23 points before Saturday. He had missed 13 straight games with the right foot injury, though he had been gradually increasing his work in practice in recent days before going right back in the starting lineup Saturday.


"I just knew I was going to play my hardest," Kelly said. "Honestly, though, more than anything it was just going to be whether I could hold up with my breathing. I haven't played any games in a long time, and being in a game is a lot different from being in practice or anything you can do. But I think I held up all right."


He missed a 3 on Duke's first possession, but knocked one down 2½ minutes in and never looked rusty.


"Well, I thought we prepared for Ryan Kelly but obviously not for that Ryan Kelly," Miami coach Jim Larranaga said. "He was sensational from start to finish."


Miami had beaten Duke 90-63 in January and had already clinched at least a share of the ACC regular-season title with the Blue Devils' loss at Virginia on Thursday night. Miami will win its first ACC crown outright by beating either Georgia Tech or Clemson at home this week.


But Saturday's game was about more than just the league standings or the chance to avenge that blowout loss for the Blue Devils. Rather, this was their chance to reclaim some momentum for March with Kelly's return.


"The thing (the win) does for us is it gives us a chance over the next few weeks to transition to the NCAA tournament," Krzyzewski said. "We're just running a little bit different race than anybody else right now. And it doesn't mean everything's OK, but it's a lot better."


Duke was unbeaten with nonconference wins against Kentucky, Louisville and Ohio State when Kelly went down against Clemson in January. It was during Kelly's absence that Duke suffered 27-point loss at Miami on Jan. 23, a game that saw the Hurricanes romping unchecked through Duke's passive defense and even slapping the floor in an apparent jab at the Blue Devils' tradition.


The 6-foot-11 forward was averaging 13 points and five rebounds, and stretched defenses with his outside shot to open space for Mason Plumlee inside.


Fittingly, he started the spurt that finally put the Blue Devils ahead for good. First he hit a pair of free throws, then knocked down a 3-pointer over Kenny Kadji with the shot clock winding down to push Duke to a 58-56 lead with 9:13 left. Plumlee followed with a short hook to cap the 7-0 run for a 60-56 edge.


Duke extended its lead with another 7-0 burst, with freshman Rasheed Sulaimon scoring a pair of driving baskets before Cook's 3 that appeared to have Duke in control.


Miami fought back, getting a 3-pointer from Trey McKinney Jones to make it a one-possession game with 1:06 left. But in addition to those late misses, Larkin also had a costly turnover when he threw away a sideline pass to Brown with Miami trailing by just two with about 30 seconds left.


"This is the type of game that everybody lives for," said Durand Scott, who scored 12 for the Hurricanes. "You can't really get mad at this. We went out there, we played our hardest, we're proud of ourselves, and our team did the best that we could. We just fell short a 3."


Duke shot 52 percent, with Kelly's big day offsetting Seth Curry's struggles (seven points on 2-for-8 shooting) and Miami's domination on the boards that led to a 20-4 edge in second-chance points.


Larkin scored 25 points to lead Miami, while Kenny Kadji added 17 points and 10 rebounds. But big man Reggie Johnson had a miserable night by going scoreless on 0-for-5 shooting and picking up his fourth foul in the first minute after halftime.


Read More..

U.S. evolves on same-sex marriage






STORY HIGHLIGHTS


  • The president and the nation have shifted perspectives on same-sex marriage

  • Supreme Court ruling on California's same-sex marriage ban a critical test

  • Growing public support for gay marriage give proponents hope for change




Washington (CNN) -- The nation's growing acceptance of same-sex marriage has happened in slow and painstaking moves, eventually building into a momentum that is sweeping even the most unlikely of converts.


Even though he said in 2008 that he could only support civil unions for same-sex couples, President Barack Obama nonetheless enjoyed strong support among the gay community. He disappointed many with his conspicuously subdued first-term response to the same-sex marriage debate.


Last year, after Vice President Joe Biden announced his support, the president then said his position had evolved and he, too, supported same-sex marriage.


So it was no small matter when on Thursday the Obama administration formally expressed its support of same-sex marriage in a court brief weighing in on California's Proposition 8, which bans same-sex weddings. The administration's effort was matched by at least 100 high-profile Republicans — some of whom in elections past depended on gay marriage as a wedge issue guaranteed to rally the base — who signed onto a brief supporting gay couples to legally wed.


Obama on same-sex marriage: Everyone is equal


Then there are the polls that show that an increasing number of Americans now support same-sex marriage. These polls show that nearly half of the nation's Catholics and white, mainstream Protestants and more than half of the nation's women, liberals and political moderates all support same-sex marriage.


According to Pew Research Center polling, 48% of Americans support same-sex marriage with 43% opposed. Back in 2001, 57% opposed same-sex marriage while 35% supported it.


In last year's presidential election, same-sex marriage scarcely raised a ripple. That sea change is not lost on the president.


"The same evolution I've gone through is the same evolution the country as a whole has gone through," Obama told reporters on Friday.


Craig Rimmerman, professor of public policy and political science at Hobart and William Smith colleges says there is history at work here and the administration is wise to get on the right side.


"There is no doubt that President Obama's shifting position on Proposition 8 and same-sex marriage more broadly is due to his desire to situate himself on the right side of history with respect to the fight over same-sex marriage," said Rimmerman, author of "From Identity to Politics: The Lesbian and Gay Movements in the United States."


"I also think that broader changes in public opinion showing greater support for same-sex marriage, especially among young people, but in the country at large as well, has created a cultural context for Obama to alter his views."


For years, Obama had frustrated many in the gay community by not offering full-throated support of same-sex marriage. However, the president's revelation last year that conversations with his daughters and friends led him to change his mind gave many in that community hope.










Last year, the Obama administration criticized a measure in North Carolina that banned same-sex marriage and made civil unions illegal. The president took the same position on a similar Minnesota proposal.


Obama administration officials point to what they see as the administration's biggest accomplishment in the gay rights cause: repealing "don't ask, don't tell," the military's ban on openly gay and lesbian members serving in the forces.


Then there was the president's inaugural address which placed the gay community's struggle for equality alongside similar civil rights fights by women and African-Americans.


"Our journey is not complete until our gay brothers and sisters are treated like anyone else under the law, for if we are truly created equal, then surely the love we commit to one another must be equal, as well," Obama said in his address after being sworn in.


In offering its support and asserting in the brief that "prejudice may not be the basis for differential treatment under the law," the Obama administration is setting up a high stakes political and constitutional showdown at the U.S. Supreme Court over a fast-evolving and contentious issue.


The justices will hear California's Proposition 8 case in March. That case and another appeal over the federal Defense of Marriage Act will produce blockbuster rulings from the justices in coming months.


Beyond the legal wranglings there is a strong social and historic component, one that has helped open the way for the administration to push what could prove to be a social issue that defines Obama's second term legacy, Rimmerman said.


The nation is redefining itself on this issue, as well.


Pew survey: Changing attitudes on gay marriage


The changes are due, in part, to generational shifts. Younger people show a higher level of support than their older peers, according to Pew polling "Millennials are almost twice as likely as the Silent Generation to support same-sex marriage."


"As people have grown up with people having the right to marry the generational momentum has been very, very strong," said Evan Wolfson, president of Freedom to Marry, a gay rights organization.


That is not to say that there isn't still opposition.


Pew polling found that most Republicans and conservatives remain opposed to same-sex marriage. In 2001, 21% of Republicans were supportive; in 2012 that number nudged slightly to 25%.


Conservative groups expressed dismay at the administration's same-sex marriage support.


"President Obama, who was against same-sex 'marriage' before he was for it, and his administration, which said the Defense of Marriage Act was constitutional before they said it was unconstitutional, has now flip-flopped again on the issue of same-sex 'marriage,' putting allegiance to extreme liberal social policies ahead of constitutional principle," Family Research Council President Tony Perkins said in a statement.


But there are signs of movement even among some high profile Republican leaders


Top Republicans sign brief supporting same-sex marriage


The Republican-penned friend of the court brief, which is designed to influence conservative justices on the high court, includes a number of top officials from the George W. Bush administration, Mitt Romney's former campaign manager and former GOP presidential candidate Jon Huntsman.


It is also at odds with the Republican Party's platform, which opposes same-sex marriage and defines marriage as a union between a man and a woman.


Still, with White House and high-profile Republican support, legal and legislative victories in a number of states and polls that show an increasing number of Americans support same sex-marriage, proponents feel that the winds of history are with them.


"What we've seen is accelerating and irrefutable momentum as Americans have come to understand who gay people are and why marriage matters," Wolfson said. "We now have a solid national majority and growing support across every demographic. We have leaders across the spectrum, including Republicans, all saying it's time to end marriage discrimination."


CNN's Peter Hamby, Ashley Killough and Bill Mears contributed to this report.






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Closing of Wells Street Bridge creates uncertainty for CTA riders









The shutdown of the Wells Street Bridge has the impact of a blocked artery, straining the circulation of much of the CTA rail system.


The lower tier of the 91-year-old bridge was closed to vehicles and pedestrians in November for repairs, and now it's CTA riders' turn.


Even though only Brown Line and Purple Line/Evanston Express trains normally travel across the Wells bridge connecting the Loop elevated structure to tracks north of the Chicago River, service on six of the eight CTA rail lines is being affected by bridge and track work continuing through the week, transit officials said.








Weekday rush hours are expected to pose the biggest challenge to the transit agency and its customers. Brown Line trains will operate much less frequently during most of the day — running every 10 to 12 minutes, officials said. And Evanston Express service is canceled until March 11. Purple Line local service will continue to operate between Howard Street in Chicago and Linden Avenue in Wilmette.


On weekends, Green, Pink and Orange Line trains will terminate their runs at certain stations in the downtown area, officials said. A weekend free shuttle bus will operate to link the Chicago/Franklin, Merchandise Mart, Clark/Lake, Washington/Wells and Clinton/Lake stations, officials said.


Riders are being told to plan for longer, slower commutes starting Monday on trains that will be more crowded than usual. The frequency of trains on the Brown Line is being reduced because of the need to operate more trains than usual on the Red Line tracks, including in the State Street subway, officials said.


"Experience has taught me to become a little nervous any time the CTA changes service," Rick Gordon, 41, a Brown Line rider who commutes between the Western station and the Washington/Wells stop in the Loop, said Friday morning after getting off the train downtown.


Gordon, an investment counselor, said he still plans to ride the Brown Line on Monday. But because he won't be able to ride across the Wells bridge to his normal stop, he will instead take advantage of the free CTA shuttle bus that will operate between the Chicago Avenue station and the Loop "L," stopping at the Merchandise Mart, the Clark/Lake and Washington/Wells stations.


During rush hours, two of every three southbound Brown Line trains will travel through the Red Line subway tunnel, making all stops to the Roosevelt station, officials said. They will then head north through the subway and up to Fullerton Avenue, then will continue making all Brown Line stops to the Kimball Avenue terminal, officials said.


One of every three Brown Line trains will remain on the regular Brown Line route south of Fullerton but will make the last stop at the Merchandise Mart station, near the north end of the Wells bridge.


Extra service will be provided on the Red Line, in part to accommodate heavier passenger loading caused by the suspension of all Purple Line service south of Howard through the week, officials said. Commuters who normally ride the Purple Line/Evanston Express service might consider budgeting up to an extra hour travel time if they will ride the all-stop Red Line to downtown.


Also, the transit agency will introduce free shuttle trains that circle the Loop and alternative bus service to provide options for the thousands of riders affected over the roughly nine-day bridge closing, which began Friday night.


CTA officials predicted that the commutes of many rail customers will be only several minutes to 15 minutes longer than normal travel times during the service interruptions. But in light of the unpredictability of CTA service even under normal cases, allowing extra time would help commuters ensure they arrive at their destinations on time.


"We urge customers to think about their options because this will not be a typical commute for most Brown and Purple Line commuters," CTA spokesman Brian Steele said, adding that delays are likely on other lines too because of expected ridership shifts.


With some commuters taking Monday off for the Casimir Pulaski Day holiday, the first full test of the CTA's alternative service plan will likely be on Tuesday.


The service disruptions will last until completion of the Wells bridge replacement project, upgrades to the busy downtown rail junction at Lake and Wells streets, and track replacement around the curves at Hubbard and Kinzie streets. Regular CTA service resumes in time for the morning rush period on March 11, following the first phase of bridge reconstruction, officials said.


A second closing of the Wells bridge will occur April 26 through May 5, when the $41.2 million overhaul project is scheduled to be completed, the Chicago Department of Transportation said.


The Wells bridge's trusses, steel framing, railings, bridge houses, major structural parts and mechanical and electrical parts are being replaced, but the original 1920s-era appearance of the double-deck bridge will be maintained, CDOT officials said.


Full details on the CTA service changes are available at transitchicago.com/wellsbridge.


jhilkevitch@tribune.com Twitter @jhilkevitch





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Wall Street advances as data outweighs budget cuts

NEW YORK (Reuters) - Stocks advanced modestly on Friday, leaving the S&P 500 with slight gains in a volatile week as strong economic data overshadowed growth concerns in China and Europe and let investors discount the impact of expected government spending cuts.


Stocks opened sharply lower for the session as Asian factories slowed and European output fell, but most of the losses evaporated after a report showed manufacturing activity expanded last month at its fastest clip in 20 months.


Consumer sentiment also rose in February as Americans turned more optimistic about the job market.


With $85 billion in government budget cuts set to begin, President Barack Obama blamed Republicans for failure to reach a compromise to avert the cuts, known as sequester. But the stock market appeared to have already priced in the failure by legislators to reach an agreement.


"We were able to dig out of that hole, but not make any great strides on it either," said Peter Jankovskis, co-chief investment officer at OakBrook Investments LLC in Lisle, Illinois. "We will probably be in a holding pattern pending some big development on a broader budget deal."


The Dow Jones industrial average <.dji> gained 35.17 points, or 0.25 percent, to 14,089.66 at the close. The Standard & Poor's 500 Index <.spx> added 3.52 points, or 0.23 percent, to 1,518.20. The Nasdaq Composite Index <.ixic> advanced 9.55 points, or 0.30 percent, to 3,169.74.


For the week, the Dow rose 0.6 percent, the S&P 500 edged up 0.2 percent and the Nasdaq gained 0.3 percent.


The slight gains for equities came during a volatile week that saw markets decline on Monday after uncertain Italian elections, only to rebound in the next two sessions as Federal Reserve Chairman Ben Bernanke defended the central bank's stimulus measures.


The low interest rates due to the Federal Reserve's accommodative monetary policy have helped equities continue to attract investors. The Dow is less than 1 percent away from its all-time intraday high of 14,198.10. Declines have been shallow and short-lived, with investors jumping in to buy on dips.


Intuitive Surgical jumped 8.5 percent to $553.40 after Cantor Fitzgerald analyst Jeremy Feffer upgraded the stock, saying the stock's slide of more than 11 percent on Thursday was a gross overreaction to a news report.


Groupon Inc surged 12.6 percent to $5.10 a day after the online coupon company fired its chief executive officer in the wake of weak quarterly results.


Gap Inc rose 2.9 percent to $33.87 after the clothing retailer reported fourth-quarter earnings that beat expectations and boosting its dividend by 20 percent, while Salesforce.com Inc posted sales that beat forecasts, driving its stock up 7.6 percent to $182.


Chesapeake Energy Corp fell 2.4 percent to $19.67 after the U.S. Securities and Exchange Commission escalated its investigation into the company and its Chief Executive Aubrey McClendon for a controversial perk that granted him a share in each of the natural gas producer's wells.


Volume was modest with about 6.72 billion shares traded on the New York Stock Exchange, NYSE MKT and Nasdaq, slightly above the daily average of 6.5 billion.


Advancing stocks outnumbered declining ones on the NYSE by a ratio of about 17 to 13, while on the Nasdaq, seven stocks rose for about every five stocks that fell.


(Editing by Jan Paschal)



Read More..

U.S. evolves on same-sex marriage






STORY HIGHLIGHTS


  • The president and the nation have shifted perspectives on same-sex marriage

  • Supreme Court ruling on California's same-sex marriage ban a critical test

  • Growing public support for gay marriage give proponents hope for change




Washington (CNN) -- The nation's growing acceptance of same-sex marriage has happened in slow and painstaking moves, eventually building into a momentum that is sweeping even the most unlikely of converts.


Even though he said in 2008 that he could only support civil unions for same-sex couples, President Barack Obama nonetheless enjoyed strong support among the gay community. He disappointed many with his conspicuously subdued first-term response to the same-sex marriage debate.


Last year, after Vice President Joe Biden announced his support, the president then said his position had evolved and he, too, supported same-sex marriage.


So it was no small matter when on Thursday the Obama administration formally expressed its support of same-sex marriage in a court brief weighing in on California's Proposition 8, which bans same-sex weddings. The administration's effort was matched by at least 100 high-profile Republicans — some of whom in elections past depended on gay marriage as a wedge issue guaranteed to rally the base — who signed onto a brief supporting gay couples to legally wed.


Obama on same-sex marriage: Everyone is equal


Then there are the polls that show that an increasing number of Americans now support same-sex marriage. These polls show that nearly half of the nation's Catholics and white, mainstream Protestants and more than half of the nation's women, liberals and political moderates all support same-sex marriage.


According to Pew Research Center polling, 48% of Americans support same-sex marriage with 43% opposed. Back in 2001, 57% opposed same-sex marriage while 35% supported it.


In last year's presidential election, same-sex marriage scarcely raised a ripple. That sea change is not lost on the president.


"The same evolution I've gone through is the same evolution the country as a whole has gone through," Obama told reporters on Friday.


Craig Rimmerman, professor of public policy and political science at Hobart and William Smith colleges says there is history at work here and the administration is wise to get on the right side.


"There is no doubt that President Obama's shifting position on Proposition 8 and same-sex marriage more broadly is due to his desire to situate himself on the right side of history with respect to the fight over same-sex marriage," said Rimmerman, author of "From Identity to Politics: The Lesbian and Gay Movements in the United States."


"I also think that broader changes in public opinion showing greater support for same-sex marriage, especially among young people, but in the country at large as well, has created a cultural context for Obama to alter his views."


For years, Obama had frustrated many in the gay community by not offering full-throated support of same-sex marriage. However, the president's revelation last year that conversations with his daughters and friends led him to change his mind gave many in that community hope.










Last year, the Obama administration criticized a measure in North Carolina that banned same-sex marriage and made civil unions illegal. The president took the same position on a similar Minnesota proposal.


Obama administration officials point to what they see as the administration's biggest accomplishment in the gay rights cause: repealing "don't ask, don't tell," the military's ban on openly gay and lesbian members serving in the forces.


Then there was the president's inaugural address which placed the gay community's struggle for equality alongside similar civil rights fights by women and African-Americans.


"Our journey is not complete until our gay brothers and sisters are treated like anyone else under the law, for if we are truly created equal, then surely the love we commit to one another must be equal, as well," Obama said in his address after being sworn in.


In offering its support and asserting in the brief that "prejudice may not be the basis for differential treatment under the law," the Obama administration is setting up a high stakes political and constitutional showdown at the U.S. Supreme Court over a fast-evolving and contentious issue.


The justices will hear California's Proposition 8 case in March. That case and another appeal over the federal Defense of Marriage Act will produce blockbuster rulings from the justices in coming months.


Beyond the legal wranglings there is a strong social and historic component, one that has helped open the way for the administration to push what could prove to be a social issue that defines Obama's second term legacy, Rimmerman said.


The nation is redefining itself on this issue, as well.


Pew survey: Changing attitudes on gay marriage


The changes are due, in part, to generational shifts. Younger people show a higher level of support than their older peers, according to Pew polling "Millennials are almost twice as likely as the Silent Generation to support same-sex marriage."


"As people have grown up with people having the right to marry the generational momentum has been very, very strong," said Evan Wolfson, president of Freedom to Marry, a gay rights organization.


That is not to say that there isn't still opposition.


Pew polling found that most Republicans and conservatives remain opposed to same-sex marriage. In 2001, 21% of Republicans were supportive; in 2012 that number nudged slightly to 25%.


Conservative groups expressed dismay at the administration's same-sex marriage support.


"President Obama, who was against same-sex 'marriage' before he was for it, and his administration, which said the Defense of Marriage Act was constitutional before they said it was unconstitutional, has now flip-flopped again on the issue of same-sex 'marriage,' putting allegiance to extreme liberal social policies ahead of constitutional principle," Family Research Council President Tony Perkins said in a statement.


But there are signs of movement even among some high profile Republican leaders


Top Republicans sign brief supporting same-sex marriage


The Republican-penned friend of the court brief, which is designed to influence conservative justices on the high court, includes a number of top officials from the George W. Bush administration, Mitt Romney's former campaign manager and former GOP presidential candidate Jon Huntsman.


It is also at odds with the Republican Party's platform, which opposes same-sex marriage and defines marriage as a union between a man and a woman.


Still, with White House and high-profile Republican support, legal and legislative victories in a number of states and polls that show an increasing number of Americans support same sex-marriage, proponents feel that the winds of history are with them.


"What we've seen is accelerating and irrefutable momentum as Americans have come to understand who gay people are and why marriage matters," Wolfson said. "We now have a solid national majority and growing support across every demographic. We have leaders across the spectrum, including Republicans, all saying it's time to end marriage discrimination."


CNN's Peter Hamby, Ashley Killough and Bill Mears contributed to this report.






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Still no signs of life after sinkhole swallows Florida man








SEFFNER, Fla.—





A Florida man was missing and feared dead on Friday after a large sinkhole suddenly swallowed the bedroom of his suburban Tampa home, police and fire officials said.

Jeff Bush, 36, was in his room sleeping and the other five members of the household were getting ready for bed on Thursday night when they heard a loud crash and Jeff screaming.

Jeff's brother, 35-year-old Jeremy Bush, jumped into the hole and furiously kept digging to find his brother.

"I feel in my heart he didn't make it," Jeremy told Tampa TV station WFTS. "There were six of us in the house; five got out."

Jeremy himself had to be rescued from the sinkhole by the first responder to the emergency call, Douglas Duvall of the Hillsborough County Sheriff's Office. When Duvall entered Jeff Bush's bedroom, all he saw was a widening chasm but no sign of Jeff.

"The hole took the entire bedroom," said Duvall. "You could see the bedframe, the dresser, everything was sinking," he said.

Norman Wicker, 48, the father of Jeremy's fiancée who also lived in the house, ran to get a flashlight and shovel.

"It sounded like a car ran into the back of the house," Wicker said.

Authorities had not detected any signs of life after lowering listening devices and cameras into the hole and rescue efforts were suspended after the site was deemed too unsafe for emergency personnel to enter.

"There is a very large, very fluid mass underneath this house rendering the entire house and the entire lot dangerous and unsafe," Bill Bracken, the head of an engineering company assisting fire and rescue officials, told the news conference late on Friday.

"We are still trying to determine the extent and nature of what's down there so we can best determine how to approach it and how to extricate," Bracken said.

Several nearby homes were evacuated in case the 30-foot wide sinkhole got larger but officials said it only appeared to be getting deeper.

The Bush brothers worked together as landscapers, according to Leland Wicker, 48, one of the other residents of the house.

The risk of sinkholes is common in Florida due to the state's porous geological bedrock, according to the Florida Department of Environmental Protection. As rainwater filters down into the ground, it dissolves the rock causing erosion that can lead to underground caverns, which cause sinkholes when they collapse.

Florida suffered one of its worst sinkhole accidents in 1994 when a 15-story-deep chasm opened up east of Tampa at a phosphate mine. It created a hole 185 feet deep and as much as 160 feet wide. Locals dubbed it Disney World's newest attraction - 'Journey to the Center of the Earth.'

In 1981 in Winter Park near Orlando, a sinkhole was measured as 320 feet wide and 90 feet deep, swallowing a two-story house, part of a Porsche dealership, and an Olympic-size swimming pool. The site is now an artificial lake in the city.

"Mortgage companies are more and more requiring Florida home buyers to have sinkhole coverage on their homeowners insurance policy," said K.C. Williams, a Tampa sinkhole and property damage claims lawyer who lives 2 miles away from the damaged home.


Reuters






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Syria war is everybody's problem






STORY HIGHLIGHTS


  • France considers sending Syrian rebels night-vision gear and body armor, a source says

  • Britain's foreign secretary says the UK will announce new aid soon

  • United States will send non-lethal aid to rebels, plus $60 million in administrative aid




Rome (CNN) -- The United States promised Thursday to send food and medical supplies -- but not weapons -- to rebels in the first such move since the conflict began two years ago.


At the same time, European nations began to explore how to strengthen rebel fighters short of arming them after a European Council decision allowing aid for civilian protection.


U.S. Secretary of State John Kerry said the aid would help fighters in their effort to topple Syrian President Bashar al-Assad. The conflict has claimed more than 60,000 lives, laid waste to large portions of the country and created an enormous humanitarian crisis as refugees flee the fighting.


The fighting also threatens to widen into a regional crisis and has raised concerns that Hezbollah, Iran or others could gain control in Damascus after al-Assad's government falls.


"The United States' decision to take further steps now is the result of the continued brutality of a superior armed force propped up by foreign fighters from Iran and Hezbollah, all of which threatens to destroy Syria," Kerry said after meeting opposition leaders in Rome.


He did not say how much aid, but did announce that the United States would separately give $60 million to local groups working with the opposition Syrian National Council to provide political administration and basic services in rebel-controlled areas of Syria.








READ: U.S. weighing nonlethal aid to Syrian opposition


That's on top of $50 million in similar aid the United States has previously pledged to the council, as well as $385 million in humanitarian assistance, Kerry said.


"This funding will allow the opposition to reach out and help the local councils to be able to rebuild in their liberated areas of Syria so that they can provide basic services to people who so often lack access today to medical care, to food, to sanitation," he said.


Islamist Influence


The aid represents, in part, an effort to hem in radical Islamist groups vying for influence in Syria after the fall of al-Assad, a senior State Department official told CNN.


"If the Syrian opposition coalition can't touch, improve and heal the lives of Syrians in those places that have been freed, then extremists will step in and do it," the official said.


Sheikh Ahmed Moaz al-Khatib, president of the Syrian National Council, said concerns about Islamist influence were overstated.


"We stand against every radical belief that aims to target Syria's diverse social and religious fabric," he said.


READ: Inside Syria: Exclusive look at pro-Assad Christian militia


U.S. officials hope the aid will help the coalition show what it can do and encourage al-Assad supporters to "peel away from him" and help end the fighting, the official said.


The opposition council will decide where the money goes, Kerry said.


But the United States will send technical advisers through its partners to the group's Cairo headquarters to ensure the aid is used properly, the senior State Department official said.


Additional aid possible


The European Council carved out an exception in its sanctions against Syria on Thursday to allow for the transfer of nonlethal equipment and technical assistance for civilian protection only.


The council did not specify what kind of equipment could be involved.


British Foreign Secretary William Hague said Friday on Twitter that his country would pledge new aid because "we cannot stand still while the crisis worsens and thousands of lives are at stake."


A diplomatic official at the French Foreign Ministry told CNN that France is studying the possibility of supplying night-vision equipment or body armor.


In the United States, President Barack Obama is thinking about training rebels and equipping them with defensive gear such as night-vision goggles, body armor and military vehicles, sources familiar with the discussions said.


The training would help rebels decide how to use their resources, strategize and perhaps train a police force to take over after al-Assad's fall, one of the sources said.


READ: Syrian army in Homs is showing strains of war


Kerry did not announce that sort of aid Thursday, but said the United States and other countries backing the rebels would "continue to consult with each other on an urgent basis."


An official told reporters that the opposition has raised a number of needs in the Rome meetings and the administration will continue to "keep those under review."


"We will do this with vetted individuals, vetted units, so it has to be done carefully and appropriately," the official said.


Humanitarian crisis


Meanwhile, the bloodshed continued. On Thursday, 98 people were killed across Syria, including 35 in Damascus and its suburbs, said the Local Coordination Committees for Syria, a network of opposition activists.


The conflict began with demands for political reform after the Arab Spring movement that swept the Middle East and Africa, but devolved into civil war when the al-Assad regime cracked down on demonstrators.


In addition to the 60,000 people who have died since the fighting began in March 2011, another 940,000 have fled the country and more than 10% of Syria's 20 million residents have been forced to move elsewhere inside the country, the Office of the United Nations High Commissioner for Refugees said.


The outpouring of refugees threatens to overwhelm the ability of host nations to provide for their needs, Assistant High Commissioner Erika Feller told the U.N. Human Rights Council on Tuesday.


READ: Syrian war is everybody's problem


Jill Dougherty reported from Rome, and Michael Pearson reported and wrote from Atlanta. CNN's Nick Paton Walsh and Elise Labott also contributed to this report.






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Collins believes Bulls taking right approach with Rose


























































Even Doug Collins got swept up in the Derrick Rose hysteria on Thursday.

"I thought for sure he was going to play (Thursday night)," the 76ers' coach said. "Got hurt against Philadelphia, come back against Philadelphia, game on TNT. I could just see him running out with the Adidas commercial."






Instead, Rose's participation got limited to another lengthy, sweaty pregame workout featuring several dunks that drew oohs and aahs from the early-arriving fans. Collins battled serious knee injuries in his playing career and thinks the conservative approach is the right one.

"The Bulls have a tremendous investment in Derrick," Collins said. "You want to make sure this young guy is ready to go. We take a guy like Adrian Peterson and we see him rehab and play football and you sort of expect everybody to have the same timetable. Knees are different. Every player is different. Everybody's game is different.

"Derrick is an explosive player. He plays in the lane. He's landing in a lot of congestion. He's going to have to be very confident when he plays about being able to explode off that leg and come down in a crowd.

"(Chairman) Jerry Reinsdorf and the Bulls organization aren't short-sighted people. They have a franchise they feel has a chance to be good for a long, long time. And Derrick is the guy who's going to make that special. So I totally understand."

All aboard: All signs point to the Bulls winning a four-team race and signing Lou Amundson to a 10-day contract on Saturday, bringing their roster to the maximum 15 players. Amundson, who was waived by the Timberwolves on Feb. 8, would be big-man insurance while Taj Gibson remains sidelined with a sprained MCL in his left knee. The Heat, Celtics and Knicks also are in the mix for Amundson.

The Bulls have just enough below the hard salary cap of $74.307 million to sign Amundson for the remainder of the season if they choose. He then would be eligible for the playoffs.

Over seven seasons with six teams, the 6-foot-9 forward has averaged 3.8 points and 3.6 rebounds.

Layups: Marquis Teague turned 20 Thursday. … Collins, on the widespread reaction to his heart-on-his-sleeve postgame news conference after the 76ers' sixth straight loss on Tuesday: "Yeah, I guess I was trending."




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McCarthy sharp in return from head injury


SCOTTSDALE, Ariz. (AP) — Amanda McCarthy was a nervous wreck in the stands. Her husband was as calm as could be on the mound.


Brandon McCarthy methodically struck out four in two innings in his first game since a horrific head injury, an impressive return that overshadowed all else in the Diamondbacks' 14-6 loss to the Cincinnati Reds on Wednesday.


McCarthy, signed to a two-year deal by the Diamondbacks as a free agent, gave up one run on three hits. He had not taken the mound in a game since Sept. 5 when he was struck in the head by a line drive off the bat of the Angels' Erick Aybar while pitching for Oakland. McCarthy sustained an epidural hemorrhage, brain contusion and skull fracture.


Reds ace Johnny Cueto, in his first start since he was injured early in last year's playoffs, went two innings, allowing four runs, two earned, on five hits with a strikeout and a walk.


Amanda McCarthy, something of a celebrity in her own right with more than 26,000 Twitter followers, had been unusually quiet on her Twitter account as game time approached.


"I was pretty nervous. I was kind of getting shaky," she said. "My girlfriends were trying to distract me and talk to me. I'm not a very nervous person in general when he pitches, but obviously this is a unique situation."


Then she watched her husband strike out Billy Hamilton, Joey Votto and Ryan Ludwick in the first inning.


The only blemish came when rookie center fielder Adam Eaton got a late break on Denis Phipps deep fly ball off McCarthy leading off the second and it went over his head for a triple. Neftali Soto brought Phipps home with a sacrifice fly, then Jack Hannahan was caught looking for McCarthy's fourth strikeout.


"I felt my rhythm was good, my game pace was good," McCarthy said, "all the things I'd like to have even later in spring I felt were good."


The tall right-hander, working to add a changeup to his repertoire, threw 31 pitches, 22 strikes.


"He was awesome," his wife said. "Did he strike out like a million?"


McCarthy said he had no mental hurdle to clear and felt no more nervous than he did approaching any other spring training opener. He said he refuses to dwell on what was a life-threatening injury or even reflect on it, except when he is asked about it.


"I would assume it becomes less of a hot issue, less questions about it, or at least they'll kind of thin out, which is a good thing," he said. "For me it really can't get more behind me than it is, but just in terms of answering questions about it, it will probably go away. But I think I'll always kind of be 'that' guy, to a point where that's just one of the defining markers. I have to try and pitch well enough to get out of that but it will always kind of be there."


McCarthy joked that he might reflect a bit more if he goes on to have an outstanding career.


"That's when you make a ton of money on the motivational speaker's tour. I'll cash in then," he said. "But otherwise I want it to be a footnote at best. It's just something that happened, something that was scarier for the fans or my family than anybody else. That's it for me. It was just a bad day and not a great pitch."


There were no sharp comebacks to the mound for McCarthy to deal with, but he must know that will come.


"When that one came back straight that went way into center I thought he was going to hit the deck, because I did," his wife said. "But he looks good. I know that he knew what he was doing, and he wouldn't get out there if he felt uncomfortable."


Cueto, ordered by the Reds not to participate for the Dominican Republic in the World Baseball Classic that begins next week, made his first game appearance since he went down with a strained right oblique eight pitches into last season's NL division series against San Francisco.


He brushed aside the results and said he was just glad to be back on the mound and feeling good.


"That is just what I wanted to do, get out there and pitch to hitters," Cueto said. "I threw about 40 pitches. I didn't feel my oblique. I felt nothing in it. I gave up some hits but I was able to throw what I wanted to, thank God."


The first of Aaron Hill's two doubles drove in two runs off Cueto after three-time Gold Glove second baseman Brandon Phillips bobbled a double-play grounder in the opening inning.


A Reds lineup of mostly minor leaguers outscored its Arizona counterpart 13-2 over the last four innings.


NOTES: Because Cueto finished the season injured, the Reds had the right to block his participation in the World Classic. ... Arizona C Miguel Montero was back in the lineup after missing two games with a swollen right thumb. ... Phillips, who figures to be the everyday second baseman for Team USA in the World Baseball Classic, had five errors all of last season. ... Team USA is scheduled to hold its only pre-WBC workout Monday at Scottsdale's Salt River Fields, the spring home of Arizona and Colorado.


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