FTC Chairman Jon Leibowitz resigns



FTC chairman Jon Leibowitz



(Credit:
Rafe Needleman/CNET)


Jon Leibowitz announced today that he was resigning from his post as the chairman of the Federal Trade Commission. His announcement comes after presiding over both the investigation and settlement of Google's antitrust probe.

Leibowitz plans to leave his position by mid-February, according to The New York Times.

"I felt like this was a good time to leave because we got through a number of things that I wanted the commission to address," he told the newspaper.

President Obama appointed Leibowitz, who was formerly an FTC commissioner, to lead the agency in 2009. Leibowitz was said to have been chosen because of his stance on better enforcing antitrust laws and online privacy issues.

Over the course of his tenure, Leibowitz managed to bring antitrust investigations against Facebook, Google, and Intel. He also tackled dozens of privacy issues and expanded the Children's Online Privacy Protection Act.

The most publicized effort under Leibowitz's belt is the FTC's antitrust investigation into Google's business practices. The 20-month probe focused mostly on the way Google displayed search results, which critics said favored the company's own services over those of its competitors.

Under the FTC's settlement, a handful of companies can now choose to stop showing their results inside Google products like Google+ Local, Google Shopping, and Hotels. The search giant also agreed to voluntarily change the way it uses other Web sites' data. However, some regulators have complained that the settlement agreement was akin to a slap on the wrist and that despite the probe, Google is continuing to operate as normal with its search results looking more or less the same.

Now that Leibowitz is resigning from his post, he is likely to move onto the private sector where he intends to focus on competition policy and privacy, according to The New York Times. It's unclear who his successor will be.

CNET contacted the FTC for comment. We'll update the story when we get more information.

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Obama: "No doubt" Congress will pass immigration, gun bills




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Obama: "No doubt" gun, immigration bills will pass in coming months



There's more bipartisan support in Congress for comprehensive immigration reform than gun control legislation, President Obama said tonight during an interview with Univision, but qualified that even under his proposal, illegal immigrants shouldn't be harboring expectations that they'll be granted citizenship "manana."

"Even under our proposal, this is not a situation where overnight, suddenly people all find themselves as citizens," Mr. Obama told the Spanish-language television network. "They're going to have to go to the back of the line. We're going to have to clear out the existing line, backlogs we have in terms of illegal immigrants, because they did it the right way. We shouldn't punish them for breaking the law.

"...What we don't want to do is to create some vague prospect in the future that somehow comprehensive immigration reform that includes a pathway to citizenship will happen manana," he continued, chuckling softly at the somewhat awkward injection of the Spanish word for "tomorrow." "But we have to put that in place at the outset, and make sure people are clear that this pathway is real and not just a fantasy for the future."

Asked whether he was in a standoff with Sen. Marco Rubio, R-Fla., the son of Cuban immigrants who has said he will not support a bill that does not put border control ahead of a path to citizenship, Mr. Obama said no, but pointed out that the number of people crossing the border illegally has dropped "about 80 percent since 2000."


On Tuesday, the president delivered a speech in Las Vegas outlining his immigration plan and applauding a bipartisan group of eight senators that has offered up proposals as well. In an interview today with another Spanish language network, Telemundo, he specified that he's hoping immigration reform that includes a pathway to citizenship can be passed in the next six months, but "certainly this year."

Meanwhile, despite facing more resistance from the right on tightening gun laws, he said he has "no doubt" that Congress will be able to put through legislation on gun control, as well as immigration.




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Obama: Legalization for illegal immigrants won't happen "ma?ana"



"On the gun issue, you're starting to see gun owners, people who traditionally have opposed gun control, saying, 'You know what, when 20 of our children are shot by somebody who is disturbed, and when it is that easy to get these high-clip magazines that can fire off hundreds of shots in a few minutes, then it's time for us to do better job on background checks, to get control of these magazine clips, to really crack down on gun trafficking," Mr. Obama said in the Univision interview.

The Senate Judiciary Committee today held the first congressional hearing on gun violence since last month's massacre at a Newtown, Conn., elementary school, that left 20 children and six adults dead. Star witnesses included former Rep. Gabrielle Giffords, D-Ariz., who survived a shot to the head two years ago during an assassination attempt that left six people dead, and her husband on one side, and NRA CEO Wayne LaPierre on the other.

Both gun control and immigration "will end up generating some opposition," the president said. "There will be passions on both sides. But I'm generally encouraged that the Senate seems to be having a serious conversation about these issues."

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No Device Eliminates Concussion Risk, Experts Say













As the long-term consequences of concussions become clearer, a cottage industry has popped up to sell athletes and worried parents products designed to mitigate risks of concussions that even helmets cannot prevent.


Despite the bold claims of some companies, however, many experts say the Holy Grail in contact sports -- a device that prevents concussions -- simply does not exist. Indeed, experts say, there is no proof that any current device significantly reduces the risk of concussions beyond the protections already provided by helmets.


"Nightline" found several products for sale online that aim to reduce the risk of concussions or even alert parents and coaches when a kid has supposedly taken a concussion-level hit. The claims the manufacturers make are often breathtakingly reassuring.


Concern about the risk of concussion is mounting at every level of the gridiron from the NFL to colleges and even high schools. Concussions are the most common injury among high school football players.


Jennifer Branin, whose son Tyler Branin is one of the stars of the Woodbridge Warriors high school football team in Irvine, Calif., said "it was scary" the first time he had a concussion.


"He had lost his balance on the field," she said. "He got up and tried to continue, but couldn't keep his balance."












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She said the effects of the concussion lingered, causing Tyler to miss a week of school and football practice. Even months later, he complained of difficulty concentrating in class.


Parents such as Jennifer Branin, who is president of the team's booster club, and her husband, Andy Branin, a former college football player himself, were looking for a way to support their son's desire to play football while also keeping him safe.


"He wants to play and, as a mom, you may want to put bubble-wrap around them and protect them forever, but that's not going to happen," she said.


So Jennifer Branin decided to do something. She raised money to buy the team helmet inserts by Unequal Technologies for added protection.


Unequal Technologies, one of the highest profile players in this new market, described its product explicitly on the box as "Concussion Reduction Technology," or "CRT." It is a strip of composite material including bullet-proof Kevlar that is designed to stick inside the helmet as a liner to the existing helmet pads.


Unequal Technologies uses its material in products ranging from padded sleeves to shin guards. The company counts NFL players and X-Games athletes among its fans.


On board as paid spokesmen are Philadelphia Eagles quarterback Michael Vick and James Harrison, a linebacker for the Pittsburgh Steelers. Harrison is one of the hardest-hitting guys in the NFL and said he uses Unequal Technology's liners in his helmet.


"I don't know what it's made of but it works," Harrison says in one of Unequal's promotional videos. "I really don't feel like I'm taking a risk."


Vick wasn't wearing the CRT product when he suffered a season-ending concussion in November, but he has since promised that he will be wearing it when he returns to the field next season.


Rob Vito, founder and CEO of the Kennett Square, Pa.-based company, said he worked with scientists to create a military-grade composite material that can help protect athletes from all kinds of injuries from head to toe.






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French troops deployed in last Mali rebel strongholds


DOUENTZA, Mali/PARIS (Reuters) - French troops seized the airport in Mali's northern town of Kidal, the last urban stronghold held by Islamist insurgents, as they moved to wrap up the first phase of a military operation to wrest northern Mali from rebel hands.


France has deployed some 4,500 troops in a three-week ground and air offensive to break the Islamist rebels' 10-month grip on major northern towns. The mission is aimed at heading off the risk of Mali being used as a springboard for jihadist attacks in the wider region or Europe.


The French military plans to gradually hand over to a larger African force, tasked with rooting out insurgents in their mountain redoubts near Algeria's border.


Defense Minister Jean-Yves Le Drian said French forces using planes and helicopters defied a sandstorm late on Tuesday to capture the airport but had been prevented by the bad weather from entering the town itself.


"The terrorist forces are pulling back to the Adrar des Ifoghas mountains which are difficult to access," Le Drian told a news conference. "There is support from Chadian and Nigerian troops coming from the south."


The deployment of French troops to remote Kidal puts them in direct contact with pro-autonomy Tuareg MNLA rebels, whose rebellion last year was hijacked by the Islamist radicals. Le Drian said France had established good relations with local Tuareg chieftains before sending in troops.


MNLA leaders say they are ready to fight al Qaeda but many Malians, including the powerful military top brass in the capital Bamako, blame them for the division of the country. They view Paris' liaisons with the Tuaregs with suspicion.


French and Malian troops retook the major Saharan trading towns of Gao and Timbuktu at the weekend.


There were fears that many thousands of priceless ancient manuscripts held in Timbuktu, a UNESCO World Heritage site, might have been lost during the rebel occupation, but experts said the bulk of the texts were safe.


The United States and European governments strongly support the Mali intervention and are providing logistical and surveillance backing but do not intend to send combat troops.


The MNLA rebels, who want greater autonomy for the desert north, said they had moved fighters into Kidal after Islamists left the town earlier this week.


"For the moment, there is a coordination with the French troops," said Moussa Ag Assarid, the MNLA spokesman in Paris.


A spokesman for the Malian army said its soldiers were securing Gao and Timbuktu and were not heading to Kidal.


The MNLA took up arms against the Bamako government a year ago, seeking to carve out a new independent desert state.


After initially fighting alongside the Islamists, by June they had been forced out by their better armed and financed former allies, who include al Qaeda North Africa's wing, AQIM, a splinter wing called MUJWA and Ansar Dine, a Malian group.


RISK OF ATTACKS, KIDNAPPINGS


As the French wind up the first phase of their offensive, doubts remain about just how quickly the U.N.-backed African intervention force can be fully deployed in Mali to hunt down the retreating al Qaeda-allied insurgents. Known as AFISMA, the force is now expected to exceed 8,000 troops.


Foreign Minister Laurent Fabius said France's military operation, codenamed Serval (Wildcat), was planned as a lightning mission lasting a few weeks.


"Liberating Gao and Timbuktu very quickly was part of the plan. Now it's up to the African countries to take over," he told the Le Parisien daily. "We decided to put in the means and the necessary number of soldiers to strike hard. But the French contingent will not stay like this. We will leave very quickly."


One French soldier has been killed in the mission, and Fabius warned that things could now get more difficult, as the offensive seeks to flush out insurgents with experience of fighting in the desert from their wilderness hideouts.


"We have to be careful. We are entering a complicated phase where the risks of attacks or kidnappings are extremely high. French interests are threatened throughout the entire Sahel."


An attack on the In Amenas gas plant in Algeria earlier this month by Islamist fighters opposing the French intervention in Mali led to the deaths of dozens of foreign hostages and raised fears of similar reprisal strikes across North and West Africa.


NEED FOR RECONCILIATION


The French operation has destroyed the Islamists' training camps and logistics bases but analysts say a long term solution for Mali hinges on finding a political settlement between the northern communities and the southern capital Bamako.


Interim President Dioncounda Traore said on Tuesday his government would aim to hold national elections on July 31. Paris is pushing strongly for Traore's government to hold talks with the MNLA, which has dropped its claims for independence.


"The Malian authorities must begin without delay talks with the legitimate representatives of the northern population and non-terrorist armed groups that recognize Mali's integrity," French Foreign ministry spokesman Philippe Lalliot said.


After months of being kept on the political sidelines, the MNLA said they were in contact with West African mediators who are trying to forge a national settlement to reunite Mali.


"We reiterate that we are ready to talk with Bamako and to find a political solution. We want self-determination, but all that will be up to negotiations which will determine at what level both parties can go," Ag Assarid said.


There have been cases in Gao and Timbuktu and other recaptured towns of reprisal attacks and looting of shops and residences belonging to Malian Tuaregs and Arabs suspected of sympathizing with the MNLA and the Islamist rebels.


(Additional reporting John Irish and Emmanuel Jarry in Paris, David Lewis and Pascal Fletcher in Dakar; Writing by David Lewis and Daniel Flynn; Editing by Pascal Fletcher and Rosalind Russell)



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Manufacturing business sentiments expected to remain weak: EDB






SINGAPORE: Business sentiments in Singapore's manufacturing sector are expected to remain weak in the first half of this year, as slow global economic growth continues.

According to the latest survey by the Economic Development Board, a net weighted balance of 10 per cent of manufacturers anticipate a less favourable business situation in the period January to June this year, compared to the fourth quarter of 2012.

Within the manufacturing sector, EDB said the biomedical cluster is the most optimistic, with a net weighted balance of 7 per cent of firms anticipating better business prospects in the months ahead. Part of this optimism stems from the pharmaceutical segment which is foreseeing higher demand from overseas.

In the general manufacturing industries cluster, a net weighted balance of just one per cent of businesses project an improved performance in the first half of the year. This is due mainly to the food, beverages and tobacco segment, which is anticipating stronger demand due to seasonal factors such as the Lunar New Year.

On the other hand, the electronics cluster is the least upbeat about business prospects in the next two quarters. A net weighted balance of 28 per cent of electronics firms expect weak demand conditions to persist amid slow economic growth in Europe and US.

The precision engineering segment is also projecting a less favourable outlook on the back of weak equipment spending and low demand for precision components.

Meanwhile, business outlook for the chemical cluster is also weak. This is largely due to the petroleum segment, which is expecting refining margins to come under pressure with increased capacity from new plants overseas.

EDB said a net weighted balance of 10 per cent of manufacturers expect output to decline in the first quarter this year.

It added that employment prospects in the manufacturing sector in the first quarter of 2013 are likely to remain similar to the fourth quarter of 2012.

In particular, the transport engineering and general manufacturing industries clusters are most optimistic about employment opportunities between January and March 2013.

A weighted 45 per cent of the manufacturers said there are no limiting factors which could affect their ability to obtain direct export orders in the first quarter.

The weighted 48 per cent of firms that indicated export constraints cited price competition from overseas competitors, and economic and political conditions abroad as the most important limiting factors.

- CNA/al



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Tumblr avoids porn label and adds mature rating to iOS app



Tumblr's iPhone app.



(Credit:
Tumblr)


Tumblr looks to be trying to avoid the porn-war that recently harangued the 500px photo app and Twitter's Vine app.

The microblogging company threw up a 17-and-over age warning for its iOS app for all new users and any people updating their app to the 3.2.4 version, which was released today.

"You must be at least 17 years old to download this app," Tumblr writes in its description of the app in the iTunes App Store, because it contains "Frequent/Intense Sexual Content or Nudity."

The app's upgrade says only that it will carry out "small bug fixes." However, when users click on the 3.2.4 version, they're forced to confirm they are over the age of 17. "Tumblr contains age-restricted material," the app says when upgrading. "Tap OK to confirm that you are 17 or over. Your content will then begin downloading immediately."

It's unclear exactly why Tumblr changed its app to contain a mature rating. But it's no secret that certain blogs on the site contain "sexual content" and "nudity." In an interview last June, Tumblr founder David Karp noted that 2 percent to 4 percent of the traffic on Tumblr is porn-related.

Tumblr's 17+ rating comes as 500px and Vine have been scrutinized for making porn easily accessible. When Twitter released the Vine app last week, many users quickly found a handful of videos featuring male exhibitionism and other activity. Apple quickly stopped promoting Vine in its App Store.

500px had an even more severe reprimand. After complaints of the app containing pornographic images and material, Apple pulled it from
iTunes. Now that 500px has added warnings and a 17+ rating, Apple allowed it back into the App Store.

Maybe Tumblr is acting preemptively with its new 17+ rating. CNET contacted Tumblr for comment. We'll update the story when we get more information.

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Grandson of oil tycoon T. Boone Pickens dies in Texas

Updated 8:35 PM ET

FORT WORTH, Texas A 21-year-old grandson of Texas oil tycoon T. Boone Pickens died Tuesday after being rushed to a hospital in Fort Worth, according to police and a family spokesman.




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Thomas Boone Pickens IV, who went by Ty, was a junior at Texas Christian University. Pickens' spokesman, Jay Rosser, called the death an "unspeakable family tragedy" and asked that the family be allowed to grieve in private.

As reported by CBS Station KTVT Dallas, the family issued a statement: "Ty's loss at such a young age is an unspeakable family tragedy for the entire Pickens family and his many friends. We mourn his passing and respectfully request that the family be allowed to grieve in private in this time of sorrow."

Neither Rosser nor Fort Worth police have said what may have caused the death.




10 Photos


Thomas Boone "Ty" Pickens IV



Officers were dispatched after getting a report of a dead person at an off-campus location around 9:30 a.m. Tuesday, police spokeswoman Cpl. Tracey Knight said. Police said Ty Pickens was transported to a hospital, where he was pronounced dead.

Knight said the Tarrant County medical examiner would determine the cause of death. She declined further comment.


T. Boone Pickens appears on "CBS This Morning," Aug. 23, 2012.

T. Boone Pickens appears on "CBS This Morning," Aug. 23, 2012.


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CBS News

The elder Pickens made much of his fortune in oil drilling but has since become an advocate for alternative energy. The 84-year-old also is active in politics and has donated millions of dollars to his alma mater, Oklahoma State University, and various other causes.

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Clinton Talks 2016, Stands by Benghazi Testimony













In her final television interview as Secretary of State, Hillary Clinton told ABC's Cynthia McFadden that she is "flattered and honored" at the intense interest in whether she might run for president in 2016.


But Clinton maintained that right now she's "not focused" on a presidential campaign; instead she said she wants to return to a "normal" life when she steps down from office on Friday.


Watch Cynthia McFadden's full interview with Secretary of State Hillary Clinton on "Nightline" tonight at 12:35 a.m. ET


Clinton's first order of business, she said, will be sleep.


"I hope I get to sleep in," she told McFadden with a laugh. "It will be the first time in many years. I have no office to go to, no schedule to keep, no work to do. That will probably last a few days then I will be up and going with my new projects," she said.


"I have been working or attending school full-time since I was 13. This is going to be new for me. I don't know how I'm going to react to it, to be honest."


PHOTOS: Hillary Clinton Through the Years: From Wellesley to the White House, and Beyond


Clinton has had no trouble articulating her reaction to what has arguably been the darkest chapter of her tenure as Secretary of State: the Sept. 11 attack on the U.S. consulate in Benghazi, Libya, in which four Americans, including Ambassador Chris Stevens, were killed.








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Secretary Clinton had a heated exchange with Republican Senator Ron Johnson during her five hours of testimony before Congress about the attack last week. Johnson accused the administration of misleading the American people about the cause of the attack, when UN Ambassador Susan Rice, on Sunday political talk shows, blamed it on protesters.


Clinton snapped back at Johnson, "Four Americans are dead. What difference does it make?" For that, she has been sharply criticized by some conservatives.


Clinton said she "absolutely" stands by her response to Johnson, maintaining that the administration has been transparent with the information it knew, when it was available. Clinton said partisan politics have no place in a response to a terrorist attack against Americans.


"I believe that we should in public life, whether you're in the administration or the Congress, de-politicize crisis and work together to figure out what happened, what we can do to prevent it and then put into place both the institutional changes and the budgetary changes that are necessary, " she said.


"When someone tries to put into a partisan lens, when they focus not on the fact that we have such a terrible event happening with four dead Americans but instead what did somebody say on a Sunday morning talk show? That to me is not in keeping with the seriousness of the issue and the obligation we all have as public servants"


FULL TRANSCRIPT: Sec. of State Hillary Clinton's "Nightline" Interview


Asked about her health, Clinton said her recent illness, concussion and blood clot were all a surprise.


"When I got sick and fainted and hit my head I was so surprised, and I thought I would just get up and go to work. And thankfully I had very good medical care and doctors who said, 'No we'd better do an MRI, we'd better do this, we'd better do that,'" she said, calling herself "lucky."


"I know now how split second beset by a virus and dehydrated, what it can do to you."


Though she confirmed she is wearing special glasses to help with double vision, a lingering issue following her illness, Clinton said that she expects to be fully recovered and operating at "full speed" soon.


The Secretary told McFadden that if she does decide to run, she would have "no problem" making her health records public.


"Of course, that goes with the territory," she said.



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Sixty-five people executed in Syria's Aleppo: activists


BEIRUT (Reuters) - At least 65 people were found shot dead with their hands bound in the northern Syrian city of Aleppo on Tuesday in a "new massacre" in the near two-year revolt against President Bashar al-Assad, activists said.


Opposition campaigners blamed the government but it was impossible to confirm who was responsible. Assad's forces and rebels have been battling in Syria's commercial hub since July and both have been accused of carrying out summary executions.


U.N.-Arab League mediator Lakhdar Brahimi told the U.N. Security Council "unprecedented levels of horror" had been reached in Syria, and that both the government and rebels had committed atrocious crimes, diplomats said.


He appealed to the 15-nation council to overcome its deadlock and take action to help end the civil war in which Syria is "breaking up before everyone's eyes".


More than 60,000 people are estimated to have been killed in the war, the longest and deadliest of the revolts that began throughout the Arab world two years ago.


The U.N. refugee agency said the fighting had forced more than 700,000 people to flee. World powers fear the conflict could envelop Syria's neighbors including Lebanon, Jordan and Turkey, further destabilizing an already explosive region.


Opposition activists posted a video of at least 51 muddied male bodies alongside what they said was the Queiq River in Aleppo's rebel-held Bustan al-Qasr neighborhood.


The bodies had what looked like bullet wounds in their heads and some of the victims appeared to be young, possibly teenagers, dressed in jeans, shirts and trainers.


Aleppo-based opposition activists who asked not to be named for security reasons blamed pro-Assad militia fighters.


They said the men had been executed and dumped in the river before floating downstream into the rebel area. State media did not mention the incident.


The British-based Syrian Observatory for Human Rights, which says it provides objective information about casualties on both sides of Syria's war from a network of monitors, said the footage was evidence of a new massacre and the death toll could rise as high as 80.


"They were killed only because they are Muslims," said a bearded man in another video said to have been filmed in central Bustan al-Qasr after the bodies were removed from the river. A pickup truck with a pile of corpses was parked behind him.


STALEMATE


It is hard for Reuters to verify such reports from inside Syria because of restrictions on independent media.


Rebels are stuck in a stalemate with government forces in Aleppo - Syria's most populous city which is divided roughly in half between the two sides.


The revolt started as a peaceful protest movement against more than four decades of rule by Assad and his family, but turned into an armed rebellion after a government crackdown.


About 712,000 Syrian refugees have registered in other countries in the region or are awaiting processing as of Tuesday, the U.N. refugee agency said.


"We have seen an unrelenting flow of refugees across all borders. We are running double shifts to register people," Sybella Wilkes, spokeswoman for the U.N. High Commissioner for Refugees (UNHCR), told Reuters in Geneva.


The United Nations said it had received aid promises ahead of a donor conference in Kuwait on Wednesday where it is seeking $1.5 billion for refugees and people inside Syria. Washington announced an additional $155 million that its said brought the total U.S. humanitarian aid to the crisis to some $365 million.


Aid group Médecins Sans Frontières said the bulk of the current aid was going to government-controlled areas in Syria and called on donors to make sure they were even-handed.


MISSILES


In the eastern city of Deir al-Zor, insurgents including al Qaeda-linked Islamists captured a security agency after days of heavy fighting, according to an activist.


Some of the fighters were shown carrying a black flag with the Islamic declaration of faith and the name of the al-Nusra Front, which has ties to al Qaeda in neighboring Iraq.


The war has become heavily sectarian, with rebels who mostly come from the Sunni Muslim majority fighting an army whose top generals are mostly from Assad's Alawite sect, an offshoot of Shi'ite Islam. Assad has framed the revolt as a foreign-backed conspiracy and blames the West and Sunni Gulf states.


Fighting also took place in the northern town of Ras al-Ain, on the border with Turkey, between rebels and Kurdish militants, the Observatory said.


In Turkey, a second pair of Patriot missile batteries being sent by NATO countries are now operational, a German security official said.


The United States, Germany and the Netherlands each committed to sending two batteries and up to 400 soldiers to operate them after Ankara asked for help to bolster its air defenses against possible missile attack from Syria.


(Additional reporting by Sylvia Westall in Kuwait, Sabine Siebold in Berlin and Stephanie Nebehay in Geneva; Editing by Andrew Heavens and Robin Pomeroy)



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Tokyo stocks hit highest level since 2010






TOKYO: Tokyo stocks jumped 2.28 per cent on Wednesday to close at their highest level in nearly three years thanks to a weaker yen and receding concerns over Europe's debt crisis.

The benchmark Nikkei 225 index closed up 247.23 points at 11,113.95, its highest finish since April 2010, while the Topix index of all first-section shares rose 1.51 per cent, or 13.91 points, to 934.67.

"Europe's problems have eased quite a bit," said Hideyuki Ishiguro, senior strategist at investment at Okasan Securities.

He pointed to data Tuesday showing net lending by Europe's central banks to credit institutions had fallen, the latest sign of easing tensions in the financial system.

The data showed the size of the balance sheet of the Eurosystem, consisting of the European Central Bank and the 17 eurozone national central banks, has fallen to its lowest in almost a year.

"The global economy is in a trend of improving. A shift to stocks from bonds is likely to happen," Ishiguro said.

The Tokyo market's rise also came after Japan's new government on Tuesday approved a $1.02 trillion annual budget as part of its renewed assault on the deflation that has plagued the economy for years.

The Nikkei has been soaring in recent months as Tokyo's drive for aggressive monetary easing pushed down the value of the yen, lifting exporters.

Hopes that the government led by Prime Minister Shinzo Abe will succeed in boosting the limp economy was helping drive the Nikkei's ascent, said Hiroichi Nishi, general manager of equity at SMBC Nikko Securities.

"Both domestic and external demand show signs of firming amid continuing expectations for 'Abenomics' and a recovery trend in the US economy," he told Dow Jones Newswires.

On Wall Street Tuesday, the Dow provided a solid lead as it climbed to within just 1.5 per cent of its all-time closing high seen in October 2007.

In Tokyo, companies reporting quarterly earnings included Canon, which jumped 2.88 per cent to 3,385 yen, while mobile carrier NTT DoCoMo was up 0.97 per cent to 134,900 yen and Sumitomo Mitsui Financial Group climbed 1.15 per cent to 3,490 yen.

Videogame giant Nintendo slipped 2.40 per cent to 9,350 yen ahead of the release of earnings later in the day.

In Tokyo forex trade, the dollar strengthened to 90.93 yen, from 90.72 yen in New York late Tuesday.

The euro fetched 122.56 yen and $1.3485 against 122.42 yen and $1.3493.

- AFP/ck



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