US Employers Add Modest 148,000 Jobs; Unemployment 4.1 Pct.

U.S. employers added 148,000 jobs in December, a modest gain but still enough to suggest that the economy entered the new year with solid momentum.

The unemployment rate remained 4.1 percent for a third straight month, the lowest level since 2000, the Labor Department said Friday.

For all of 2017, employers added nearly 2.1 million jobs, enough to lower the unemployment rate from 4.7 percent a year ago. Still, average job gains have slowed to 171,000 this year from a peak of 250,000 in 2014. That typically happens when the unemployment falls to ultra-low levels and fewer people are available to be hired.

While modest, the job gains underscore the economy’s continued health in its ninth year of recovery. The unemployment rate for African-Americans dropped to a record low of 6.8 percent.

Solid economic growth in both the United States and major countries overseas is supporting more hiring. Factory managers received the most new orders in December than in any month since 2004. Retailers have reported strong holiday sales. Builders are ramping up home construction to meet growing demand.

Sales of existing homes reached their fastest pace in nearly 11 years in November. Consumer confidence is at nearly a 17-year high. And the Dow Jones industrial average reached 25,000 for the first time on Thursday.

Most economists expect the Trump administration’s tax cuts to help speed the economy’s already decent pace of growth. Some envision the unemployment rate dropping as low as 3.5 percent by the end of 2018. A rate that low would mark the lowest such level in nearly a half-century, and it would likely force businesses to accelerate pay raises to attract and retain employees. Pay raises have remained puzzlingly sluggish for many U.S. workers despite the robust job market.

Some businesses, though, are already howling that they can’t find enough qualified people. There are roughly 6 million available jobs, near a record high, according to government data. Should unemployment fall to 3.5 percent, those complaints will intensify.

For at least two years, economists have been expecting the falling unemployment rate to boost wages. Though average hourly pay growth has picked up a bit, it remains about 1 percentage point below the 3.5 percent annual gain that typically occurs in a healthy economy.

Economists point to several trends that may be keeping a lid on wage gains.

As the vast baby boom generation ages — 10,000 of them are turning 65 every day — they are retiring and are being replaced by younger workers, who typically earn far less money. That is likely suppressing overall wage growth, economists say.

Worker pay also depends on productivity, or how efficient employees are. And productivity has been weak for roughly a decade.

In 2000, the last time the unemployment rate fell this low, wages were growing at a 4 percent annual pace. But productivity, which measures workers’ output per hour, was much higher then. A falling unemployment rate can force up pay, but rising productivity has a much greater effect.

Many businesses, meanwhile, feel they have limited ability to pass on higher wages to consumers in the form of higher prices. Online shopping and cheaper imported goods make it easier for consumers to find bargains. That leaves retailers and other firms reluctant to raise pay.

Headed to Mountains? Measure Some Snow for Science

America’s space agency wants you to head for the mountains with a smartphone and a measuring stick.

 

NASA’s earth science arm is funding research that recruits citizen scientists on skis, snowshoes and snowmobiles to measure the depth of snow in backcountry locations in the Pacific Northwest and Alaska.

 

Their measurements will be incorporated into computer models that calculate how much water will end up in the region’s rivers and reservoirs.

​Early results promising

 

“Our initial model runs show that citizen science measurements are doing an amazing job of improving our simulations,” said David Hill, an Oregon State University professor of civil engineering, who is collaborating with Alaska and University of Washington researchers. They received one of 16 NASA citizen science grants for the project.

 

The snowpack measurements are incorporated into computer models estimating “snow-water equivalent,” the amount of liquid water contained in snow cover, of a watershed. 

 

In Western states, according to NASA, nearly three-fourths of annual stream flow that provides drinking water comes from spring and summer melt.

NASA in February began a multiyear research project to improve the accuracy of its snow measurements with partners in Europe and Canada, trying to solve challenges such as detecting snow through trees. 

​Several projects

The grant awarded to Hill, Anthony Arendt of the University of Washington and Gabriel Wolken, a research geologist with the Alaska Division of Geological & Geophysical Surveys, is not directly connected to that project but has a mutual interest, said Kevin Murphy, a program executive for science data systems at NASA headquarters. 

 

“We decided about two years ago to start this program, which really looks at how can we harness the creativity and the capabilities of citizens to augment a lot of our satellite or aircraft measurements,” Murphy said.

Cheap, plentiful volunteers

Snow telemetry stations maintained by the U.S. Agriculture Department are another important tool for measuring snow in high-elevation and other hard-to-access places, Hill said. The unmanned stations collect data using a system of automated sensors. 

 

But too few of them exist, Hill said. “They’re expensive to install, they’re expensive to maintain, so there just aren’t that many.”

 

The citizen snow-measuring program, Community Snow Observations, aims to supplement that with people. 

 

“We want to turn the public into these mobile snow telemetry stations,” he said. “You just need a probe to do it.”

 

The measuring device can be as rudimentary as a yardstick, Hill said, but most people venturing into mountains already carry an avalanche probe, a 5- to 6-meter stick that folds down like a tent pole. After an avalanche, the probes are used to feel for people buried in the snow. Probes typically carry measurement markings.

 

“You want to know when you actually find that person how deep they are,” Hill said. “They’re really just a big, long ruler.”

First volunteers in Alaska

 

For the citizen science program, an online tutorial tells participants to find undisturbed snow, push the probe firmly to the ground, read the depth in centimeters and enter the data onto a smartphone app. Participants are asked to repeat that several times and average the measurements.

 

The app records the location and time of the measurement and uploads the information. The program accounts for measurements in continental climate locations with light, dry snow or the wet, dense snow of maritime climates. 

 

Initial measurements were made last winter in Alaska’s Thompson Pass north of Valdez, where other snow research was being conducted.

 

“I recruited some of the folks from Valdez Avalanche Center. They brought friends along,” said Wolken, the Alaska research geologist. “That was our first go at getting sort of a grassroots, citizen science team.”

 

The hundreds of measurements collected far outpaced what the scientists could gather themselves. When NASA announced grants for citizen scientist projects, the researchers jumped to apply, Wolken said.

 

Modeling errors plunge

Preliminary calculations have been “striking,” Hill said, and the subject of a paper written by a doctoral student.

 

“He has results that basically show that the errors in our modeled snow-water equivalent are cut by about 90 percent with this input from public,” Hill said. “We’re thrilled about that.”

 

Other NASA grants in the program will use citizen scientists to collect data on mosquito populations and their breeding environments around the world, water depths in lakes in North Carolina and elsewhere, moisture in soil at various locations, changes in giant kelp across the globe, and images of clouds from the ground in Colorado.

Brits Call for ‘Latte Levy’ to Reduce Cup Waste

Britain should charge a 25-pence ($0.34) levy on disposable coffee cups to cut down waste and use the money to improve recycling facilities, a committee of lawmakers said Friday.

Chains Pret A Manger, Costa Coffee, Caffe Nero and Greggs alongside U.S. firm Starbucks are among the biggest coffee-sellers in Britain, rapidly expanding in the last 10 years to meet increasing demand.

Although some outlets give a discount to customers using their own cup, only 1-2 percent of buyers take up the offer, according to parliament’s environmental audit committee, which said a “latte levy” was needed instead.

2.5 billion cups a year

“The UK throws away 2.5 billion disposable coffee cups every year; enough to circle the planet 5½ times,” said chair of the committee, Mary Creagh.

“We’re calling for action to reduce the number of single-use cups, promote reusable cups over disposable cups and to recycle all coffee cups by 2023,” she said.

The committee said that if the recycling target is not met then disposable coffee cups should be banned.

Bag levy success

In October 2015, Britain introduced a charge of 5-pence on all single-use plastic bags provided by large shops, which led to an 83 percent reduction in UK plastic bags used in the first year.

On Friday the environment ministry said the government was working closely with the sector and had made progress in increasing recycling rates.

“We are encouraged by industry action to increase the recycling of paper cups with some major retail chains now offering discounts to customers with reusable cups,” said a spokeswoman.

“We will carefully consider the committee’s recommendations and respond shortly,” she said.

Apple to Issue Fix for iPhones, Macs at Risk From Chip Flaw

Apple Inc. will release a patch for the Safari web browser on its iPhones, iPads and Macs within days, it said Thursday, after major chipmakers disclosed flaws that leave nearly every modern computing device vulnerable to hackers.

On Wednesday, Alphabet Inc.’s Google and other security researchers disclosed two major chip flaws, one called Meltdown affecting only Intel Corp. chips and one called Spectre affecting nearly all computer chips made in the last decade. The news sparked a sell-off in Intel’s stock as investors tried to gauge the costs to the chipmaker.

In a statement on its website, Apple said all Mac and iOS devices were affected by both Meltdown and Spectre. But the most recent operating system updates for Mac computers, Apple TVs, iPhones and iPads protect users against the Meltdown attack and do not slow down the devices, it added. Meltdown does not affect the Apple Watch.

Macs and iOS devices are vulnerable to Spectre attacks through code that can run in web browsers. Apple said it would issue a patch to its Safari web browser for those devices “in the coming days.”

Starfish Eating Australia’s Great Barrier Reef Alarm Scientists

A major outbreak of coral-eating crown-of-thorns starfish has been found munching Australia’s world heritage-listed Great Barrier Reef, scientists said Friday, prompting the government to begin culling the spiky marine animals.

The predator starfish feeds on corals by spreading its stomach over them and using digestive enzymes to liquefy tissue, and the outbreak hits as the reef is still reeling from two consecutive years of major coral bleaching.

“Each starfish eats about its body diameter a night, and so over time that mounts up very significantly,” Hugh Sweatman, a senior research scientist at the Australian Institute of Marine Science, told Australian Broadcasting Corporation (ABC) radio.

“A lot of coral will be lost,” he said.

That would be a blow for both the ecosystem and the lucrative tourism industry which it supports.

The crown-of-thorns starfish were found in plague proportions last month in the Swains Reefs, at the southern edge of the Great Barrier Reef, by researchers from the reef’s Marine Park Authority, a spokeswoman for the authority told Reuters by phone.

The remote reefs, about 200 km (120 miles) offshore from Yeppoon, a holiday and fishing town some 500 km north of Queensland state capital, Brisbane, are well south of the most-visited sections of the Great Barrier Reef, where most culling efforts are focused.

But the government’s Great Barrier Reef Marine Park Authority already killed some starfish at Swains Reefs in December and will mount another mission this month, a director at the authority, Fred Nucifora, told the ABC.

“The complexity with the Swains Reef location is … they are logistically difficult to access and it is actually quite a hostile environment to work in,” Nucifora said.

Previous outbreaks

There have been four major crown-of-thorns outbreaks since the 1960s in the Great Barrier Reef, but it recovered each time because there were always healthy populations of herbivorous fish. The outbreaks are usually triggered by extra nutrients in the water but the reason for the current outbreak was unclear, Sweatman said.

The reef is still recovering from damage wrought by the worst-ever coral bleaching on record, which in 2016 killed two-thirds of a 700 km stretch of reef.

On Friday, a report published in the journal Science found that high ocean temperatures are harming tropical corals much more often than a generation ago, putting reefs under pressure.

The Great Barrier Reef, covering 348,000 square kilometers, was World Heritage listed in 1981 as the most extensive and spectacular coral reef ecosystem on the planet, according to the UNESCO website.

Investors Skittish, but Marijuana Growers, Sellers to Stay the Course

Marijuana-related stocks plummeted, cannabis boosters worried about the industry’s future and defiant growers and sellers vowed to keep operating after U.S. Attorney General Jeff Sessions signaled a tougher approach Thursday to federal pot enforcement.

The plunging stock prices reversed a weekslong rally driven by optimism for legal recreational sales that started Monday in California. Several marijuana stocks saw double-digit losses in the hours after Sessions’ announcement, including the largest pot-producing company that is publicly traded.

Canopy Growth, a Canada-based company with the ticker symbol WEED, lost $3.58 a share, or 10 percent, to close at $32.32 on the Toronto Stock Exchange.

Shares of garden-supply company Scotts Miracle-Gro also skidded Thursday, following a steady rise last year after it added fertilizer, lights and other products to serve marijuana growers. The company’s share price fell by as much as 7 percent before closing down 2.3 percent, or $2.49, to $106.17 on the New York Stock Exchange.

Investors spooked

“Jeff Sessions’ decision to rescind the Cole memoranda puts the marijuana industry and marijuana legalization efforts in a precarious position,” said Aaron Herzberg, a California lawyer and founder of the cannabis investment company CalCann Holding, referring to an Obama-era memo that limited U.S. crackdowns on pot in states where it’s legal.

Brent Kenyon, a consultant who helps advise and establish recreational marijuana businesses in Oregon, said his phone had been ringing all Thursday with calls from worried clients. Investors, including some who are involved in his businesses, are spooked, he said.

“I’m just telling people to hold off. We need more information, we need to see what the president is going to say about this,” he said by phone from a cannabis conference in Hawaii.

Andy Williams, CEO of the Medicine Man Denver dispensary, is taking a wait-and-see approach to the new policy but pointed out the economic impact of legal pot.

“This industry around the United States has attracted a lot of investment. Billions of dollars in investment,” he said. “Just talking about what Sessions wants to do today has dropped the market.”

​’Business as usual’

Steve DeAngelo, owner of California’s largest marijuana retailer, said it will be “business as usual” at his Harborside dispensary in Oakland.

“I think the main impact of this is really going to be on investors, more than anything else,” he said. “Some investors might get a bit nervous about putting more money into the cannabis industry until the situation resolves itself.”

Another of California’s largest marijuana operators said it also plans no changes in response to Sessions’ announcement.

“For this industry and for this community, we are really based on resilience, going against the tide. This is no different,” said Michael Steinmetz, CEO of Flow Kana, which distributes cannabis products from small, outdoor farmers. “From my perspective, things don’t change.”

Intel Shares Fall as Investors Worry About Costs of Chip Flaw

Intel Corp shares fell nearly 2 percent Thursday as investors worried about the potential financial liability and reputational hit from recently disclosed security flaws in its widely used microprocessors.

The largest chipmaker had confirmed Wednesday that flaws reported by researchers could allow hackers to steal sensitive information from computers, phones and other devices. Apple Inc, Microsoft Corp and other software makers have issued patches to protect against the vulnerabilities.

Intel may be on the hook for costs stemming from lawsuits claiming that the patches would slow computers and effectively force consumers to buy new hardware, and big customers will likely seek compensation from Intel for any software or hardware fixes they make, security experts said.

“The potential liability is big for Intel,” said Eric Johnson, dean of Vanderbilt University’s Owen Graduate School of Management. “Everybody will be scrambling over the next few days to figure out just how big it is.”

Intel has said that the patches for the bugs would slow its chips down somewhat but that most users will not notice.

Amazon Web Services (AWS), the largest seller of cloud computing services, said in a statement it does not “expect meaningful performance impact for most customer workloads.”

Microsoft and Alphabet Inc’s Google both said in statements on their websites that they expect few performance problems for most of their cloud computing customers.

Financial repercussions

But the incident is likely to spur cloud companies to press Intel for lower prices on chips in future talks, said Kim Forrest, senior equity research analyst at Fort Pitt Capital Group in Pittsburgh, which owns shares in Intel.

“What [Intel’s cloud customers] are going to say is, ‘You wronged us, we hate you, but if we can get a discount, we’ll still buy from you,'” Forrest said.

Forrest also expects Intel will have to increase its chip development spending to focus on security.

Government agencies and security experts said they knew of no cyberattacks that had exploited the vulnerabilities.

Financial services firms were studying information on the vulnerabilities to determine how to best respond, said the Financial Services Information Sharing and Analysis Center, a global industry group known as FS-ISAC that shares data on cyberthreats.

Banks and other firms are trying to understand what it will cost to respond to the issue, FS-ISAC said in an emailed statement.

“In addition to the security considerations raised by this design flaw, performance degradation is expected, which could require more processing power for affected systems to compensate and maintain current baseline performance,” FS-ISAC said. “There will need to be consideration and balance between fixing the potential security threat vs. the performance and other possible impact to systems.”

Lawsuit filed

Lawyers filed a lawsuit in San Jose, California, federal court on Wednesday that sought class-action status and compensation for people who had bought vulnerable Intel chips or computers that came with them already installed.

Intel did not immediately respond to a request for comment on Thursday about the lawsuit.

While more lawsuits are expected, Intel’s biggest customers are likely to quietly seek compensation for any harm caused by the vulnerabilities, including costs to patch machines or replace microprocessors, Johnson said.

Legal experts said that consumers would have to prove concrete damages and harm to proceed with claims.

Intel shares fell 1.8 percent, following a 3.4 percent decline Wednesday.

Shares in rival Advanced Micro Devices Inc climbed 4.9 percent as investors speculated the No. 2 maker of microprocessors would woo customers away from Intel.

Still, researchers had said some of AMD’s chips had one of the two vulnerabilities disclosed on Wednesday, as do processors from ARM Holdings.

Vitamin C Might Shorten Tuberculosis Treatment Time, Study Indicates

A new study has found that anti-tuberculosis drugs killed more bacteria in laboratory mice given a vitamin C supplement than those given drugs alone.

If the findings hold up in human studies, the authors say, the result could be that there’s a cheap, safe way to reduce the months-long treatment time for one of the world’s leading killers. Also, the vitamin supplement could offer a way to cut down on the development of drug-resistant TB, a serious health threat.

Tuberculosis is one of the leading causes of death worldwide. According to the World Health Organization, 1.7 million people died of the disease last year. Of more than 10 million new infections, about 600,000 were resistant to the leading drug. 

Front-line drugs attack TB cells as they multiply, but a small proportion of the bacteria survive by going dormant. If therapy stops too soon, these “persisters” start multiplying and the patient relapses, often with strains that are resistant to the drugs.

Current TB treatment takes six months, largely to outlast the persisters. But it’s hard for patients to stay on treatment for so long.

Accidental discovery

Albert Einstein College of Medicine microbiologist William Jacobs and colleagues previously discovered by accident that antioxidants like vitamin C stopped TB bacteria in a test tube from becoming persisters.

“When we first discovered it, it was like, ‘Wow! There’s just so much we don’t know yet. And wouldn’t that be really cool if it really works,’ ” Jacobs said.

The study in the journal Antimicrobial Agents and Chemotherapy said Jacobs and colleagues found that TB-infected mice treated with two standard drugs plus a high dose of vitamin C had roughly tenfold fewer bacteria in their lungs after several weeks than mice treated with drugs alone.

“It’s not sterilization yet,” he added, “but it’s heading in that direction.”

But will it work in people?

“The bottom line is that we don’t know the answer,” Jacobs acknowledged. “But I think what this study suggests is we should really go and [find out].”

Other experts not connected to the study agreed.

Even though there has been very little research on vitamin C and tuberculosis, the nutrient is “a safe compound, it’s widely available, it’s inexpensive,” noted David Alland, associate dean of clinical research at Rutgers New Jersey Medical School. “I think that when we have those kinds of options to look at, we should look at them without having to spend decades trying to figure out exactly how they work.”

And if it does work, he added, “you’d get a big bang for your buck.”

Wall Street’s Love of Tax Cuts Drives Dow to 25,000 Mark

Wall Street sure loves the tax bill, even if polls show most Americans don’t.

The Dow Jones industrial average surged past 25,000 Thursday, a strong signal of investor enthusiasm for President Donald Trump’s $1.5 trillion tax cut. The milestone comes less than a year after the Dow topped 20,000.

“We broke a very, very big barrier,” Trump said Thursday at the White House. “Every time you see that number go up on Wall Street it means jobs, it means success, it means 401(k)s that are flourishing.”

It’s easy to see why investors like the tax overhaul: Businesses will benefit from a steep cut in the corporate tax rate. They’ll also be able to fully deduct the cost of major purchases from their taxable income, reducing the amount they owe. And companies with large stockpiles of cash overseas can bring the money back to the United States at new, lower rates.

All told, Wall Street analysts estimate the tax package should boost earnings for companies in the Standard & Poor’s 500 index by roughly 8 percent this year. That’s much more generous than the average tax cut of 1.6 percent that middle-class families will receive, according to the Tax Policy Center.

“All else being equal, this should go straight to the bottom line,” said David Joy, chief market strategist for Ameriprise Financial, a financial services company based in Minneapolis. Improved corporate profits contributed to the market’s gains last year.

The public has been less enthusiastic about the tax law. A Monmouth University poll last month found that nearly half of Americans disapproved of it, with only 26 percent in support.

Where profits will go

Still, some workers have seen a benefit: So far, nearly 20 large companies have announced bonuses and higher minimum wages as a result of the tax cut. AT&T, Comcast, Bank of America, and American Airlines have all pledged to pay $1,000 bonuses to their employees.

Investors also appear less concerned than many politicians about how the additional profits will be used. The Trump administration says it expects companies will plow much of the extra profit back into their businesses, purchasing more software, machinery, and other equipment. Those investments will make workers more productive and provide a key boost to the economy’s long-run growth. They should also boost wages and salaries for employees.

Opponents of the tax law respond that companies are more likely to pass the windfall on to shareholders in the form of higher dividend payments and share buybacks, which raise the price of those shares still in investors’ hands. Previous cuts in corporate tax rates, in the U.S. and overseas, haven’t always led to higher wages.

For Wall Street, it’s all good, at least in the short run. Most analysts take the view that either way, companies and the economy will benefit. Whether businesses pass most of the extra money to workers or to shareholders, consumer spending should increase and lift economic growth.

Trump has repeatedly made highly optimistic claims about the impact of his tax cuts and other policies on the economy, speculating that they would lead to annual growth of 4 percent or higher.

Expectations

Last month, the Treasury Department estimated that the economy will expand at a 2.9 percent annual rate for the next decade.

Private economists, as well as the Federal Reserve, forecast a more modest impact. Most expect growth will be closer to 2.5 percent in 2018 and slower than that in subsequent years.

Some companies and sectors will likely benefit more than others, particularly if they derive most of their income from the United States. Analysts at Goldman Sachs estimate that large banks will see their earnings rise by 13 percent as a result of the corporate rate cut. Wells Fargo will likely see the biggest gain, at 18 percent.

Analysts at Stifel, an investment bank, project that some restaurant chains could see earnings boosts of 20 percent or more, including Chipotle, Wingstop and Domino’s Pizza.

Barclays, another bank, says that technology and pharmaceutical firms, which are already paying lower taxes because they have lots of cash overseas, will see much smaller increases of less than 4 percent.

The legislation’s corporate tax cut is not necessarily as dramatic as it seems, because most corporations don’t end up paying the full 35 percent rate. Barclays estimates that the “effective” tax rate — what companies actually pay — will drop from 26 percent to 20.1 percent.

Shareholders vs. investment

Joy and other analysts think that most of the money brought back from other countries will go to shareholders, rather than investment. That’s what happened in 2004, when companies were given a one-time low rate on repatriated cash as an inducement.

Opinions differ, however, when it comes to the additional profits that result from the tax cut. Many economists expect that most of those dollars will also be passed on to shareholders.

Glenn Hubbard, an economist at Columbia Business School and former top economist for President George W. Bush, says the corporate tax cut will eventually benefit workers through higher pay. That will also boost the economy and most businesses by lifting spending.

“Any way you slice it, it’s good for companies,” Hubbard said.

For much of last year, the stock market’s gains were helped by a synchronized global recovery, with economies from Europe to Asia to Latin America expanding simultaneously for the first time in a decade.

Since November, investors’ anticipation of a tax cut has pushed markets higher, said Keith Parker, an analyst at UBS.

Still, the market’s outsize return only benefits a narrow slice of the population. According to research by Edward Wolff, an economist at New York University, just 10 percent of the population owns 84 percent of the stock market’s value.

“That benefit won’t accrue to everybody, certainly,” Joy said.

Interior Department Wants to Open 90 Percent of US Continental Shelf to Drilling    

The U.S. Department of the Interior has announced plans to open up 90 percent of America’s coastal waters to oil drilling, including off California and Florida, two areas where activists have worked for years to protect marine ecosystems from oil spills.

The proposed five-year plan released Thursday is much more expansive than one issued by President Donald Trump in April last year. The Interior Department is proposing 47 possible auctions of drilling rights in nearly all parts of the U.S. continental shelf.

It is a major increase from the 11 lease sales during the Obama administration.

The draft plan would allow the sale of drilling leases in 25 of the nation’s 26 offshore planning areas, including 19 areas in the waters around Alaska, seven in the Pacific Ocean, and nine in the Atlantic Ocean.

One area considered off-limits is the waters near Alaska’s far-western Aleutian Islands, which were protected by former President George W. Bush.

“We are going to become the strongest energy superpower this world has ever known,” Interior Secretary Ryan Zinke told reporters Thursday in a conference call. “We want to grow our nation’s offshore energy industry, instead of slowly surrendering it to foreign shores. We will produce enough energy to meet our needs at home, and we will export enough energy to lead the world.”

Zinke also said in a news release Thursday that “responsibly developing our energy resources” is important to the U.S. economy and will help fund coastline conservation. He said the broad proposal is meant to kick off a “lengthy and robust” public comment period.

“Not all areas are appropriate for offshore drilling, and we will take that into consideration in the coming weeks,” he said.

The Department of the Interior is in charge of setting the start date of the 60-day public comment period. 

Some critics of the proposal have already let their feelings be known. 

Florida Governor Rick Scott, an ally of Trump, has already vowed to fight attempts to drill in Florida. In a statement Thursday, Scott said, “I have already asked to immediately meet with Secretary Zinke to discuss the concerns I have with this plan and the crucial need to remove Florida from consideration.”

Another Trump ally in Florida, Representative Matt Gaetz, has also said he is opposed to drilling off the Florida coast.

The administration is currently operating under the five-year plan set by the Obama administration, which covers 2017-2022. Initially, President Barack Obama had proposed drilling off the Atlantic Coast and off Alaska’s Arctic shore, but both proposals were dropped in the final plan.

Last year, Zinke took a number of steps to make it easier to lease and explore for onshore and offshore oil, including removing some safety regulations put into place after the Deepwater Horizon oil spill in the Gulf of Mexico. 

Eleven people died in the initial explosion on the Deepwater Horizon in 2010, and the resulting oil spill — an estimated total of 4.9 billion barrels over five months — is considered the largest industrial spill in the history of the petroleum industry.

YouTube Star Logan Paul Steps Away From Posting After Outcry

YouTube star Logan Paul has stepped away from posting videos following an outcry when he uploaded images of what appeared to be the body of someone who killed themselves in a Japanese forest.

Paul took to Twitter on Wednesday to say he was suspending his video blog “for now” and “taking time to reflect.”

A petition on Change.org that demands his YouTube channel be deleted had been signed by more than 125,000 people by Thursday morning.

Paul created a furor when he posted a video of him in a forest near Mount Fuji showing what seemed to be a body hanging from a tree.

The video was viewed some 6 million times before being removed from Paul’s YouTube channel, a verified account with more than 15 million subscribers.

A storm of criticism followed despite two apologies, with commenters saying Paul seemed disrespectful and that his initial apology was inadequate.

In Paul’s initial apology, he said he had wanted to raise awareness about suicide and possibly save lives, and he denied his goal was to drive clicks to his social media content.

“I thought I could make a positive ripple on the internet, not cause a monsoon of negativity,” he said in his Twitter post.

“I don’t expect to be forgiven. I’m simply here to apologize,” he said on the more somber video apology uploaded on YouTube and Twitter late Tuesday. “None of us knew how to react or how to feel.”

Death Rates After Surgery Twice as High in African Hospitals

Patients in African hospitals are twice as likely to die after surgery than the global average, according to a new study.

Although African patients were younger and at lower risk than average, 1 percent died of complications after elective surgery, compared to a 0.5 percent death rate worldwide.

“It’s really concerning when you see how high the mortality is, considering that the patients are generally fit and they’re having a lot more minor surgeries,” lead author Bruce Biccard of the University of Cape Town said.

Workforce and resource shortages across the continent are likely a major factor, the authors of the study write in the journal The Lancet.

The group of more than 30 African researchers took a one-week snapshot of surgeries at 247 hospitals in 25 African countries, from Algeria to Madagascar.

The study found a severe shortage of African surgeons, obstetricians and anesthesiologists. Previous research has found that fewer patients die after surgery when there are 20 to 40 specialists per 100,000 population. Across the continent, this study found an average of less than one per 100,000.

In addition to the high death rate, “the most alarming finding was how few people actually received surgery,” noted a commentary accompanying the study. An expert panel has estimated that 5 percent of the population needs surgery in a year. African hospitals on average performed less than one-twentieth of that figure.

It noted that patients were receiving surgery later in the course of their diseases. Nearly 60 percent of the operations were urgent or emergency procedures, compared with about a quarter in high-income countries.

Most of the patients who died did not do so on the operating table, but in the days following surgery.

“We’re actually failing to recognize patients who are having complications in the post-op period,” study author Biccard said. “So a minor complication becomes a major complication.”

That offers an opportunity for improvement, Biccard noted. Since increasing the number of doctors is unlikely in the short term, his group is working on a method “that will tell us before surgery which patients we think are going to get into trouble.”

His group is planning a study in 2019 to see if they can reduce patient deaths by focusing limited resources on patients at the highest risk.

Dow Breaks 25,000 Barrier for First Time

The Dow Jones Industrial Average broke through the 25,000-threshold for the first time Thursday, and notched another 1,000-point milestone. The index of blue-chip stocks is studded with industrial heavyweights such as Boeing and Caterpillar.

Among the biggest gainers were technology companies and banks. Wells Fargo jumped 1.9 percent and Microsoft rose 0.7 percent.

U.S. President Donald Trump tweeted Thursday morning, “Dow just crashes through 25,000. Congrats! Big cuts in unnecessary regulations continuing.”

 

The Dow increased 118 points, or 0.5 percent, to 25,037. The Nasdaq edged up 16 points to 7,081.

This latest record came in early trading Thursday — only five weeks after closing above 24,000 points for the first time.

Other major indexes also rose to new levels, driven by a strong report on private jobs.

The recent rally has been spurred by faster economic gains around the world, along with a more optimistic outlook from businesses and consumers.

Australia Plans Legal Cannabis Exports to a Lucrative World Market

Australia said Thursday it planned to become the fourth country in the world to legalize medicinal marijuana exports in a bid to score a piece of the estimated $55 billion global market.

Cannabis cultivation in Australia is still relatively small, as recreational use remains illegal. But the government hopes domestic medicinal use, legalized last year, and exports will rapidly boost production.

“Our goal is very clear: to give farmers and producers the best shot at being the world’s No. 1 exporter of medicinal cannabis,” Health Minister Greg Hunt told reporters in Melbourne.

Company shares rise

Shares in the more than a dozen Australian cannabis producers listed on the local exchange soared after the announcement.

Cann Group ended the day up 35 percent; AusCann Group rose nearly 54 percent; and BOD Australia closed up about 39 percent. All were record highs for those companies. Hydroponics Company finished up 30 percent, hitting its highest price in five weeks.

Peter Crock, chief executive of Cann Group, which cultivates cannabis for medicinal and research purposes, said medicinal marijuana production had been stymied by limited demand from Australian patients.

“While the Australian patient base is growing, it is very small,” Crock told Reuters. “Being able to export will allow us to have the scale to increase production.”

Hunt said the new legislation would include a requirement that growers first meet demand from local patients before exporting the remainder of their crop.

Three countries export

Despite growing demand, only Uruguay, Canada and the Netherlands have so far legalized the export of medicinal marijuana. Israel has said it intends to do so within months.

The Australian government’s proposal needs to pass federal parliament when it returns to session in February. The country’s main opposition Labor Party has signaled it would support the move. Exports would then likely begin within months.

Fuelled by a growing acceptance of the benefits of marijuana to manage chronic pain, moderate the impact of multiple sclerosis and to soften the effects of cancer treatment, several countries and 29 states in the United States have legalized cannabis for medicinal use.

Australia’s chief commodity forecaster does not publish data on cannabis production, but rough estimates by the University of Sydney estimated the legal industry at A$100 million ($78 million), well below the C$4 billion ($3.19 billion) that Canada estimates its market to be worth.

U.S. consultants Grand View Research last year forecast the global medicinal cannabis market would be worth $55.8 billion by 2025.

Astronauts: Trump’s Proposed Moon Mission Will Take Time

American astronauts aboard the International Space Station told VOA on Wednesday that their excitement about recently announced plans to restore U.S. manned space missions to lunar orbit was eclipsed only by their skepticism about the logistical feasibility of completing the mission within six years.

“Going back to the moon is a bigger project than a lot of people think,” said Expedition 54 Flight Engineer Scott Tingle, who joined fellow NASA astronaut Mark Vande Hei at the ISS on December 19.

Just last month, David Kring, head of the Lunar and Planetary Institute at the Universities Space Research Association, said the first unmanned launch in the program to get back to the moon could come in a little more than a year.

Kring, who was present at Trump’s signing ceremony for the new lunar policy directive, which came 45 years to the day after Apollo 17’s final moon landing on December 13, 1972, said an unmanned mission to lunar orbit could happen by 2019.

“That will launch the Orion crew vehicle and will orbit the moon without astronauts,” Kring told VOA. “Then in 2023 the vehicle launches again, this time with astronauts who will orbit the moon and return. After that is successful, we can actually deploy the astronauts in space [in between the Earth and the moon].”

US, Russia to cooperate

Russia and the United States in September agreed to cooperate on a NASA-led program to build the first lunar space station as part of a longer-term mission to send humans to Mars. Both countries said a manned lunar spaceport could be orbiting the moon by 2024, when the International Space Station program is slated to end.

Speaking with VOA’s Russian service via an ISS live-feed broadcast by NASA’s Mission Control Center in Houston, Texas, Tingle said successfully launching a manned vehicle into lower-moon orbit by 2023 might not be as simple as it sounds.

“Just because we’ve done it before doesn’t mean we’re that close to doing it now,” Tingle said. “We’ve got a lot of work to do, a lot of engineering to do, a lot of planning to do, a lot of operations to do, and it’s going to be expensive. It’s going to take a lot of manpower, and it’s going to take a lot of thinking outside the box to make it as quickly and efficiently as we can.

“And we can’t do that alone,” he added. “We’re going to need to do it with international partners. So I do believe the international partnership will work; I believe it will be necessary to have a really good product and to be able to achieve success with that mission goal.”

‘A wise step’

Despite the logistical challenges, Tingle’s U.S. colleague aboard the ISS, Mark Vande Hei, expressed optimism about the new lunar directive.

“I think it’s an extremely wise step,” Vande Hei said. “I think the moon provides us an excellent opportunity to rehearse, relatively close to the Earth, inhabiting a planetary-sized object with the ability, if things go wrong, to get people back relatively easily when compared with going to Mars.”

“I think it’s going to be a huge step for humanity to have a lasting presence anyplace other than lower-Earth orbit,” he added. “I’m really looking forward to getting people on the moon, keeping them there for long periods of time, and then using that as a way to test out equipment to get ready to make sure we do it safely when we finally do get to Mars.”

Tingle was part of a trio of U.S., Japanese and Russian astronauts to join Vande Hei aboard the ISS on December 19.

Vande Hei, who has been aboard the ISS since September, floated aside Tingle and Norishige Kanai of the Japan Aerospace Exploration Agency throughout the interview.

New Year’s in space

The three astronauts, Tingle said, shared a New Year’s Eve dinner with the three Russian astronauts inhabiting another wing of the ISS.

“New Year’s Day, we took a little bit of time off, but more importantly we celebrated by having a nice, good dinner with our Russian colleagues down in the Russian segment,” Tingle said. “They were hospitable to us, and it was fun to sit and relax with them.”

Asked if they popped a bottle of champagne to ring in 2018, Tingle paused, passing the microphone to Vande Hei.

“No, we’re not allowed any alcohol,” said Vande Hei. “But our Russian crewmates went ahead and made us some grape juice with labels that made it look like we had champagne, so that was kind of fun to pretend.”

This story originated in VOA’s Russian service.

Mormon Church Leader Thomas Monson Dies at 90  

Mormon church leader Thomas Monson has died, the church announced Wednesday from its Salt Lake City headquarters. 

He was 90 years old and led the church for 10 years.

Monson became a church bishop when he was just 22, and at age 36 became the youngest apostle in Mormon church history.

Monson was well-respected by Mormons all over the world for his dedication to humanitarian causes, from disaster relief to the simplicity of urging members to bring comfort to someone who is lonely. 

Monson was also a successful newspaper publisher.

The Mormon church is formally known as the Church of Jesus Christ of Latter-Day Saints and was founded in New York state in 1830.

Its 16 million followers around the world regard the church leader as a prophet who received define revelation.

US Auto Sales Decline, Ending Record Streak

Auto sales in the United States fell by 2 percent in 2017, the first decline in seven years.

Ford Motor reported Wednesday that its new vehicle sales fell 1 percent, as did those of General Motors. Fiat Chrysler reported a decline of 8 percent compared with 2016. Volkswagen said its sales in the U.S. rose by 5 percent.

But even with the decline, the industry sold 17.2 million cars, making 2017 the fourth-best sales year in U.S. history, after 2000, 2015 and 2016, according to Kelley Blue Book.

For the 36th straight year, Ford’s F-Series pickup truck remained the top-selling vehicle in the country. Mercedes-Benz was the top selling luxury brand, even with a sales decline of 1 percent.

Analysts expect auto sales to fall in 2018 because of higher interest rates. But they say the vehicles themselves are to blame for some of the decline. The newer models are more durable so drivers are holding on to their cars longer. The average age of vehicles on the road has climbed to 11.6 years, up from 8.8 years in 1998.

Despite the decline, the industry remains robust. The average price of a new vehicle reached an all-time high last year of $36,113, as drivers bought bigger SUVs with more sophisticated technology.

“It’s still a buoyant industry and the underlying factors that drive it are still very positive,” Ford’s U.S. sales chief, Mark LaNeve, said.

Security Flaws Put Virtually All Phones, Computers at Risk, Researchers Say

Security researchers on Wednesday disclosed a set of security flaws that they said could let hackers steal sensitive information from nearly every modern computing device containing chips from Intel Corp., Advanced Micro Devices Inc. and ARM Holdings.

One of the bugs is specific to Intel but another affects laptops, desktop computers, smartphones, tablets and internet servers alike. Intel and ARM insisted that the issue was not a design flaw, but it will require users to download a patch and update their operating system to fix.

“Phones, PCs — everything is going to have some impact, but it’ll vary from product to product,” Intel CEO Brian Krzanich said in an interview with CNBC Wednesday afternoon.

Researchers with Alphabet Inc.’s Google Project Zero, in conjunction with academic and industry researchers from several countries, discovered two  flaws.

The first, called Meltdown, affects Intel chips and lets hackers bypass the hardware barrier between applications run by users and the computer’s memory, potentially letting hackers read a computer’s memory and steal passwords.

The second, called Spectre, affects chips from Intel, AMD and ARM and lets hackers potentially trick otherwise error-free applications into giving up secret information.

The researchers said Apple Inc. and Microsoft Corp. had patches ready for users for desktop computers affected by Meltdown. Microsoft declined to comment and Apple did not immediately return requests for comment.

Daniel Gruss, one of the researchers at Graz University of Technology in Austria who discovered Meltdown, said in an interview with Reuters that the flaw was “probably one of the worst CPU bugs ever found.”

Specter a long-term issue

Gruss said Meltdown was the more serious problem in the short term but  could be decisively stopped with software patches. Specter, the broader bug that applies to nearly all computing devices, is harder for hackers to take advantage of but less easily patched and will be a bigger problem in the long

term, he said.

Speaking on CNBC, Intel’s Krzanich said Google researchers told Intel of the flaws “a while ago” and that Intel had been testing fixes that device makers who use its chips will push out next week. Before the problems became public, Google on its blog said Intel and others planned to disclose the issues on January 9.

The flaws were first reported by The Register, a tech publication. It also reported that the updates to fix the problems could cause Intel chips to operate 5 percent to 30 percent more slowly.

Intel denied that the patches would bog down computers based on Intel chips.

“Intel has begun providing software and firmware updates to mitigate these exploits,” Intel said in a statement. “Contrary to some reports, any performance impacts are workload-dependent, and, for the average computer user, should not be significant and will be mitigated over time.”

ARM spokesman Phil Hughes said that patches had already been shared with the companies’ partners, which include many smartphone manufacturers.

“This method only works if a certain type of malicious code is already running on a device and could at worst result in small pieces of data being accessed from privileged memory,” Hughes said in an email.

AMD chips are also affected by at least one variant of a set of security flaws but that can be patched with a software update. The company said it believes there “is near zero risk to AMD products at this time.”

Google’s report

Google said in a blog post that Android phones running the latest security updates are protected, as are its own Nexus and Pixel phones with the latest security updates. Gmail users do not need to take any additional action to protect themselves, but users of its Chromebooks, Chrome web browser and many of its Google Cloud services will need to install updates.

The defect affects the so-called kernel memory on Intel x86 processor chips manufactured over the past decade, allowing users of normal applications to discern the layout or content of protected areas on the chips, The Register reported, citing unnamed programmers.

That could make it possible for hackers to exploit other security bugs or, worse, expose secure information such as passwords, thus compromising individual computers or even entire server networks.

Dan Guido, chief executive of cybersecurity consulting firm Trail of Bits, said that businesses should quickly move to update vulnerable systems, saying he expects hackers to quickly develop code they can use to launch attacks that exploit the vulnerabilities.

“Exploits for these bugs will be added to hackers’ standard toolkits,” said Guido.

Shares in Intel were down by 3.4 percent following the report but nudged back up 1.2 percent to $44.70 in after-hours trading, while shares in AMD were up 1 percent to $11.77, shedding many of the gains they had made earlier in the day when reports suggested its chips were not affected.

It was not immediately clear whether Intel would face any significant financial liability arising from the reported flaw.

“The current Intel problem, if true, would likely not require CPU replacement in our opinion. However the situation is fluid,” Hans Mosesmann of Rosenblatt Securities in New York said in a note, adding it could hurt the company’s reputation.

Blackberry Surges on Deal With Baidu for Self-driving Cars

BlackBerry Ltd and Chinese internet search firm Baidu Inc on Wednesday signed a deal to jointly develop self-driving vehicle technology, sending BlackBerry’s Toronto-listed shares up 13 percent to a four-year high.

The deal follows similar agreements with firms including Qualcomm Inc, Denso and Aptiv Plc to develop autonomous-driving technology with BlackBerry’s QNX software, which are expected to start generating revenue in 2019.

Investors and analysts are closely watching what comes of those agreements amid expectations that QNX could become a key technology in the burgeoning self-driving vehicle industry, serving as the operating system for computer chips used to run self-driving vehicles.

QNX will be the operating system for Apollo, a platform for self-driving vehicles that Baidu announced in April and has billed as the “Android” of the autonomous driving industry.

“The opportunity is global, it’s for a very large market and I think it’s a very solid win for BlackBerry,” said CIBC Capital Markets analyst Todd Coupland.

Apollo has since signed up several major automakers, including Ford Motor Co, Hyundai Motor Group and several Chinese carmakers.

QNX has long been used to run car infotainment consoles. BlackBerry has recently developed the software to run sophisticated computer chips for autos that manage multiple safety-critical systems.

BlackBerry shares rose 13 percent in Toronto to C$16.95, their sharpest one-day gain since April and highest close since March 2013.

The two companies said they will also integrate Baidu’s CarLife, a leading smartphone integration software for connected cars in China, its conversational AI system and high definition maps with BlackBerry’s infotainment platform.