2013 12 31 cmyk NA 04online.wsj.com/public/resources/documents/pageone123113.pdf · 2018-08-27 ·...
1
YELLOW ****** TUESDAY, DECEMBER 31, 2013 ~ VOL. CCLXII NO. 154 WSJ.com HHHH $2.00 DJIA 16504.29 À 25.88 0.2% NASDAQ 4154.20 g 0.1% NIKKEI 16291.31 À 0.7% STOXX 600 327.13 g 0.2% 10-YR. TREAS. À 8/32 , yield 2.976% OIL $99.29 g $1.03 GOLD $1,203.10 g $11.00 EURO $1.3803 YEN 105.14 CONTENTS CFO Journal................. B5 Corporate News B1-4,6 Global Finance............ C3 Health & Wellness D1-3 Heard on Street ..... C10 In the Markets........... C4 Leisure & Arts............ D5 Markets Dashboard C5 Opinion................... A11-13 Sports.............................. D6 U.S. News................. A2-4 Weather Watch........ B6 World News............ A8,9 s Copyright 2013 Dow Jones & Company. All Rights Reserved > What’s News i i i World-Wide n Putin ordered tightened se- curity after a second suicide blast in less than 24 hours killed at least 14 people in the Russian city of Volgograd. A1 n The FAA chose six sites to test drones, a step toward eventually integrating com- mercial unmanned aircraft into the U.S. aviation system. A3 n Iraqi forces raided and dis- mantled an antigovernment protest camp, raising the risk of more sectarian strife. A9 n Insurers raced to com- plete enrollments and pro- cess payments under the new federal health-care law. A4 n Kerry plans to propose a peace framework to Israelis and Palestinians. Israel freed 26 Palestinian prisoners. A9 n Congolese troops quashed an apparent revolt by backers of an ex-presidential candidate, killing at least 60 gunmen. A9 n The U.S. population grew just 0.72% between July 2012 and July 2013, the weakest rate since after the Depression. A2 n A medical panel recom- mended annual lung-cancer screenings for many former and current smokers. A3 n A double derailment of a grain train and a crude-oil train in North Dakota sparked fire and explosions. A2 n China identified eight people shot dead and a ninth arrested in a far-west area as terrorists carrying out an attack. A9 i i i U .S. stocks are set to post their best year since 1995, with “plain-vanilla” portfolios outperforming more complex investments. A1 All 10 of the S&P 500’s sec- tors are set to finish the year in positive territory. C4 The Dow rose 25.88 to a record 16504.29 on the year’s next-to-last day of trading. C4 Japanese shares surged 57% in 2013, ending the year at a six-year high of 16291.31. C4 n Cooper Tire halted its sale to India’s Apollo after efforts by Apollo to cut the share price. Cooper plans to pursue a $112.5 million breakup fee. B1 n Private-equity firms are set to return more than $120 billion to investors in 2013, topping last year’s record. C1 n China is ending its freeze on initial public offerings, al- lowing five companies to start IPOs beginning Jan. 2. C3 n China’s financial system steadied as short-term rates retreated to normal levels. C3 n Hertz enacted a share- holder-rights plan to prevent investors from gaining con- trol of the rental-car firm. B2 n Coffee prices tumbled 20% this year, capping the biggest two-year plunge in a decade. C1 n France’s Sanofi said it would appeal the FDA’s rejec- tion of its new MS drug. B3 n An Indian panel cleared in- vestments by Vodafone and Tesco of over $1.5 billion. B3 Business & Finance In the best year for U.S. stocks since 1995, the smart way to play the markets has been to follow the dumb money. So-called dumb-money strate- gies, which involve buying and holding a plain-vanilla portfolio of U.S. stocks, did much better than the more complex approaches em- ployed by hedge funds and other professional investors. Fueled by easy money from the Federal Reserve and signs of im- provement in the economy, the Dow Jones Industrial Average goes into the final day of 2013 with a gain of 29% once dividends are included, while the S&P 500 index has climbed 32% with divi- dends. Those gains far outpace the rally predicted by even the most bullish Wall Street strategists. Many hedge funds were left in the dust, alongside investors who use “tactical” timing of the mar- kets’ ups and downs and those who spread their bets among a wide variety of assets such as commodities, emerging markets and exchanged-traded funds. “The more colorful your pie chart, the worse you did,” said Lawrence Glazer, managing part- ner at Boston’s Mayflower Advi- sors, which oversees $1.5 billion. It isn’t always this way with big stock-market rallies. A more typi- cal year was 2003 when the Dow rose 28% including dividends. That year, the MSCI Emerging Please turn to page A4 BY TOMI KILGORE AND TOM LAURICELLA Winners Of 2013: Boring Investors MOSCOW—A suicide bomber struck in the southwest Russian city of Volgograd on Monday, killing at least 14 people in the city’s second terrorist attack in less than 24 hours and stoking security fears in the country ahead of the Winter Olympics. Russian President Vladimir Putin ordered security to be tightened around the country af- ter the second attack, which comes less than six weeks before the games are set to start in the Black Sea resort of Sochi. The repeated bombings, and risk of additional violence, threaten to tarnish an event on which Mr. Putin has staked his personal pride and the country has spent $50 billion to stage. Russia’s hosting of the games has already weathered heavy criticism abroad because of the recent passage of a controversial law banning gay “propaganda,” which has led to calls for a boy- cott among gay-rights groups. A top rebel leader in the country’s restive North Caucasus region has called for attacks in the run-up to the event, and the repeated targeting of Volgo- grad—a city formerly known as Stalingrad situated about 425 miles from the Olympic site—ap- pears aimed at raising anxiety before the games, which Russia has poured significant resources into protecting. Extensive secu- rity requirements and other lo- gistical challenges have made Sochi less of a draw for foreign visitors than previous Olympics. The twin attacks—first at the city’s central train station and, on Monday, aboard a crowded trolley bus—were the deadliest in the country in nearly three years. Though there was no immediate claim of responsibility, authorities said initial indications suggested the blasts were the work of Isla- mist terrorists from the volatile North Caucasus region. “This is about embarrassing the Russian government and cre- Please turn to page A8 BY LUKAS I. ALPERT AND GREGORY L. WHITE Putin Orders Tighter Security After Twin Suicide Blasts DALAN CHAPARA, India—Lalasa Devi says that before her attacker grabbed her by the throat, he snarled “Chamar,” the name of the so-called untouchable caste into which she was born. “What can you do to me?” Then he threw her to the ground and raped her, she says. Ms. Devi, a mother of four in her mid-30s, says authorities treated her poorly when she registered a complaint against her alleged as- sailant, who belongs to a high caste in this small northern Indian village. Nine months after the alleged rape, the man she accused is free on bail, and it isn’t clear when a trial will begin. “I’m dying of shame,” she said in a recent interview, covering her head with the corner of her sari. “All I had was my honor…you lose that, you have nothing.” She authorized The Wall Street Journal to use her name. Women across India face daunting obsta- cles in pressing sexual-assault allegations. An unfriendly justice system and fear of social stigma make many reluctant even to report such crimes, women’s rights advocates say. Rural, lower-caste women such as Ms. Devi also face pervasive and deeply rooted discrimination against those once called “un- touchables”—now known as Dalits, or op- pressed people. “It’s the mind-set of the dominant castes,” says Deepika, a Dalit- rights activist in New Delhi who uses only one name. “To them, raping a Dalit woman is not a sin.” A court in the western state of Rajasthan in 1995 acquitted five men of rape, saying upper-caste men couldn’t have raped a Dalit. The state has asked a higher court to review that case—a request that is still pending. Attitudes toward Dalits have improved since the 1990s, and a wrenching national di- alogue now is under way about sexual as- Please turn to page A10 BY KRISHNA POKHAREL AND TRIPTI LAHIRI ‘DYING OF SHAME’ India Rape Cases Colored by Caste President Barack Obama ex- its 2013 in the weakest politi- cal position of his presidency and now faces a basic strategic choice: Does he try to recover by working with Republicans in Congress, or by confronting them heading into next year’s midterm elections? By almost any measure, 2013 was, as Democratic pollster Peter Hart put it, “a terribly ragged year” for the president, who saw his approval ratings plunge and his agenda stall. One glimmer of light emerged at year’s end, when the two parties agreed on a deal to set- tle long-festering budget dis- putes through the new year. That now leaves it unclear whether Washington is enter- ing a new phase in which the president seeks more compro- mises with Republicans to move at least part of his agenda through Congress, or whether he instead strikes out on his own by using executive action as a way to advance his program while underscoring his philosophical differences with the GOP on issues such as a higher minimum wage and ex- tended unemployment benefits. For most of 2013, Mr. Obama has been unable to move key proposals such as new controls on gun sales. Meantime, his indecision on whether to actively engage in Syria’s civil war has hurt his image as a leader as that con- flict festers and Syrian Presi- dent Bashar al-Assad remains in power. Worst of all for the White Please turn to page A7 BY GERALD F . SEIB Obama Seeks Way To Right His Ship As the Year Turns, No Sign of a Thaw in U.S.-Afghan Relations WINTER OF DISCONTENT: Children stood in the snow outside their shelter Monday in Kabul. The U.S. is urging Afghan President Hamid Karzai to sign a pact that would allow some U.S. and other NATO troops to remain past 2014 and would clear the way for billions in aid for the impoverished country. Omar Sobhani/Reuters GLENDALE, Calif.—At just 8 years old, Glen Bearian, “Meat- ball” to his friends and fans, has already become a local legend, his exploits celebrated on T- shirts, tote bags and a popular Twitter feed. On New Year’s Day, he will get national attention, when this city makes him the center- piece of its entry in the annual Rose Parade. But while the Los Angeles sub- urb’s flower-fes- tooned float will present a national TV audience with the upbeat theme “Let’s Be Neighbors,” off camera, a not-so-neighborly spat is playing out over the use of Meatball’s name by others look- ing to sell his story. For Meatball, caught in the middle, it could all be too much to bear—that is, if he wasn’t a bear. A 600-pound California Black Bear, to be specific. Meatball made his first public appearance in March of last year, foraging for snacks in the trash at homes in a woodsy neighborhood in the foothills just north of Los Angeles. He earned his nick- name after he was spotted eating from a discarded package of meat- balls. “That’s when Meatball—the leg- end, the myth, the bear—was born,” says Andrew Hughan, spokes- man for the California Depart- ment of Fish and Wildlife. Twice, Meatball was trapped and transported to the nearby Angeles National Forest, once Please turn to page A10 BY ERICA E. PHILLIPS In Southern California, Spat Simmers Over a Trashy Celeb’s Fame i i i While ‘Meatball’ the Bear Stars In Rose Parade, Funders Feud Over Story Glen ‘Meatball’ Bearian ANALYSIS Volgograd RUSSIA KAZAKH. GEORGIA AZER. ARM. TURKEY UKR. Black Sea 200 miles 200 km Sochi C A U C A S U S M T S . C A U C A S U S M T S . C a s p i a n S e a Notice to Readers WSJ.com will publish throughout New Year’s Day. The Wall Street Journal print edition won’t be published. TODAY IN PERSONAL JOURNAL How to Be More Rational PLUS The Year in Sports Photos Getty Images WSJ Year in Review Tragedy, transition and triumph in the news... A5-A7 Coming Thursday: Year-End Review of Markets C M Y K Composite Composite MAGENTA CYAN BLACK P2JW365000-6-A00100-1--------XA CL,CN,CX,DL,DM,DX,EE,EU,FL,HO,KC,MW,NC,NE,NY,PH,PN,RM,SA,SC,SL,SW,TU,WB,WE BG,BM,BP,CC,CH,CK,CP,CT,DN,DR,FW,HL,HW,KS,LA,LG,LK,MI,ML,NM,PA,PI,PV,TD,TS,UT,WO P2JW365000-6-A00100-1--------XA
Transcript of 2013 12 31 cmyk NA 04online.wsj.com/public/resources/documents/pageone123113.pdf · 2018-08-27 ·...
YELLOW
* * * * * * TUESDAY, DECEMBER 31, 2013 ~ VOL. CCLXII NO. 154 WSJ.com HHHH $2 .00
DJIA 16504.29 À 25.88 0.2% NASDAQ 4154.20 g 0.1% NIKKEI 16291.31 À 0.7% STOXX600 327.13 g 0.2% 10-YR. TREAS. À 8/32 , yield 2.976% OIL $99.29 g $1.03 GOLD $1,203.10 g $11.00 EURO $1.3803 YEN 105.14
CONTENTSCFO Journal................. B5Corporate News B1-4,6Global Finance............ C3Health & Wellness D1-3Heard on Street..... C10In the Markets........... C4
Leisure & Arts............ D5Markets Dashboard C5Opinion................... A11-13Sports.............................. D6U.S. News................. A2-4Weather Watch........ B6World News............ A8,9
s Copyright 2013 Dow Jones & Company.All Rights Reserved
>
What’sNews
i i i
World-Widen Putin ordered tightened se-curity after a second suicideblast in less than 24 hourskilled at least 14 people in theRussian city of Volgograd. A1nThe FAA chose six sites totest drones, a step towardeventually integrating com-mercial unmanned aircraft intothe U.S. aviation system. A3n Iraqi forces raided and dis-mantled an antigovernmentprotest camp, raising the riskof more sectarian strife. A9n Insurers raced to com-plete enrollments and pro-cess payments under the newfederal health-care law. A4n Kerry plans to propose apeace framework to Israelisand Palestinians. Israel freed26 Palestinian prisoners. A9nCongolese troops quashedan apparent revolt by backersof an ex-presidential candidate,killing at least 60 gunmen. A9nThe U.S. population grewjust 0.72% between July 2012and July 2013, the weakest ratesince after the Depression. A2nAmedical panel recom-mended annual lung-cancerscreenings for many formerand current smokers. A3n A double derailment of agrain train and a crude-oiltrain in North Dakota sparkedfire and explosions. A2nChina identified eight peopleshot dead and a ninth arrestedin a far-west area as terroristscarrying out an attack.A9
i i i
U.S. stocks are set to posttheir best year since
1995, with “plain-vanilla”portfolios outperformingmore complex investments. A1 All 10 of the S&P 500’s sec-tors are set to finish the yearin positive territory. C4 The Dow rose 25.88 to arecord 16504.29 on the year’snext-to-last day of trading. C4 Japanese shares surged57% in 2013, ending the year ata six-year high of 16291.31. C4nCooper Tire halted its saleto India’s Apollo after effortsby Apollo to cut the shareprice. Cooper plans to pursuea $112.5 million breakup fee. B1n Private-equity firms areset to return more than $120billion to investors in 2013,topping last year’s record. C1n China is ending its freezeon initial public offerings, al-lowing five companies to startIPOs beginning Jan. 2. C3n China’s financial systemsteadied as short-term ratesretreated to normal levels. C3n Hertz enacted a share-holder-rights plan to preventinvestors from gaining con-trol of the rental-car firm. B2nCoffee prices tumbled 20%this year, capping the biggesttwo-year plunge in a decade. C1n France’s Sanofi said itwould appeal the FDA’s rejec-tion of its newMS drug. B3n An Indian panel cleared in-vestments by Vodafone andTesco of over $1.5 billion. B3
Business&Finance
In the best year for U.S. stockssince 1995, the smart way to playthe markets has been to follow thedumb money.
So-called dumb-money strate-gies, which involve buying andholding a plain-vanilla portfolio ofU.S. stocks, did much better thanthe more complex approaches em-ployed by hedge funds and otherprofessional investors.
Fueled by easy money from theFederal Reserve and signs of im-provement in the economy, theDow Jones Industrial Averagegoes into the final day of 2013with a gain of 29% once dividendsare included, while the S&P 500index has climbed 32% with divi-dends. Those gains far outpace therally predicted by even the mostbullish Wall Street strategists.
Many hedge funds were left inthe dust, alongside investors whouse “tactical” timing of the mar-kets’ ups and downs and thosewho spread their bets among awide variety of assets such ascommodities, emerging marketsand exchanged-traded funds.
“The more colorful your piechart, the worse you did,” saidLawrence Glazer, managing part-ner at Boston’s Mayflower Advi-sors, which oversees $1.5 billion.
It isn’t always this way with bigstock-market rallies. A more typi-cal year was 2003 when the Dowrose 28% including dividends.That year, the MSCI Emerging
PleaseturntopageA4
BY TOMI KILGOREAND TOM LAURICELLA
WinnersOf 2013:BoringInvestors
MOSCOW—A suicide bomberstruck in the southwest Russiancity of Volgograd on Monday,killing at least 14 people in thecity’s second terrorist attack inless than 24 hours and stokingsecurity fears in the countryahead of the Winter Olympics.
Russian President VladimirPutin ordered security to betightened around the country af-ter the second attack, whichcomes less than six weeks beforethe games are set to start in theBlack Sea resort of Sochi. Therepeated bombings, and risk of
additional violence, threaten totarnish an event on which Mr.Putin has staked his personalpride and the country has spent
$50 billion to stage.Russia’s hosting of the games
has already weathered heavycriticism abroad because of therecent passage of a controversiallaw banning gay “propaganda,”which has led to calls for a boy-cott among gay-rights groups.
A top rebel leader in thecountry’s restive North Caucasusregion has called for attacks inthe run-up to the event, and therepeated targeting of Volgo-grad—a city formerly known asStalingrad situated about 425miles from the Olympic site—ap-pears aimed at raising anxietybefore the games, which Russiahas poured significant resources
into protecting. Extensive secu-rity requirements and other lo-gistical challenges have madeSochi less of a draw for foreignvisitors than previous Olympics.
The twin attacks—first at thecity’s central train station and, onMonday, aboard a crowded trolleybus—were the deadliest in thecountry in nearly three years.Though there was no immediateclaim of responsibility, authoritiessaid initial indications suggestedthe blasts were the work of Isla-mist terrorists from the volatileNorth Caucasus region.
“This is about embarrassingthe Russian government and cre-
PleaseturntopageA8
BY LUKAS I. ALPERTAND GREGORY L. WHITE
Putin Orders Tighter SecurityAfter Twin Suicide Blasts
DALAN CHAPARA, India—Lalasa Devi saysthat before her attacker grabbed her by thethroat, he snarled “Chamar,” the name of theso-called untouchable caste into which shewas born. “What can you do to me?”
Then he threw her to the ground andraped her, she says.
Ms. Devi, a mother of four in her mid-30s,says authorities treated her poorly when sheregistered a complaint against her alleged as-sailant, who belongs to a high caste in thissmall northern Indian village. Nine monthsafter the alleged rape, the man she accused
is free on bail, and it isn’t clear when a trialwill begin.
“I’m dying of shame,” she said in a recentinterview, covering her head with the cornerof her sari. “All I had was my honor…you losethat, you have nothing.” She authorized TheWall Street Journal to use her name.
Women across India face daunting obsta-cles in pressing sexual-assault allegations. Anunfriendly justice system and fear of socialstigma make many reluctant even to reportsuch crimes, women’s rights advocates say.
Rural, lower-caste women such as Ms.Devi also face pervasive and deeply rooteddiscrimination against those once called “un-
touchables”—now known as Dalits, or op-pressed people. “It’s the mind-set of thedominant castes,” says Deepika, a Dalit-rights activist in New Delhi who uses onlyone name. “To them, raping a Dalit woman isnot a sin.”
A court in the western state of Rajasthanin 1995 acquitted five men of rape, sayingupper-caste men couldn’t have raped a Dalit.The state has asked a higher court to reviewthat case—a request that is still pending.
Attitudes toward Dalits have improvedsince the 1990s, and a wrenching national di-alogue now is under way about sexual as-
PleaseturntopageA10
BY KRISHNA POKHAREL AND TRIPTI LAHIRI
‘DYING OF SHAME’
India Rape Cases Colored by Caste
President Barack Obama ex-its 2013 in the weakest politi-cal position of his presidencyand now faces a basic strategicchoice: Does he try to recoverby working with Republicansin Congress, or by confrontingthem heading into next year’s
midterm elections?By almost any
measure, 2013 was,as Democratic pollster PeterHart put it, “a terribly raggedyear” for the president, whosaw his approval ratingsplunge and his agenda stall.One glimmer of light emergedat year’s end, when the twoparties agreed on a deal to set-tle long-festering budget dis-putes through the new year.
That now leaves it unclearwhether Washington is enter-ing a new phase in which thepresident seeks more compro-mises with Republicans tomove at least part of hisagenda through Congress, orwhether he instead strikes outon his own by using executiveaction as a way to advance hisprogram while underscoring hisphilosophical differences withthe GOP on issues such as ahigher minimum wage and ex-tended unemployment benefits.
For most of 2013, Mr.Obama has been unable tomove key proposals such asnew controls on gun sales.Meantime, his indecision onwhether to actively engage inSyria’s civil war has hurt hisimage as a leader as that con-flict festers and Syrian Presi-dent Bashar al-Assad remainsin power.
Worst of all for the WhitePleaseturntopageA7
BY GERALD F. SEIB
ObamaSeeks WayTo RightHis Ship
As the Year Turns, No Sign of a Thaw in U.S.-Afghan Relations
WINTER OF DISCONTENT: Children stood in the snow outside their shelter Monday in Kabul. The U.S. is urging Afghan President Hamid Karzai to signa pact that would allow some U.S. and other NATO troops to remain past 2014 and would clear the way for billions in aid for the impoverished country.
Omar
Sobh
ani/Re
uters
GLENDALE, Calif.—At just 8years old, Glen Bearian, “Meat-ball” to his friends and fans, hasalready become a local legend,his exploits celebrated on T-shirts, tote bags and a popularTwitter feed. On New Year’s Day,he will get nationalattention, whenthis city makeshim the center-piece of its entryin the annual RoseParade.
But while theLos Angeles sub-urb’s flower-fes-tooned float willpresent a nationalTV audience with the upbeattheme “Let’s Be Neighbors,” offcamera, a not-so-neighborly spatis playing out over the use ofMeatball’s name by others look-ing to sell his story.
For Meatball, caught in the
middle, it could all be too muchto bear—that is, if he wasn’t abear.
A 600-pound California BlackBear, to be specific. Meatballmade his first public appearancein March of last year, foragingfor snacks in the trash at homesin a woodsy neighborhood in the
foothills just northof Los Angeles. Heearned his nick-name after he wasspotted eatingfrom a discardedpackage of meat-balls.
“That’s whenMeatball—the leg-end, the myth, thebear—was born,”
says Andrew Hughan, spokes-man for the California Depart-ment of Fish and Wildlife.
Twice, Meatball was trappedand transported to the nearbyAngeles National Forest, once
PleaseturntopageA10
BY ERICA E. PHILLIPS
In Southern California, SpatSimmers Over a Trashy Celeb’s Fame
i i i
While ‘Meatball’ the Bear StarsIn Rose Parade, Funders Feud Over Story
Glen ‘Meatball’ Bearian
ANALYSIS
Volgograd
RU SS I A
KAZAKH.
GEORGIA
AZER.ARM.TURKEY
UKR.
Black Sea
200 miles
200 km
SochiC A U C A S U S M T S .
C A U C A S U S M T S .
CaspianSea
Notice to ReadersWSJ.com will publishthroughout New Year’s Day.The Wall Street Journal printedition won’t be published.
TODAY IN PERSONAL JOURNAL
How to Be More RationalPLUS The Year in Sports Photos
Getty
Images
WSJ Year in Review Tragedy, transition and
triumph in the news... A5-A7 Coming Thursday: Year-End
Review of Markets
CM Y K CompositeCompositeMAGENTA CYAN BLACK
P2JW365000-6-A00100-1--------XA CL,CN,CX,DL,DM,DX,EE,EU,FL,HO,KC,MW,NC,NE,NY,PH,PN,RM,SA,SC,SL,SW,TU,WB,WEBG,BM,BP,CC,CH,CK,CP,CT,DN,DR,FW,HL,HW,KS,LA,LG,LK,MI,ML,NM,PA,PI,PV,TD,TS,UT,WO
P2JW365000-6-A00100-1--------XA
