Lebanon vows to block border wall, Israel eyes diplomacy on gas field

Lebanese President Michel Aoun meets with Lebanon's Higher Defence Council at the presidential palace in Baabda, Lebanon February 7, 2018

By Ellen Francis and Dan Williams

BEIRUT/JERUSALEM (Reuters) – Lebanon vowed on Wednesday to prevent any territorial intrusion by a border wall which Israel is building, and Israel said it wanted foreign mediation to resolve a maritime energy dispute with its northern neighbor.

Lebanese leaders have accused Israel of threatening the stability of the border region. Arguments over the wall and Lebanon’s plans to explore for oil and gas in disputed Mediterranean waters have increased friction between the two enemy states.

“This wall, if it is built, will be considered an assault on Lebanese land,” the secretary-general of Lebanon’s Higher Defence Council said in a statement after a meeting of senior government and military officials.

The council “has given its instructions to confront this aggression to prevent Israel from building (the wall) on Lebanese territory,” it said, without elaborating.

The council includes Lebanon’s president, prime minister, other cabinet ministers and the army commander.

Israel has said the wall is entirely within its territory.

One Israeli official told Reuters that parts of the wall were being erected closer to the border than a current frontier fence, which in places runs well to the south due to topography.

The Lebanese government says the wall would pass through land that belongs to Lebanon but lies on the Israeli side of the Blue Line, where the United Nations demarcated Israel’s military withdrawal from southern Lebanon in 2000.

Calm has largely prevailed along the frontier since 2006, when Israel fought a war with Lebanon’s heavily-armed Shi’ite Muslim Hezbollah movement. The month-long conflict killed about 1,200 people in Lebanon, mostly civilians, and 160 Israelis, most of them soldiers.

In a televised address last month, Hezbollah’s leader cautioned Israel to take the Lebanese government’s warnings over the wall “with utmost seriousness”.

“Lebanon will be united behind the state and the army to prevent the Israeli enemy (violating Lebanese territory),” Sayyed Hassan Nasrallah said. Hezbollah will “fully handle its responsibility in this regard,” he added.

OFFSHORE ENERGY

Lebanon’s first offshore oil and gas exploration tender drew condemnation last week from Israeli Defence Minister Avigdor Lieberman. He called it a “very provocative” move and urged international firms not to participate.

The two countries have an unresolved maritime border dispute over a triangular area of sea of around 860 sq km (330 square miles). The zone extends along the edge of three out of five energy blocks that Lebanon put to tender early last year.

In December, Lebanon approved a bid by a consortium of France’s Total, Italy’s Eni and Russia’s Novatek for two blocks.

One of these, Block 9, juts partly into waters claimed by Israel. In a conciliatory tack from Lieberman’s remarks, Israeli Energy Minister Yuval Steinitz on Wednesday mooted negotiations.

“There is a dispute, which is no secret – it’s been going on for years – over the border demarcation between our economic waters and Lebanon’s,” he told the Israeli news site Ynet.

“We hope for, and are prepared to move forward on, a diplomatic resolution to this matter.”

Steinitz said that, in 2013, U.S. intermediaries had come close to clinching a deal involving “a kind of compromise”.

“The Lebanese too have their own economic waters in which they want to search for gas and oil,” he added. “And they have such a right – so long as they do not threaten and certainly not penetrate our demarcated waters”.

(Reporting by Ellen Francis in Beirut and; Dan Williams in Jerusalem; Editing by Mark Heinrich)

Pakistan court convicts 31 over campus lynching of student accused of blasphemy

Policemen keep guard near the central prison where a court convicted 31people over the campus lynching of a university student last year who was falsely accused of blasphemy, and sentenced one of them to death, in Haripur, Pakistan February 7, 2018.

By Jibran Ahmed

PESHAWAR, Pakistan (Reuters) – A Pakistani court on Wednesday convicted 31 people over the campus lynching of a university student who was falsely accused of blasphemy, and sentenced one of them to death, a defense lawyer said.

The killing of student Mashal Khan, 23, last year sparked an outcry and raised fresh questions about the misuse of a harsh blasphemy law, which stipulates the death sentence for insulting Islam or the Prophet Muhammad.

Barrister Ameerullah Chamkani told Reuters one of the 31 accused had been sentenced to death, five were jailed for life and the other 25 were jailed for four years.

The court acquitted 26 others out of a total of 57 people indicted by a court late last year.

Chamkani said one of the convicts, Imran Ali, had been sentenced to death because he had shot Mashal three times.

The accused were students, teachers and some officials of Abdul Wali Khan University named after a secular political leader in northwest Pakistan.

They all pleaded not guilty in the trial conducted at a high-security prison due to threats to defense lawyers and government prosecutors, Chamkani said.

Lawyers for those convicted were not available for comment.

Khan, a Muslim, was known as an intellectually curious student who liked to debate controversial social, political and religious issues.

He was attacked and killed by a mob on the campus on April 13 after a dormitory debate about religion.

Blasphemy is a highly sensitive issue in Pakistan, where insulting Islam’s prophet is punishable by death, though no executions have been carried out for blasphemy.

Even a rumor of blasphemy can spark mob violence and there have been cases of people misusing the law to settle scores.

At least 67 people have been killed over unproven blasphemy allegations since 1990, according to human rights groups.

‘CONTINUE MY STRUGGLE’

In 2011, a bodyguard assassinated the liberal governor of Punjab province, Salman Taseer, after he called for the blasphemy laws to be reformed.

His killer, Mumtaz Qadri, who was executed last year, has been hailed as a martyr by religious hardliners.

A political party founded in Qadri’s honor has made blasphemy its central issue in the run-up to a general election later this year.

The party last year forced the government to retract within a day a change in electoral laws that it deemed blasphemous.

Party supporters also blocked the main road into Islamabad for nearly three weeks last year in a protest against a law minister they accused of blasphemy.

The government eventually gave in, agreeing to an army-brokered deal that included the resignation of the minister.

Khan’s father, Iqbal Khan, expressed satisfaction about the verdicts.

“I appreciate the court decision,” he told reporters in London in remarks broadcast live by Pakistan’s Geo TV.

Asked about the acquittals, the father said: “I will continue my struggle.”

Khan is visiting London to talk at various forums about his son’s case and the blasphemy law.

Khan’s family say they have been threatened since his death and his two sisters have had to drop out of school. Police guard his grave.

(Writing by Asif Shahzad; Editing by Robert Birsel)

Venezuela annual inflation at more than 4,000 percent: National Assembly

A woman and a child look at prices in a grocery store in downtown Caracas, Venezuela March 10, 2017.

By Girish Gupta

CARACAS (Reuters) – Prices in Venezuela rose 4,068 percent in the 12 months to the end of January, according to estimates by the country’s opposition-led National Assembly, broadly in line with independent economists’ figures.

Inflation in January alone was 84.2 percent, opposition lawmakers said, amid an economic crisis in which millions of Venezuelans are suffering food and medicine shortages.

The monthly figure implies annualized inflation of more than 150,000 per cent and that prices will double at least every 35 days.

With cash in short supply and banking and communications infrastructures struggling, day-to-day transactions are becoming increasingly difficult for Venezuelans.

The government blames the problems on an economic war waged by the opposition and business leaders, with a helping hand from Washington.

Critics in turn blame strict currency controls, which were enacted by Hugo Chavez 15 years ago this week. The bolivar is down some 40 percent against the dollar in the last month alone.

A million dollars of Venezuelan bolivars bought when the currency controls were introduced would now be worth just $7 on the black market.

The government has not published inflation data for more than two years though has increased the minimum wage repeatedly in a nod to rising prices.

The government raised the minimum wage 40 percent on Jan. 1, making it roughly equivalent now to just over $1 per month.

(Additional reporting by Leon Wietfeld; Editing by Susan Thomas)

A look at Washington’s battle of the Russia classified memos

A copy of the formerly top secret classified memo written by House Intelligence Committee Republican staff and declassified for release by U.S. President Donald Trump is seen shortly after it was released by the committee in Washington, February 2, 2018.

By Patricia Zengerle

WASHINGTON (Reuters) – The White House must decide this week whether to clear the release of a classified memo written by Democrats. The document aims to rebut a Republican memo alleging FBI and Justice Department bias against President Donald Trump in a federal probe into potential collusion between his 2016 presidential campaign and Russia.

The following explains what is in play in a partisan dispute roiling Washington.

WHAT IS THE REPUBLICAN MEMO?

The four-page document was commissioned by Representative Devin Nunes, the Republican chairman of the House of Representatives Intelligence Committee, and released on Feb. 2.

It accused senior Federal Bureau of Investigation and Justice Department officials of not revealing that portions of a dossier of alleged Trump-Russia contacts used in seeking a secret Foreign Intelligence Surveillance Court warrant to eavesdrop on former Trump campaign aide Carter Page were partly paid for by Democrats.

It also portrayed former British spy Christopher Steele, who compiled the dossier, as biased, saying he “was desperate that Donald Trump not get elected and was passionate about him not being president.”

WHAT IS THE DEMOCRATIC MEMO?

In late January, House Intelligence Committee Democrats said they had drafted their own classified 10-page memo about the investigation of Russia and the 2016 U.S. election. They said their document would counteract what they criticized as “highly misleading” assertions in the Republican memo.

While Republicans on the intelligence panel initially blocked Democrats’ effort to release their memo, they joined Democrats on Feb. 5 and allowed the Democratic document to be sent to the White House for Trump to decide whether to release it.

WHY DOES IT MATTER?

Democrats say the Republican memo could be used by Republicans to try to undermine the credibility of Special Counsel Robert Mueller’s federal investigation into possible collusion between Trump’s presidential campaign and Russia to help him win the election.

Mueller’s investigation also is examining whether Trump has committed obstruction of justice by trying to thwart the Russia probe, which has cast a cloud over his year-old presidency.

Democrats say Trump’s allies hope to use the memo to protect Trump. They believe it could give the president, who fired FBI Director James Comey in May, an excuse to fire Deputy U.S. Attorney General Rod Rosenstein, who hired Mueller, or even to dismiss Mueller himself.

U.S. intelligence agencies have concluded that Russia interfered in the 2016 presidential campaign using hacking and propaganda, an effort that eventually included attempting to tilt the race in Trump’s favor.

Moscow has denied meddling and Trump has denied collusion or any obstruction of justice. He has called the investigation a witch hunt.

WHAT ARE THE POSSIBLE CONSEQUENCES OF THE MEMOS?

The release of the Republican memo widened the divide between Democrats and Republicans, possibly diminishing the credibility of any findings by congressional panels that are also investigating the Russia matter.

Its release also threatened to weaken long-standing cooperation between lawmakers and intelligence agencies, which have shared classified information with Congress with the understanding that it would never be made public.

If Trump declines to declassify and release the Democrats’ memo, it could set up a dispute that would pit the White House and many of Trump’s fellow Republicans in Congress against Democrats, law enforcement and intelligence agencies.

WHAT ROLE DOES THE INTELLIGENCE COMMITTEE PLAY?

The House Intelligence Committee is one of three congressional panels investigating the Russia issue even as Mueller pursues his criminal probe. The dispute over the memo has deepened a partisan divide on the panel, whose Democratic members accuse Republicans of seeking to focus on the Steele dossier and Page surveillance to protect Trump. Republicans say they merely want to publicize wrongdoing.

(Reporting by Patricia Zengerle; Editing by Peter Cooney and Frances Kerry)

Killer Storm brings freezing rain and snow to U.S. Northeast

(Reuters) – A winter storm packing freezing rain and heavy snow was expected to sweep across much of the U.S. Northeast on Wednesday, snarling transportation, closing dozens of schools and threatening power outages.

The same storm system has killed several people in accidents in the Midwest since Monday, including six in Iowa, two in Missouri and one in Montana, local media in those states reported.

Much of the region from southern Indiana northeast through Maine was under either a winter storm watch or warning. Some 6 to 12 inches (15 to 30 cm) of snow and a 1/4 inch (.5 cm) of ice accumulation were in the forecast, the National Weather Service said.

“Travel will be dangerous and nearly impossible,” the service said, warning that ice may cause widespread power outages.

Dozens of school districts in the East Coast, including in Pittsburgh and Albany, New York canceled classes on Wednesday while Baltimore schools delayed the start of school for two hours. Federal agencies in Washington D.C. were also opening two hours later than normal.

About 800 flights within, into or out of the United States were canceled on Wednesday nationwide, according to the FlightAware tracking service.

(Reporting by Brendan O’Brien in Milwaukee; Editing by Frances Kerry)

SpaceX’s Falcon Heavy rocket soars in debut test launch from Florida

A SpaceX Falcon Heavy rocket lifts off from historic launch pad 39-A at the Kennedy Space Center in Cape Canaveral, Florida, U.S., February 6, 2018.

By Joey Roulette

CAPE CANAVERAL, Fla. (Reuters) – The world’s most powerful rocket, SpaceX’s Falcon Heavy, roared into space through clear blue skies on its debut test flight on Tuesday from a Florida launch site in another milestone for billionaire entrepreneur Elon Musk’s private rocket service.

The 23-story-tall jumbo rocket, carrying a cherry red Tesla Roadster from the assembly line of Musk’s electric car company as a mock payload, thundered off its launchpad in billowing clouds of steam and rocket exhaust at 3:45 p.m (2045 GMT) from the Kennedy Space Center in Cape Canaveral, where moon missions once began.

Boisterous cheering could be heard from SpaceX workers at the company’s headquarters in Hawthorne, California, where a livestream feed of the event originated. At least 2,000 spectators cheered the blastoff from a campground near Cocoa Beach, 5 miles (8 km) from the space center.

Within three minutes, the Falcon Heavy’s two side boosters separated from the central rocket in one of the most critical points of the flight.

Then, capitalizing on cost-cutting reusable rocket technology pioneered by SpaceX, the two boosters flew themselves back to Earth for safe simultaneous touchdowns on twin landing pads at Cape Canaveral Air Force Station, about eight minutes after launch. Each rocket unleashed a double sonic boom as it neared the landing zone.

The center booster rocket, which SpaceX had predicted was less likely to be salvaged, slammed into the Atlantic at about 300 miles per hour (483 kph), showering the deck of the nearby drone landing vessel and destroying two of the ship’s thrusters, Musk told a post-launch news conference.

‘CRAZY THINGS COME TRUE’

Still, the Silicon Valley mogul known for self-deprecating understatement hailed the launch as a victory and “a big relief.”

“I had this image of this giant explosion on the pad, with wheels bouncing down the road and the logo landing somewhere with a thud. But fortunately, that’s not what happened,” he said. “Crazy things come true.”

While the Falcon Heavy’s initial performance appeared, by all accounts, to have been near flawless, it remained to be seen whether the upper stage of the vehicle and its payload would survive a six-hour “cruise” phase to high Earth orbit through the planet’s radiation belts.

The launch, so powerful that it shook the walls of the press trailer at the complex, was conducted from the same site used by NASA’s towering Saturn 5 rockets to carry Apollo missions to the moon more than 40 years ago. SpaceX has said it aspires to send missions to Mars in the coming years.

The successful liftoff was a key turning point for Musk’s privately owned Space Exploration Technologies, which stands to gain a new edge over the handful of rivals vying for lucrative contracts with NASA, satellite companies and the U.S. military.

Falcon Heavy is designed to place up to 70 tons into standard low-Earth orbit at a cost of $90 million per launch. That is twice the lift capacity of the biggest existing rocket in America’s space fleet – the Delta 4 Heavy of rival United Launch Alliance (ULA), a partnership of Lockheed Martin Corp and Boeing Co- for about a fourth the cost.

The demonstration flight put the Heavy into the annals of spaceflight as the world’s most powerful rocket in operation, with more lift capacity than any space vehicle to fly since NASA’s Saturn 5, which was retired in 1973, or the Soviet-era Energia, which flew its last mission in 1988.

Propelled by 27 rocket engines, the Heavy packs more than 5 million pounds of thrust at launch, roughly three times the force of the Falcon 9 booster rocket that until now has been the workhorse of the SpaceX fleet. The new rocket is essentially constructed from three Falcon 9s bolted together side by side.

A SpaceX Falcon Heavy rocket lifts off from historic launch pad 39-A at the Kennedy Space Center in Cape Canaveral, Florida, U.S., February 6, 2018.

A SpaceX Falcon Heavy rocket lifts off from historic launch pad 39-A at the Kennedy Space Center in Cape Canaveral, Florida, U.S., February 6, 2018. REUTERS/Thom Baur

‘NEW SPACE RACE?’

Going along for the ride in a bit of playful cross-promotional space theater was the sleek red, electric-powered sports car from Musk’s other transportation enterprise, Tesla Inc.

Adding to the whimsy, SpaceX planted a space-suited mannequin in the driver’s seat of the convertible Tesla Roadster.

Musk mused that “it may be discovered by some future alien race.” The white spacesuit was real, he said.

A third burn was successful, Musk Tweeted late on Tuesday, sending the Tesla Roadster into its planned trajectory.

“Exceeded Mars orbit and kept going to the Asteroid Belt,” he tweeted.

The roadster, which carries a plaque inscribed with the names of more than 6,000 SpaceX employees, could instead end up in perpetual Earth orbit.

The launch followed an impressive run of successful paid missions – 20 in all since January 2017, when SpaceX returned to flight following a 2016 launchpad accident that destroyed a $62 million rocket and a $200 million Israeli communications satellite that it was to put into orbit two days later.

Musk said he hoped Tuesday’s achievement would encourage a new “space race” by private ventures and other countries, an allusion to the 1960s Cold War contest between the United States and the Soviet Union.

“Space races are exciting,” he said.

SpaceX had previously announced plans to eventually use Falcon Heavy to launch two paying space tourists on a trip around the moon. Musk said on Monday he was now inclined to reserve that mission for an even more powerful SpaceX launch system, the Big Falcon Rocket, or BFR, whose development he said was proceeding more swiftly than expected.

(Additional reporting by Irene Klotz at Cape Canaveral, Fla. and Gregg Newton in Cocoa Beach, Fla.; Writing and additional reporting by Steve Gorman in Los Angeles; Editing by Will Dunham and Peter Cooney)

At least seven killed, 67 missing after quake rocks Taiwan tourist area

Rescue workers are seen by a damaged building after an earthquake hit Hualien, Taiwan February 7, 2018.

By Fabian Hamacher and Tyrone Siu

HUALIEN, Taiwan (Reuters) – Rescuers combed through the rubble of collapsed buildings on Wednesday, in a search for 67 people missing after a strong earthquake which killed at least seven near Taiwan’s popular tourist city of Hualien.

The magnitude 6.4 quake, which hit near the coastal city just before midnight (1600 GMT) on Tuesday, injured 260 people and caused four buildings to collapse, officials said.

Hualien Mayor Fu Kun-chi said the number of people missing was now close to 60, although an exact figure was not provided. As many as 150 were initially feared missing.

Many of the missing were believed to be still trapped inside buildings, some of which tilted precariously, after the quake struck about 22 km (14 miles) northeast of Hualien on Taiwan’s east coast.

At the city’s Marshal Hotel, rescuers trying to free two trapped Taiwanese pulled one out alive, but the other person was declared dead, the government said.

Mainland Chinese, Czech, Japanese, Singaporean and South Korean nationals were among the injured.

“This is the worst earthquake in the history of Hualien, or at least over the past 40 years that I’ve been alive,” said volunteer Yang Hsi Hua.

“We’ve never had anything like this, we’ve never had a building topple over. Also, it was constantly shaking, so everyone was really scared, we ran to empty open spaces to avoid it.”

Rescue personnel search a collapses building after an earthquake hit Hualien, Taiwan February 7, 2018.

Rescue personnel search a collapses building after an earthquake hit Hualien, Taiwan February 7, 2018. REUTERS/Tyrone Siu

Aftershocks with a magnitude of at least 5.0 could rock the island in the next two weeks, the government said. Smaller tremors rattled nervous residents throughout the day.

Residents waited and watched anxiously as emergency workers dressed in fluorescent orange and red suits and wearing helmets searched for residents trapped in apartment blocks.

Hualien is home to about 100,000 people. Its streets were buckled by the force of the quake, with around 40,000 homes left without water and around 1,900 without power. Water supply had returned to nearly 5,000 homes by noon (0400 GMT), while power was restored to around 1,700 households.

DAMAGE, PANIC

Emergency workers surrounded a badly damaged 12-storey residential building, a major focus of the rescue effort. Windows had collapsed and the building was wedged into the ground at a roughly 40-degree angle.

Rescuers worked their way around and through the building while residents looked on from behind cordoned-off roads. Others spoke of the panic when the earthquake struck.

“We were still open when it happened,” said Lin Ching-wen, who operates a restaurant near a damaged military hospital.

“I grabbed my wife and children and we ran out and tried to rescue people,” he said.

A Reuters video showed large cracks in the road, while police and emergency services tried to help anxious people roaming the streets. A car sat submerged in rubble as rescue workers combed through the ruins of a nearby building.

President Tsai Ing-wen went to the scene of the quake early on Wednesday to help direct rescue operations.

“The president has asked the cabinet and related ministries to immediately launch the ‘disaster mechanism’ and to work at the fastest rate on disaster relief work,” Tsai’s office said in a statement.

A body of employee of collapsed Marshal Hotel is carried by a rescue personnel after an earthquake hit Hualien, Taiwan February 7, 2018.

A body of employee of collapsed Marshal Hotel is carried by a rescue personnel after an earthquake hit Hualien, Taiwan February 7, 2018. REUTERS/Tyrone Siu

Taiwan Semiconductor Manufacturing Co, the world’s largest contract chipmaker and major Apple supplier, said initial assessments indicated no impact from the earthquake.

Taiwan, a self-ruled island that China considers part of its territory, lies near the junction of two tectonic plates and is prone to earthquakes. An earthquake with a magnitude of 6.1 struck nearby on Sunday.

More than 100 people were killed in a quake in southern Taiwan in 2016, and some Taiwanese remain scarred by a 7.6 magnitude quake that was felt across the island and killed more than 2,000 people in 1999.

(For graphic on Taiwan earthquake, click http://tmsnrt.rs/2BJCdQ2)

(Additional reporting by Jeanny Kao and Jess Macy Yu in TAIPEI and Natalie Thomas in Hualien; Writing by Anne Marie Roantree; Editing by Paul Tait and Richard Balmforth)

U.S. jurors’ identities in ‘El Chapo’ drug trial to remain secret

Recaptured drug lord Joaquin "El Chapo" Guzman is escorted by soldiers at the hangar belonging to the office of the Attorney General in Mexico City, Mexico January 8, 2016

By Jonathan Stempel

NEW YORK (Reuters) – A U.S. judge in Brooklyn has ruled that the identities of jurors expected to decide the fate of accused Mexican drug lord Joaquin “El Chapo” Guzman at a trial this year will be kept secret.

In a decision on Monday, U.S. District Judge Brian Cogan said jurors’ names, addresses and places of employment will be shielded from Guzman, his lawyers, prosecutors and the press.

He also ordered that jurors be transported to and from the courthouse by federal marshals, and sequestered from the public while there.

Guzman’s lawyer had argued that an anonymous jury would undermine the presumption that his client was innocent, create an “extremely unfair” impression that he was dangerous, and impair his ability to question prospective jurors.

“Mr. Guzman is obviously disappointed by the decision,” the lawyer, Eduardo Balarezo, said in an email on Tuesday. “All he is asking for is a fair trial in front of an impartial jury.”

U.S. prosecutors have accused Guzman, 60, of running a global cocaine, heroin and methamphetamine smuggling operation as the leader of the Sinaloa Cartel, and playing a central role in a decade-long Mexican drug war where more than 100,000 people have died.

Cogan said the U.S. government “presented strong and credible reasons to believe that the jury needs protection,” and the evidence might depict a “pattern of violence” by Guzman and his associates that might cause jurors to fear for their safety.

“That many of the allegations involve murder, assault, kidnapping, or torture of potential witnesses or those suspected of assisting law enforcement makes the government’s concerns particularly salient,” Cogan wrote.

The judge also said the significant media attention to the case could raise the potential for juror names to become public, exposing jurors to the risk of intimidation or harassment.

Balarezo had in court papers said keeping juror identities from the public and news media would be a “fair compromise.”

Guzman’s trial is scheduled to begin in September, according to court records, and could last a few months.

Mexican authorities captured Guzman and an associate in January 2016 by pulling over a Ford Focus they had stolen, after Guzman had fled through tunnels and drains from a raid on a safe house in northwest Mexico.

The arrest came six months after Guzman had escaped through a tunnel from a high-security Mexican prison. Guzman was extradited to the United States in January 2017.

(Reporting by Jonathan Stempel in New York; editing by Jonathan Oatis and Tom Brown)

Americans voluntarily quitting jobs as labor market tightens

: A help wanted sign is posted on the door of a gas station in Encinitas, California, U.S., September 6, 2013.

By Lucia Mutikani

WASHINGTON (Reuters) – The number of American workers voluntarily quitting their jobs jumped in December to the highest level in nearly 17 years, in a strong show of confidence in the labor market which further bolsters expectations of faster wage growth this year.

The Labor Department’s monthly Job Openings and Labor Turnover Survey (JOLTS) report published on Tuesday came on the heels of news last week that annual wage growth in January was the strongest in more than 8-1/2 years. The labor market is almost at full employment.

The number of workers willingly leaving their jobs increased by 98,000 to 3.259 million, the highest level since January 2001. That lifted the quits rate to a 2.2 percent from 2.1 percent in November. This rate, which the Federal Reserve looks at as a measure of job market confidence, has rebounded from a low of 1.3 percent in late 2009.

“I had thought that by now, the fear of moving to another company would have faded,” said Joel Naroff, chief economist at Naroff Economic Advisors in Holland, Pennsylvania. “It really hadn’t very much, though maybe it is finally happening.”Rising job turnover boosts economists’ optimism that wage growth will accelerate this year and in turn help to push inflation toward the Fed’s 2 percent target. While economists remain confident that the U.S. central bank will increase interest rates at least three times this year, much would depend on the fortunes of the U.S. stock market.

Stocks on Wall on Monday recorded their biggest drop since August 2011 as concerns over rising U.S. interest rates and government bond yields hit record-high valuations of stocks.

“The data today are likely to keep the Fed on the path of gradual rate hikes this year as long as the stock market stabilizes from its death plunge the last two weeks,” said Chris Rupkey, chief economist at MUFG in New York.

“Labor market conditions are picture perfect today, but that can change in a hurry if worsening financial conditions and plunging markets take a toll on business confidence.”

The JOLTS report also showed that job openings, a measure of labor demand, decreased 167,000 to a seasonally adjusted 5.8 million. Still, job openings are not too far from a record high of 6.2 million touched in September.

The decline in job openings in December was led by the professional and business services sector, which saw a decrease of 119,000. Job openings in the retail trade sector fell 85,000 while vacancies in construction dropped 52,000.

But job openings in the information sector increased 33,000 and the federal government had an additional 13,000 vacancies in December. The jobs openings rate slipped one-tenth of a percentage point to 3.8 percent in December.

Hiring was little changed at 5.49 million.

“The recent moderation across much of the JOLTS data is not alarming to us given that levels still remain favorable across much of the data and that we have been expecting the pace of job growth to cool relative to the recent strong gains,” said Daniel Silver, an economist at JPMorgan in New York.

(Reporting by Lucia Mutikani; Editing by Andrea Ricci)

At least two dead in magnitude 6.4 quake in Taiwan

The aftermaths of earth quake are seen in Hualien, Taiwan, February 6, 2018, in this picture grab obtained from social media video.

TAIPEI (Reuters) – A magnitude 6.4 earthquake struck near the coastal city of Hualien in Taiwan late on Tuesday, the U.S. Geological Survey (USGS) said, killing at least two people and causing several buildings to collapse.

The quake struck about 22 km (14 miles) northeast of Hualien shortly before midnight, and the epicenter was very shallow at just 1km, the USGS said.

“Two people were unfortunately killed, and 114 have suffered light or severe injuries,” Taiwan’s Premier William Lai told an emergency government meeting.

A number of aftershocks hit the area, but there was no word of any tsunami warning.

Hualien is a popular tourist destination on Taiwan’s eastern coast and home to about 100,000 people.

“The president has asked the cabinet and related ministries to immediately launch the ‘disaster mechanism’ and to work at the fastest rate on disaster relief work,” President Tsai Ing-wen’s office said in a statement.

Lai said the government was urgently repairing a major highway damaged by the quake. He said the government would provide further updates on the situation later on Wednesday morning.

Among the buildings toppled in the quake was the Marshal Hotel in Hualien, where three people were trapped inside, the government said.

Four other buildings, including two hotels and a military hospital, also tilted during the quake in Hualien, which is located about 120 kilometers (75 miles) south of the capital, Taipei.

The government said two bridges in the city were either cracked or could not be used due to the quake.

On Sunday an earthquake with a magnitude of 6.1 struck nearby.

Taiwan, a self-ruled island that China considers part of its territory, is prone to earthquakes.

More than 100 were killed in a quake in southern Taiwan in 2016, and some Taiwanese remain scarred by a 1999 earthquake with 7.6 magnitude whose impact was felt across the island and in which more than 2,000 people died.

(Reporting by Jess Macy Yu and Taipei bureau; Editing by Tony Munroe and Gareth Jones)