Americans jobless claims rise from 45-year low; labor market tightening

Job seekers listen to a presentation at the Colorado Hospital Association job fair in Denver, Colorado, U.S., October 4, 2017.

WASHINGTON (Reuters) – The number of Americans filing for unemployment benefits rebounded from a 45-year low last week, though by less than expected, pointing to tightening labor market conditions.

Initial claims for state unemployment benefits increased 17,000 to a seasonally adjusted 233,000 for the week ended Jan. 20, the Labor Department said on Thursday. Claims fell to 216,000 in the prior week, the lowest level since January 1973.

Economists polled by Reuters had forecast claims rising to 240,000 in the latest week. Claims have been volatile recently because of the difficulty adjusting the data for seasonal fluctuations at the end of 2017 and the start of the new year. Unseasonably cold temperatures also had an impact on the data.

The Labor Department said claims for Maine were estimated. It also said claims-taking procedures in Puerto Rico and the Virgin Islands had still not returned to normal months after the territories were pummeled by Hurricanes Irma and Maria.

Last week marked the 151st straight week that claims remained below the 300,000 threshold, which is associated with a strong labor market. That is the longest such stretch since 1970, when the labor market was much smaller.

“The song remains the same for tightness of the labor market – employers are extremely reluctant to fire current workers, which reflects not only the current positive business environment but also the difficulty in finding qualified replacements,” said John Ryding, chief economist at RDQ Economics in New York.

The U.S. dollar was largely unchanged against a basket of currencies after the data. Prices of U.S. Treasuries were trading mostly weaker, while U.S. stock index futures were higher.

NEAR FULL EMPLOYMENT

The labor market is near full employment, with the jobless rate at a 17-year low of 4.1 percent. Last week, the four-week moving average of initial claims, considered a better measure of labor market trends as it irons out week-to-week volatility, fell 3,500 to 240,000.

The claims report also showed the number of people receiving benefits after an initial week of aid dropped 28,000 to 1.94 million in the week ended Jan. 13. The four-week moving average of the so-called continuing claims fell 3,500 to 1.92 million.

The continuing claims data covered the week of the household survey from which January’s unemployment rate will be calculated. The four-week average of continuing claims slipped 1,750 between the December and January survey periods.

That suggests little change in the unemployment rate this month. The jobless rate dropped seven-tenths of a percentage point in 2017, and economists expect it to hit 3.5 percent by the end of this year, which could spur faster wage growth as companies compete for workers.

Strong wage inflation would in turn likely prompt the Federal Reserve to raise interest rates a bit more aggressively than currently anticipated. The U.S. central bank has forecast three rate hikes this year. It increased borrowing costs three times in 2017.

“The Fed may have to pick up its game this year and raise rates four times, not just the three they have already forecast,” said Chris Rupkey, chief economist at MUFG in New York.

(Reporting by Lucia Mutikani; Editing by Chizu Nomiyama and Paul Simao)

At least 43,000 Cameroonian refugees flee to Nigeria: local aid officials

A still image taken from a video shot on December 9, 2017 shows Cameroonian refugees standing outside a center in Agbokim Waterfalls village, which borders on Cameroon, Nigeria.

By Anamesere Igboeroteonwu

ONITSHA, Nigeria (Reuters) – More than 43,000 Cameroonians have fled as refugees to Nigeria to escape a crackdown by the government on Anglophone separatists, local aid officials said on Thursday.

The figure is almost three times as high as that given by the United Nations and Nigerian officials two weeks ago.

Cameroon is a majority French-speaking country but two southwestern regions bordering Nigeria are Anglophone. Last October, separatists declared independence for a state they want to create called Ambazonia, sparking a military crackdown by the government of President Paul Biya.

In Nigeria’s Cross River state, which borders southwest Cameroon, more than 33,000 Cameroonians have taken refuge from violence, John Inaku, director general of the State Emergency Management Agency (SEMA), told Reuters by phone.

In neighboring Benue state, there are 10,216 refugees, said Emmanuel Shior, director general of the regional SEMA.

Earlier this month, the UN refugee agency had said more than 8,000 refugees were in Cross River state.

Explaining the disparity, Inaku told Reuters the UN agency was only registering people in Cross River coming in through conventional routes.

“This is a war situation and refugees are trooping in by the minute through the bush paths, rivers and every other unconventional routes open to them,” he said.

“During our advocacy to our border communities we told them to allow the refugees in and not be hostile to them so our communities have been receiving them warmly and accommodating them. These are very remote areas, hard to reach without good roads,” Inaku said.

Inaku said community facilities were becoming overstretched and so people were getting hostile toward the refugees, who were in “deplorable condition”, hungry and in need of medicine.

The Benue SEMA director general said the agency had also had difficulty counting refugees because they were in remote areas.

Early on Thursday, gunmen crossed from Nigeria to attack a border post in Cameroon’s southwest, security force witnesses said, with the incident likely to further damage relations between the neighbors.

The separatists pose the biggest challenge yet to the 35-year rule of Biya, who will seek re-election this year. The conflict is also fuelling tensions between Nigeria and Cameroon.

Cameroonian military officials and pro-government media accuse Nigeria of sheltering the insurgents, who since last year have waged a guerrilla campaign to establish an independent homeland for Cameroon’s English-speaking minority.

(Reporting by Anamesere Igboeroteonwu; Writing by Paul Carsten; Editing by Matthew Mpoke Bigg)

Trump seeks $25 billion for border wall, offers ‘Dreamer’ citizenship

People protest for immigration reform for DACA recipients and a new Dream Act, in Los Angeles, California, U.S.

By Roberta Rampton and Susan Cornwell

WASHINGTON (Reuters) – President Donald Trump on Wednesday previewed his outline for an immigration bill that he will promote next week, saying he wants $25 billion to build a border wall and is open to granting citizenship to illegal immigrants who were brought to the United States as children.

Trump said he was optimistic he could come to an agreement with both Republicans and Democrats in the U.S. Congress that would appeal to hardliners seeking tougher rules for immigrants while also preventing the roughly 700,000 “Dreamers” from being deported.

“Tell them not to be concerned, ok? Tell them not to worry. We’re going to solve the problem. It’s up to the Democrats, but they (the Dreamers) should not be concerned,” Trump told reporters during an impromptu question-and-answer session at the White House.

Trump campaigned for president in 2016 promising tougher rules for immigration. In September, he announced he was ending the Deferred Action for Childhood Arrivals (DACA) program created by his Democratic predecessor Barack Obama, effective in March – unless Congress came up with a new law.

The program currently protects about 700,000 people, mostly Hispanic young adults, from deportation and provides them work permits.

Republican Senator Lindsey Graham, one of the lead lawmakers in the immigration negotiations, said Trump’s comments signaled a major breakthrough.

“President Trump’s support for a pathway to citizenship will help us get strong border security measures as we work to modernize a broken immigration system,” Graham said in a statement. “With this strong statement by President Trump, I have never felt better about our chances of finding a solution on immigration.”

“COULD GO EITHER WAY”

Graham was part of a bipartisan group of three dozen senators who met on Wednesday on Capitol Hill to discuss moving forward on immigration legislation.

After the meeting, Democratic Senator Claire McCaskill expressed cautious optimism to reporters about Trump’s framework, saying “that could go either way,” when asked if it will be helpful to lawmakers.

Trump’s chief of staff, John Kelly, was slated to meet with lawmakers on Capitol Hill on Thursday, a senior White House official said.

Trump so far has rejected bipartisan proposals to continue DACA, leading to the standoff between Republicans and Democrats in the Senate that resulted in a three-day government shutdown that ended on Monday.

Congress agreed to extend funding to Feb. 8, but Republicans promised to allow debate on the future of the young illegal immigrants. Senators began meeting to discuss their proposals on Wednesday.

The White House plans on Monday to unveil a framework for immigration legislation that it believes can pass muster with both parties. Trump will deliver his State of the Union address to Congress on Tuesday night.

For immigration legislation to be enacted into law, the House of Representatives ultimately would have to pass a bill identical to whatever the Senate approves.

Trump said his proposal would include a request for $25 billion for the border wall, $5 billion for other border security programs, measures to curb family sponsorship of immigrants, and an overhaul of or end to the visa lottery system.

In exchange, he said he wanted to offer the Dreamers protection from deportation and an “incentive” of citizenship, perhaps in 10 to 12 years.

Addressing the status of the Dreamers’ parents, who brought them into America illegally, would be “tricky,” Trump said.

(Reporting by Roberta Rampton; Writing by Makini Brice and Lisa Lambert; Editing by Rosalba O’Brien and Leslie Adler)

Senior Yemen Qaeda leader calls for knife and car attacks on Jews

Defying warnings of new conflict, Trump to recognize Jerusalem as Israel's capital

DUBAI (Reuters) – A senior leader of al Qaeda’s Yemen branch has called for knife and car attacks on Jews in response to U.S. President Donald Trump’s decision to recognize Jerusalem as the capital of Israel, the U.S. SITE monitoring group said on Tuesday.

Citing a video recording by Al Qaeda in the Arabian Peninsula’s al-Malahem media foundation, SITE said that Khaled Batarfi, believed to be the number two man in AQAP after Qassim al-Raymi, also warned that no Muslim had the right to cede any part of Jerusalem.

“The Muslims inside the occupied land must kill every Jew, by running him over, or stabbing him, or by using against him any weapon, or by burning their homes,” Batarfi said in the 18-minute-long recording entitled “Our duty towards our Jerusalem”, according to SITE.

“Every Muslim must know that the Americans and the disbeliever West, and on top of them Britain and France, are the original reason behind the existence of the Jews in Palestine.”

Trump enraged Muslims last month when he announced that the United States recognizes Jerusalem as the capital of Israel and said he intends to transfer the U.S. embassy there.

U.S. Vice President Mike Pence, on a regional visit, said on Monday that the U.S. Embassy will be moved to Jerusalem from Tel Aviv before the end of 2019.

Batarfi was one of some 150 jailed AQAP members who were freed when the militant group, regarded by the United States as one of the deadliest branches of the network founded by Osama bin Laden, captured the Yemeni port city of Mukalla in 2015, where he was held.

Yemeni forces, baked by a Saudi-led coalition have since recaptured Mukalla and driven AQAP out, but Batarfi, who has since assumed a senior position in the group, remains at large.

AQAP has plotted to down U.S. airliners and claimed responsibility for 2015 attacks on the office of Charlie Hebdo magazine in Paris. AQAP also has boasted of the world’s most feared bomb makers, Ibrahim Hassan al-Asiri, and the Pentagon estimates it has between about 2,000 and 3,000 fighters.

Batarfi said Muslims in Western countries, including the United States, were obliged to target the interests of Jews and the Americans.

“They must be eager to prepare themselves as much as possible, and to carry out jihadi operations against them,” he added, according to SITE.

Palestinians seek East Jerusalem, including the walled Old City with its holy sites, as the capital of their own future state. Israel, which annexed East Jerusalem after capturing it in 1967 in a move not internationally recognized, regards all of the city as its “eternal and indivisible capital”.

(Reporting by Sami Aboudi)

Tech firms let Russia probe software widely used by U.S. government

A general view shows a building, which houses the office of HP Russia, in Moscow, Russia August 30, 2017.

By Dustin Volz, Joel Schectman and Jack Stubbs

WASHINGTON/MOSCOW (Reuters) – Major global technology providers SAP, Symantec and McAfee have allowed Russian authorities to hunt for vulnerabilities in software deeply embedded across the U.S. government, a Reuters investigation has found.

The practice potentially jeopardizes the security of computer networks in at least a dozen federal agencies, U.S. lawmakers and security experts said. It involves more companies and a broader swath of the government than previously reported.

In order to sell in the Russian market, the tech companies let a Russian defense agency scour the inner workings, or source code, of some of their products. Russian authorities say the reviews are necessary to detect flaws that could be exploited by hackers.

But those same products protect some of the most sensitive areas of the U.S government, including the Pentagon, NASA, the State Department, the FBI and the intelligence community, against hacking by sophisticated cyber adversaries like Russia.

Reuters revealed in October that Hewlett Packard Enterprise software known as ArcSight, used to help secure the Pentagon’s computers, had been reviewed by a Russian military contractor with close ties to Russia’s security services.

Now, a Reuters review of hundreds of U.S. federal procurement documents and Russian regulatory records shows that the potential risks to the U.S. government from Russian source code reviews are more widespread.

Beyond the Pentagon, ArcSight is used in at least seven other agencies, including the Office of the Director of National Intelligence and the State Department’s intelligence unit, the review showed. Additionally, products made by SAP, Symantec and McAfee and reviewed by Russian authorities are used in at least eight agencies. Some agencies use more than one of the four products.

McAfee, SAP, Symantec and Micro Focus, the British firm that now owns ArcSight, all said that any source code reviews were conducted under the software maker’s supervision in secure facilities where the code could not be removed or altered. The process does not compromise product security, they said. Amid growing concerns over the process, Symantec and McAfee no longer allow such reviews and Micro Focus moved to sharply restrict them late last year.

The Pentagon said in a previously unreported letter  to Democratic Senator Jeanne Shaheen that source code reviews by Russia and China “may aid such countries in discovering vulnerabilities in those products.”

Reuters has not found any instances where a source code review played a role in a cyberattack, and some security experts say hackers are more likely to find other ways to infiltrate network systems.

But the Pentagon is not alone in expressing concern. Private sector cyber experts, former U.S. security officials and some U.S. tech companies told Reuters that allowing Russia to review the source code may expose unknown vulnerabilities that could be used to undermine U.S. network defenses.

“Even letting people look at source code for a minute is incredibly dangerous,” said Steve Quane, executive vice president for network defense at Trend Micro, which sells TippingPoint security software to the U.S. military.

Worried about those risks to the U.S. government, Trend Micro has refused to allow the Russians to conduct a source code review of TippingPoint, Quane said.

Quane said top security researchers can quickly spot exploitable vulnerabilities just by examining source code.

“We know there are people who can do that, because we have people like that who work for us,” he said.

OPENING THE DOOR

Many of the Russian reviews have occurred since 2014, when U.S.-Russia relations plunged to new lows following Moscow’s annexation of Crimea. Western nations have accused Russia of sharply escalating its use of cyber attacks during that time, an allegation Moscow denies.

Some U.S. lawmakers worry source code reviews could be yet another entry point for Moscow to wage cyberattacks.

“I fear that access to our security infrastructure – whether it be overt or covert – by adversaries may have already opened the door to harmful security vulnerabilities,” Shaheen told Reuters.

In its Dec. 7 letter to Shaheen, the Pentagon said it was “exploring the feasibility” of requiring vendors to disclose when they have allowed foreign governments to access source code. Shaheen had questioned the Pentagon about the practice following the Reuters report on ArcSight, which also prompted Micro Focus to say it would restrict government source code reviews in the future. HPE said none of its current products have undergone Russian source code review.

Lamar Smith, the Republican chairman of the House Science, Space and Technology Committee, said legislation to better secure the federal cybersecurity supply chain was clearly needed.

Most U.S. government agencies declined to comment when asked whether they were aware technology installed within their networks had been inspected by Russian military contractors. Others said security was of paramount concern but that they could not comment on the use of specific software.

A Pentagon spokeswoman said it continually monitors the commercial technology it uses for security weaknesses.

NO PENCILS ALLOWED Tech companies wanting to access Russia’s large market are often required to seek certification for their products from Russian agencies, including the FSB security service and Russia’s Federal Service for Technical and Export Control (FSTEC), a defense agency tasked with countering cyber espionage.

FSTEC declined to comment and the FSB did not respond to requests for comment. The Kremlin referred all questions to the FSB and FSTEC.

FSTEC often requires companies to permit a Russian government contractor to test the software’s source code.

SAP HANA, a database system, underwent a source code review in order to obtain certification in 2016, according to Russian regulatory records. The software stores and analyzes information for the State Department, Internal Revenue Service, NASA and the Army.

An SAP spokeswoman said any source code reviews were conducted in a secure, company-supervised facility where recording devices or even pencils are “are strictly forbidden.”

“All governments and governmental organizations are treated the same with no exceptions,” the spokeswoman said.

While some companies have since stopped allowing Russia to review source code in their products, the same products often remain embedded in the U.S. government, which can take decades to upgrade technology.

Security concerns caused Symantec to halt all government source code reviews in 2016, the company’s chief executive told Reuters in October. But Symantec Endpoint Protection antivirus software, which was reviewed by Russia in 2012, remains in use by the Pentagon, the FBI, and the Social Security Administration, among other agencies, according to federal contracting records reviewed by Reuters.

In a statement, a Symantec spokeswoman said the newest version of Endpoint Protection, released in late 2016, never underwent a source code review and that the earlier version has received numerous updates since being tested by Russia. The California-based company said it had no reason to believe earlier reviews had compromised product security. Symantec continued to sell the older version through 2017 and will provide updates through 2019.

McAfee also announced last year that it would no longer allow government-mandated source code reviews.

The cyber firm’s Security Information and Event Management (SIEM) software was reviewed in 2015 by a Moscow-based government contractor, Echelon, on behalf of FSTEC, according to Russian regulatory documents. McAfee confirmed this.

The Treasury Department and Defense Security Service, a Pentagon agency tasked with guarding the military’s classified information, continue to rely on the product to protect their networks, contracting records show.

McAfee declined to comment, citing customer confidentiality agreements, but it has previously said the Russian reviews are conducted at company-owned premises in the United States.

‘YOU CAN’T TRUST ANYONE’

On its website, Echelon describes itself as an official laboratory of the FSB, FSTEC, and Russia’s defense ministry. Alexey Markov, the president of Echelon, which also inspected the source code for ArcSight, said U.S. companies often initially expressed concerns about the certification process.

“Did they have any? Absolutely!!” Markov wrote in an email.

“The less the person making the decision understands about programming, the more paranoia they have. However, in the process of clarifying the details of performing the certification procedure, the dangers and risks are smoothed out.”

Markov said his team always informs tech companies before handing over any discovered vulnerabilities to Russian authorities, allowing the firms to fix the detected flaw. The source code reviews of products “significantly improves their safety,” he said.

Chris Inglis, the former deputy director of the National Security Agency, the United States’ premier electronic spy agency, disagrees.

“When you’re sitting at the table with card sharks, you can’t trust anyone,” he said. “I wouldn’t show anybody the code.”

(Reporting by Dustin Volz and Joel Schectman in Washington and Jack Stubbs in Moscow.; Editing by Jonathan Weber and Ross Colvin)

Displaced Filipinos brace for long wait as fiery Mayon Volcano rumbles on

Lava flows from the crater of Mount Mayon volcano during a new eruption in Legazpi city, Albay province, Philippines January 25,

By Ronn Bautista and Roli Ng

LEGAZPI CITY, Philippines (Reuters) – A huge plume of ash billowed from the glowing peak of the Philippines’ most active volcano on Thursday, as more residents of surrounding areas fled and experts warned of further escalation 12 days after it started to erupt.

A cloud hovered some 8,202 feet (2,500 meters) above Mount Mayon in central Albay province and orange lava fountained and flowed down from its crater as magma continued to move beneath.

Scientists recorded regular episodes of intense activity throughout the day. Tourists, residents and media gathered at vantage points to document the drama at the country’s most impressive volcano, which last erupted in 2014.

Mayon’s unrest has displaced about 75,500 people, the majority of whom are in evacuation centers, where children lined up for meals and parents braced for the possibility of a long stay away from home.

Lava flows from the crater of Mount Mayon volcano during a new eruption in Legazpi city, Albay province, Philippines January 25,

Lava flows from the crater of Mount Mayon volcano during a new eruption in Legazpi city, Albay province, Philippines January 25, 2018. REUTERS/Romeo Ranoco

“We are worried. We got used to the volcano, but we are still afraid,” said one evacuee, Irene Agao.

“If only we could, we would go home right now, away from this evacuation center, but we need to stay. Because we never know what else the beautiful Mayon volcano will do.”

Government offices and schools have been closed in 17 towns and municipalities and 66 flights have been canceled in recent days. The authorities have warned residents far from the area to stay indoors to avoid heavy ash fall.

The alert remains just one notch below the highest level of 5, after five more episodes. The provincial government has expanded the no-go area around the 2,462-metre (8,077-foot) Mayon to a radius of 9 kilometers.

Mayon was showing no signs of calming down soon, said Paul Alanis of the Philippine volcanology agency.

“Right now our instruments around the volcano are measuring or detecting magma constantly coming up from below,” Alanis said.

“So there’s always that danger, that this may still escalate.”

(Writing by Martin Petty; Editing by Clarence Fernandez)

Trump warns Erdogan to avoid clash between U.S., Turkish forces

Fighters from the self-defence forces of the Kurdish-led north hold their weapons during a rally in Hasaka, northeastern Syria. REUTERS/Rodi Said

By Idrees Ali and Arshad Mohammed

WASHINGTON (Reuters) – U.S. President Donald Trump urged Turkey on Wednesday to curtail its military operation in Syria and warned it not to bring U.S. and Turkish forces into conflict, but a Turkish source said a White House readout did not accurately reflect the conversation.

Turkey’s air and ground operation in Syria’s Afrin region, now in its fifth day, targets U.S.-backed Kurdish YPG fighters, which Ankara sees as allies of Kurdish insurgents who have fought in southeastern Turkey for decades.

Turkish President Tayyip Erdogan said he would extend the operation to Manbij, a separate Kurdish-held enclave some 100 km (60 miles) east of Afrin, possibly putting U.S. forces there at risk and threatening U.S. plans to stabilize a swath of Syria.

Speaking with Erdogan by telephone, Trump became the latest U.S. official to try to rein in the offensive and to pointedly flag the risk of the two allies’ forces coming into conflict.

“He urged Turkey to deescalate, limit its military actions, and avoid civilian casualties,” a White House statement said. “He urged Turkey to exercise caution and to avoid any actions that might risk conflict between Turkish and American forces.”

The United States has around 2,000 troops in Syria.

However, a Turkish source said the White House statement did not accurately reflect the content of their phone call.

“President Trump did not share any ‘concerns about escalating violence’ with regard to the ongoing military operation in Afrin,” the source said, referring to one comment in the White House summary of their conversation.

“The two leaders’ discussion of Operation Olive Branch was limited to an exchange of views,” the source said.

Trump said in response to Erdogan’s call on the United States to end the delivery of weapons to the YPG that the United States no longer supplied the group with weapons and pledged not to resume the weapons delivery in the future, the source said.

The offensive has opened a new front in Syria’s multi-sided, seven-year-old civil war and complicated U.S. efforts in Syria.

The United States hopes to use the YPG’s control of the area to give it the diplomatic muscle it needs to revive U.N.-led talks in Geneva on a deal that would end Syria’s civil war and eventually lead to the ouster of President Bashar Assad.

DIVERGING INTERESTS

The United States and Turkey, while themselves allies in the North Atlantic Treaty Organization, have diverging interests in Syria, with Washington focused on defeating the Islamic State militant group and Ankara keen to prevent Syria’s Kurds from gaining autonomy and fueling Kurdish insurgents on its soil.

In the short-term, analysts say, the United States has little pressure it can apply on Turkey given the U.S. military’s heavy dependence on a Turkish base to carry out air strikes in Syria against Islamic State.

Its sway is further limited by the United States not having reliable military partners in Syria other than the Kurds, said Gonul Tol, director of the Center for Turkish Studies at Washington’s Middle East Institute think tank.

“The U.S. needs Turkey not to spoil things … until now, Washington has walked a very fine line between working with the Kurdish militia and also preventing a complete breakdown in relations with Ankara,” Tol said.

A U.S. official, speaking on condition of anonymity, said Trump values his relationship with Erdogan, but conceded that the United States has limited leverage and that the Trump administration was unlikely to commit more troops or covert operators to Syria, even if Turkey made a move from Afrin to Manbij.

“The U.S. has effectively said you can do this operation against Afrin because it is outside my area, but please keep it limited,” said Bulent Aliriza, director of the Turkey Project at the Washington-based think tank CSIS. “So it has not felt the need to go beyond the rhetorical means that it has employed.”

Erdogan has looked to bolster ties with Russia and Iran in recent years, in part because of frustration with Washington’s support for the YPG in the fight against Islamic State.

Ankara sees the YPG as an extension of the outlawed Kurdistan Workers Party (PKK) insurgent group, which is deemed a terrorist organization by the United States, the EU and Turkey.

In a clear sign of rapprochement, Ankara is buying an S-400 missile defense system from Russia – unnerving NATO officials, who are already wary of Moscow’s military presence in the Middle East. The S-400 is incompatible with NATO’s systems.

However, analysts say those moves are largely tactical and ultimately Turkey will be open to listening to U.S. concerns about its military operation, given that Ankara needs the European Union for trade and NATO partners for its security.

“I think behind closed doors, he really would not want a complete break in Turkey’s relations with the West,” Tol said.

Max Hoffman, with the Center for American Progress, said the United States still had considerable leverage and could look at imposing sanctions on Turkey in the future, should Turkish forces disregard warnings on Manbij.

(Additional reporting by Doina Chiacu; Editing by Alistair Bell and Paul Tait)

Gunmen storm Save the Children aid group office in Afghanistan

Afghan police officers take position during a blast and gun fire in Jalalabad, Afghanistan January 24,

By Rafiq Sherzad and Ahmad Sultan

JALALABAD, Afghanistan (Reuters) – Gunmen stormed an office of the Save the Children aid agency in Afghanistan’s eastern city of Jalalabad on Wednesday and at least five people were killed and 25 wounded in a daylong battle with security forces before the attack was finally suppressed.

Islamic State claimed responsibility for the assault, which began with a suicide car bomb outside the office in the morning and continued as gunmen entered the compound where they resisted Afghan security forces for about 10 hours.

Black smoke funneled into the sky from the area as gunmen battled special forces through the afternoon. Up to 45 people who had taken refuge in a fortified “safe room” in the compound were rescued by late afternoon, but fighting continued past nightfall when officials said the last attacker was killed.

“The fight is over,” the provincial governor’s spokesman, Attaullah Khogyani, told reporters.

Authorities said three Save the Children employees had been killed, including one guard, as well as a member of the Afghan security forces and a shopkeeper.

In addition to the suicide bomber who blew himself up, four other gunmen were shot by security forces. Witnesses said at least some of them were in police uniform, a commonly used tactic.

The raid began with a huge blast at around 9 a.m. that rocked the neighborhood, where other aid groups and government buildings are based. A neighboring building of another aid group caught fire but all staff were evacuated.

“Right after that children and people started running away,” said Ghulam Nabi, who was nearby when the bomb exploded. “I saw a vehicle catch fire and then a gunfight started.”

Islamic State, in a statement on its Amaq news agency, said the attack targeted British, Swedish and Afghan government institutions. Save the Children was founded in Britain, and a Swedish aid group office and a building of the Afghan Department of Women’s Affairs are near the compound.

The attack underlines how difficult operating in Afghanistan has become for humanitarian aid groups, which have faced heavy pressure from armed groups and kidnappers. In 2017, a total of 17 aid workers were killed and 32 injured in the country.

“OUTRAGEOUS”

Save the Children, which says it reaches almost 1.4 million children in Afghanistan, said that for the moment it had closed its offices in Afghanistan. It has operated in Afghanistan since 1976, working in eight provinces as well as in three others through partnership agreements.

“We are shocked and appalled at the violence carried out against our staff in Afghanistan, who are dedicated humanitarians, committed to improving the lives and wellbeing of millions of children across the country,” Save the Children International CEO Helle Thorning-Schmidt said in a statement.

“We have temporarily suspended our operations across the country following today’s events. However, we remain fully committed to helping the most deprived children of Afghanistan.”

In October, the Red Cross said it was drastically reducing operations in Afghanistan following attacks that killed seven of its staff.

“An attack against an organization that helps children is outrageous. Civilians and aid workers must not be targeted,” said Monica Zanarelli, head of the Red Cross delegation in Afghanistan, in response to Wednesday’s attack.

“Increased violence has made operating in Afghanistan increasingly difficult for many organizations.”

President Ashraf Ghani, whose government has been under heavy pressure to improve security, also condemned the attack in a statement in which he called on neighboring countries not to help militant groups.

Jalalabad is the capital of Nangarhar province on the porous border with Pakistan. Nangarhar has become a bastion of Islamic State, which has grown into one of Afghanistan’s most dangerous militant groups since it appeared around the beginning of 2015.

Backed by intensive U.S. air strikes, Afghan forces have claimed growing success against the Taliban and other militant groups, including Islamic State. But militant attacks on civilian targets have continued, causing heavy casualties.

The attack in Jalalabad occurred just days after Taliban militants raided the Hotel Intercontinental in the capital, Kabul, killing at least 20 people, including 13 foreigners.

(Additional reporting by Mirwais Harooni and James Mackenzie in KABUL, Stephanie Ulmer-Nebehay in GENEVA and Eric Knecht in CAIRO; Writing by Robert Birsel; Editing by Mark Heinrich)

Japan tells U.N. of North Korean tanker suspected of sanctions busting

The North Korean-flagged tanker "Rye Song Gang 1" is pictured on the East China sea in this photo taken on January 20, 2018 and released by Japan's Ministry of Defense. Defense Ministry of Japan/Handout via REUTERS

TOKYO (Reuters) – Japan has told the United Nations about a North Korean tanker spotted in the East China Sea that it suspects was engaged in a transfer of goods with another tanker in defiance of U.N. sanctions, the Foreign Ministry said on Wednesday.

North Korea’s development of nuclear weapons and missiles capable of hitting the United States has spurred deepening U.N. Security Council sanctions and stoked fears of a military conflict.

According to a statement issued by the Foreign Ministry, the North Korean-flagged tanker “Rye Song Gang 1” – blacklisted by the United Nations last month for carrying banned cargo – was spotted by a Japanese Maritime Self Defence Force patrol plane with the Dominican-flagged tanker “Yuk Tung” tied up beside it in the East China Sea on Saturday.

The two boats were lit up and some kind of activity was taking place, the Foreign Ministry said, adding that the Japanese government strongly suspected them of transferring goods in violation of the U.N. sanctions.

It did not specify what goods it suspected were being transferred. The U.N. Security Council in December unanimously imposed new sanctions on North Korea for a recent intercontinental ballistic missile test, seeking to further limit its access to refined petroleum products and crude oil.

The ministry also said it appeared that the North Korean-flagged vessel, one of four additional vessels recently denied international port access by the United Nations for breaching sanctions, had disguised its name so that it read “Song Hae.”

“We have reported this to the U.N. and also given this information to other nations involved, including those connected to the Dominican tanker, expressing our concern,” the ministry added.

Diplomats from Dominica, a tiny Carribean island which suffered widespread damage in a hurricane in September, were not immediately available for comment.

North Korea is developing missile and nuclear technology in defiance of international condemnation amid regular threats to destroy the United States, Japan and South Korea.

But tensions have eased with North Korea agreeing to take part in the Winter Olympics in the South next month.

(Reporting by Elaine Lies and Kiyoshi Takenaka; Editing by Nick Macfie)

Tillerson, Russia’s Lavrov discuss Syria, North Korea, Ukraine: State Department

Russian Foreign Minister Sergei Lavrov takes his seat during a joint news conference with Yemeni Foreign Minister Abdel-Malek al-Mekhlafi following their meeting in Moscow, Russia January 22, 2018.

WASHINGTON (Reuters) – U.S. Secretary of State Rex Tillerson and his Russian counterpart Sergei Lavrov discussed the ongoing crises in Syria, North Korea and Ukraine in a call on Wednesday, U.S. State Department spokeswoman Heather Nauert said.

“On Syria, the two discussed Russia’s role in ensuring the Assad regime plays a constructive role in the UN-led Geneva process,” Nauert said in statement. Tillerson also pressed “all parties” to implement UN-led action on North Korea and called for an end to escalating violence in Ukraine, she added.

(Reporting by Susan Heavey and Katanga JohnsonEditing by Chizu Nomiyama)