Alabama hostage standoff ends with gunman dead, boy safe









MIDLAND CITY, Ala. -- A man who killed a school bus driver and then held a 5-year-old boy hostage in an underground bunker in rural Alabama for nearly a week was killed on Monday and the child was plucked to safety without injury, law enforcement officials said.

FBI agents entered the bunker to rescue the child after fearing that he was in “imminent danger,” said Steve Richardson, special agent in charge in Mobile.






Negotiations with the suspect, identified as 65-year-old Jimmy Lee Dykes, had deteriorated during the previous 24 hours, Richardson said during a televised news conference.

“Mr. Dykes was observed holding a gun,” the FBI agent said.

The rescue of the boy came on the seventh day of a standoff that drew national media coverage and gripped a rural corner of southeast Alabama with dread.

The drama began when Dykes, a retired trucker and veteran of the war in Vietnam, seized the kindergarten student last Tuesday after boarding a school bus and killing its driver with four shots from a 9 mm handgun, local sheriff's department officials said.

Dykes fled with the child, identified only as Ethan, to a homemade bunker on the man's property down a dirt road.

The child was being treated on Monday at a local hospital, but was physically unharmed, Richardson said. The boy is due to celebrate his birthday on Wednesday and, by all accounts, was taken by Dykes at random.

It was not immediately clear how Dykes died.

A local law enforcement source said a stun or flash grenade was detonated as part of the operation to free the boy, but further details were not immediately released.

The hostage-taking came amid heightened concerns about gun violence and school safety across the United States after the December shooting deaths of 20 children and six adults at a Connecticut elementary school.

Law enforcement officials had offered few insights about Dykes and their negotiations with him ahead of the rescue just after 3 p.m. local time.

Earlier on Monday, Dale County Sheriff Wally Olson said the gunman had a “very complex” story to tell.

“Based on our discussion with Mr. Dykes, he feels like he has a story that's important to him, although it's very complex. And we try to make a safe environment for all for that,” Olson said, without elaborating.

The sheriff's office previously had thanked Dykes for allowing them to deliver medication, coloring books and toys to the boy, who is said to suffer from Asperger's Syndrome and attention deficit-hyperactivity disorder.

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Syrian opposition chief says offers Assad peaceful exit


BEIRUT (Reuters) - Syrian opposition leader Moaz Alkhatib urged Syrian President Bashar al-Assad's government on Monday to start talks for its departure from power and save the country from greater ruin after almost two years of bloodshed.


Seeking to step up pressure on Assad to respond to his offer of talks - which dismayed some in his own opposition coalition, Alkhatib said he would be ready to meet the president's deputy.


"I ask the regime to send Farouq al-Shara - if it accepts the idea - and we can sit with him," he said, referring to Syria's vice president who has implicitly distanced himself from Assad's crackdown on mass unrest that became an armed revolt.


Speaking after meeting senior Russian, U.S. and Iranian officials, Alkhatib said none of them had an answer to the 22-month-old crisis and Syrians must solve it themselves.


"The issue is now in the state's court...to accept negotiations for departure, with fewer losses," the Syrian National Coalition leader told Al Arabiya television.


The moderate Islamist preacher announced last week he was prepared to talk to Assad's representatives. Although he set several conditions, the move broke a taboo on opposition contacts with Damascus and angered many in its ranks who insist on Assad's departure as a precondition for negotiation.


Alkhatib said it was not "treachery" to seek dialogue to end a conflict in which more than 60,000 people have been killed, 700,000 have been driven from their country and millions more are homeless and hungry.


"The regime must take a clear stand (on dialogue) and we say we will extend our hand for the interest of people and to help the regime leave peacefully," he said in separate comments to Al Jazeera television.


Assad announced last month what he said were plans for reconciliation talks to end the violence but - in a speech described by U.N. Syria envoy Lakhdar Brahimi as narrow and uncompromising - he said there would be no dialogue with people he called traitors or "puppets made by the West".


Syria's defense minister said the army had proved it would not be defeated in its confrontation with rebels but declined to say whether it would respond to an Israeli air strike last week.


Security sources said the Israelis bombed a convoy of arms destined for Assad's ally Hezbollah, a sworn enemy of Israel, in neighboring Lebanon. Syria said the attack struck vehicles and buildings at a military research center near Lebanon's border.


Syria's uprising erupted in March 2011 with largely peaceful protests, escalating into a civil war pitting mainly Sunni Muslim rebels against Assad, who is from Syria's Alawite minority. His family has ruled Syria for 42 years.


ANGER AT IRAN


The violence has divided major powers, with Russia and China blocking U.N. Security Council draft resolutions backed by the United States, European Union and Sunni Muslim Gulf Arab states that could have led to U.N. sanctions isolating Assad. Shi'ite Iran has remained his strongest regional supporter.


Alkhatib met Iranian Foreign Minister Ali Akbar Salehi, Russian Foreign Minister Sergei Lavrov and U.S. Vice President Joe Biden at a security conference in Germany at the weekend.


"Iran's stance is unacceptable and I mentioned to the foreign minister that we are very angry with Iran's support for the regime," Alkhatib said.


He said he asked Salehi to pass on his offer of negotiations - based on the acceptance of the Assad government's departure - to Damascus. The two men also discussed the need to prevent Syria's crisis spreading into a regional conflict between Sunni and Shi'ite Muslims, he said.


"We will find a solution, there are many keys. If the regime wants to solve (the crisis), it can take part in it. If it wants to get out and get the people out of this crisis, we will all work together for the interest of the people and the departure of the regime."


One proposal under discussion was the formation of a transitional government, Alkhatib said, without specifying how he thought that could come about. World powers agreed a similar formula seven months ago but then disagreed over whether that could allow Assad to stay on as head of state.


Activists reported clashes between the army and rebel fighters to the east of Damascus on Monday and heavy shelling of rebel-held areas of the central city of Homs. The Jobar neighborhood, on the southwestern edge of Homs, was hit by more than 100 rockets on Monday morning, an opposition activist said.


The Syrian Observatory for Human Rights said at least 90 people were killed by dusk on Monday.


It said 180 people were killed across the country on Sunday, including 114 rebel fighters and soldiers. Sunday's death toll included 28 people killed in the bombardment of a building in the Ansari district of the northern city of Aleppo.


Assad has described the rebels as foreign-backed Islamist terrorists and said a precondition for any solution is that Turkey and Sunni-ruled Gulf Arab states stop funding, sheltering and arming his foes.


The majority of the insurgents are Islamists but those affiliated with al Qaeda are smaller in number, although their influence is growing. For that reason, Western states have been loath to arm the rebels despite their calls for Assad's ouster.


Rebels and activists say that Iran and the Lebanese Shi'ite militant movement Hezbollah have sent fighters to reinforce Assad's army - an accusation that both deny.


ECONOMIC SUPPORT


"The army of Syria is big enough, they do not need fighters from outside," Iran's Salehi said in Berlin on Monday.


"We are giving them economic support, we are sending gasoline, we are sending wheat. We are trying to send electricity to them through Iraq; we have not been successful."


Iranian President Mahmoud Ahmadinejad said later on Monday that Syria's crisis could not be solved by military means and he called for a national accord leading to elections.


"War is not the solution...A government that rules through war - its work will be very difficult. A sectarian war should not be launched in Syria," he told Al Mayadeen television.


"We believe that (deciding) whoever stays or goes is the right of the Syrian people. How can we interfere in that? We must strive to achieve national understanding, and free elections."


Another Iranian official, speaking in Damascus after talks with Assad, said Israel would regret an air strike against Syria last week, without spelling out whether Iran or its ally planned a military response.


Salehi, Russian Foreign Minister Sergei Lavrov and U.S. Vice President Joe Biden all met Alkhatib in Munich at the weekend and portrayed his willingness to talk with Syrian authorities as a major step towards resolving the war.


But Alkhatib is under pressure from other members of the exiled leadership in Cairo for saying he would be willing to talk to Assad. Walid al-Bunni, a member of the Coalition's 12-member politburo, dismissed Alkhatib's meeting with Salehi.


"It was unsuccessful. The Iranians are unprepared to do anything that could help the causes of the Syrian Revolution," Bunni, a former political prisoner, told Reuters from Budapest.


(Additional reporting by Yeganeh Torbati in Dubai and Stephen Brown in Berlin; Editing by Mark Heinrich)



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"Great Rotation"- A Wall Street fairy tale?

NEW YORK (Reuters) - Wall Street's current jubilant narrative is that a rush into stocks by small investors has sparked a "great rotation" out of bonds and into equities that will power the bull market to new heights.


That sounds good, but there's a snag: The evidence for this is a few weeks of bullish fund flows that are hardly unusual for January.


Late-stage bull markets are typically marked by an influx of small investors coming late to the party - such as when your waiter starts giving you stock tips. For that to happen you need a good story. The "great rotation," with its monumental tone, is the perfect narrative to make you feel like you're missing out.


Even if something approaching a "great rotation" has begun, it is not necessarily bullish for markets. Those who think they are coming early to the party may actually be arriving late.


Investors pumped $20.7 billion into stocks in the first four weeks of the year, the strongest four-week run since April 2000, according to Lipper. But that pales in comparison with the $410 billion yanked from those funds since the start of 2008.


"I'm not sure you want to take a couple of weeks and extrapolate it into whatever trend you want," said Tobias Levkovich, chief U.S. equity strategist at Citigroup. "We have had instances where equity flows have picked up in the last two, three, four years when markets have picked up. They've generally not been signals of a continuation of that trend."


The S&P 500 rose 5 percent in January, its best month since October 2011 and its best January since 1997, driving speculation that retail investors were flooding back into the stock market.


Heading into another busy week of earnings, the equity market is knocking on the door of all-time highs due to positive sentiment in stocks, and that can't be ignored entirely. The Standard & Poor's 500 Index <.spx> ended the week about 4 percent from an all-time high touched in October 2007.


Next week will bring results from insurers Allstate and The Hartford , as well as from Walt Disney , Coca-Cola Enterprises and Visa .


But a comparison of flows in January, a seasonal strong month for the stock market, shows that this January, while strong, is not that unusual. In January 2011 investors moved $23.9 billion into stock funds and $28.6 billion in 2006, but neither foreshadowed massive inflows the rest of that year. Furthermore, in 2006 the market gained more than 13 percent while in 2011 it was flat.


Strong inflows in January can happen for a number of reasons. There were a lot of special dividends issued in December that need reinvesting, and some of the funds raised in December tax-selling also find their way back into the market.


During the height of the tech bubble in 2000, when retail investors were really embracing stocks, a staggering $42.7 billion flowed into equities in January of that year, double the amount that flowed in this January. That didn't end well, as stocks peaked in March of that year before dropping over the next two-plus years.


MOM AND POP STILL WARY


Arguing against a 'great rotation' is not necessarily a bearish argument against stocks. The stock market has done well since the crisis. Despite the huge outflows, the S&P 500 has risen more than 120 percent since March 2009 on a slowly improving economy and corporate earnings.


This earnings season, a majority of S&P 500 companies are beating earnings forecast. That's also the case for revenue, which is a departure from the previous two reporting periods where less than 50 percent of companies beat revenue expectations, according to Thomson Reuters data.


Meanwhile, those on the front lines say mom and pop investors are still wary of equities after the financial crisis.


"A lot of people I talk to are very reluctant to make an emotional commitment to the stock market and regardless of income activity in January, I think that's still the case," said David Joy, chief market strategist at Columbia Management Advisors in Boston, where he helps oversee $571 billion.


Joy, speaking from a conference in Phoenix, says most of the people asking him about the "great rotation" are fund management industry insiders who are interested in the extra business a flood of stock investors would bring.


He also pointed out that flows into bond funds were positive in the month of January, hardly an indication of a rotation.


Citi's Levkovich also argues that bond investors are unlikely to give up a 30-year rally in bonds so quickly. He said stocks only began to see consistent outflows 26 months after the tech bubble burst in March 2000. By that reading it could be another year before a serious rotation begins.


On top of that, substantial flows continue to make their way into bonds, even if it isn't low-yielding government debt. January 2013 was the second best January on record for the issuance of U.S. high-grade debt, with $111.725 billion issued during the month, according to International Finance Review.


Bill Gross, who runs the $285 billion Pimco Total Return Fund, the world's largest bond fund, commented on Twitter on Thursday that "January flows at Pimco show few signs of bond/stock rotation," adding that cash and money markets may be the source of inflows into stocks.


Indeed, the evidence suggests some of the money that went into stock funds in January came from money markets after a period in December when investors, worried about the budget uncertainty in Washington, started parking money in late 2012.


Data from iMoneyNet shows investors placed $123 billion in money market funds in the last two months of the year. In two weeks in January investors withdrew $31.45 billion of that, the most since March 2012. But later in the month money actually started flowing back.


(Additional reporting by Caroline Valetkevitch; Editing by Kenneth Barry)



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Sandy Hook choir, Hudson delight Super Bowl crowd


NEW ORLEANS (AP) — As 26 children in white polo shirts excitedly walked to center of the Superdome field and prepared to sing, a packed Super Bowl crowd revved up by a day of partying in the Big Easy fell silent.


The chorus from Sandy Hook Elementary School, nearly two months removed from a deadly shooting rampage, joined Jennifer Hudson to deliver a stirring rendition of "America the Beautiful" on Sunday that had some players on the sideline and countless fans in the stands on the verge of tears.


Judging by the responses on social media, the performance appeared destined to become one of the most poignant memories of the Super Bowl, regardless of what played out in the game.


"Sandy hook elementary chorus singing America the beautiful and Alicia keys national anthem makes me proud to be American," model Kate Upton said on her Twitter page.


Gerald Rokoff, standing near a portal in the Superdome's upper deck, turned and said, "Beyond beautiful," when the children finished singing.


Sandy Hook is the school in Newtown, Conn., where 20 first-graders and six adults were killed by a gunman on Dec. 14.


An NFL spokesman said no one with the chorus was available for interviews, but a statement was delivered on behalf of the school.


"We have come to New Orleans to represent the Sandy Hook Family and the community of Newtown, Connecticut," the statement said. "Our wish is to demonstrate to America and the world that, 'We are Sandy Hook and We Choose Love.'"


The children wore green ribbons on their white shirts, which seemed to symbolize the innocence of youth, and stood in two rows of 13 on the NFL's red, white and blue shield logo for the performance. Many smiled excitedly as they sang the first verse. Then Hudson, wearing a black blouse and long, white skirt, fronted them for a second verse that showcased her sterling voice.


Baltimore Ravens coach John Harbaugh watched with his left arm around daughter, Alison, and his right hand over his heart.


Ravens nose tackle Terrence Cody could be seen on the stadium's video board tilting his head back, appearing to hold back tears.


Fans offered a rousing ovation at the finish, and the chorus then trotted to the 20-yard line and turned, with their hands on their hearts, to watch Alicia Keys sing the national anthem.


Caitlin Hamilton, a 22-year-old English teacher from Dodge City, Kansas, said on Twitter she thought the performance would, without a doubt, be the best part of the Super Bowl.


"It just shows that they're still persevering despite what's happened to them," Hamilton said. "It was a great way to lift up the people of Sandy Hook as well, and to let them know that the people of America support them."


Hamilton said that as a teacher, when she thinks about the shooting she thinks of herself in the same situation. She said Hudson did well leading the song, but the kids were the main event.


"I thought the kids were more inspirational that they could get up there and sing despite everything that had happened to them," she said.


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Energy industry develops nontoxic fracking fluids






PITTSBURGH (AP) — The oil and gas industry is trying to ease environmental concerns by developing nontoxic fluids for the drilling process known as fracking, but it’s not clear whether the new product will be widely embraced by drilling companies.


Houston-based energy giant Halliburton Inc. has developed a product called CleanStim, which uses only food-industry ingredients. Other companies have developed nontoxic fluids as well.






Halliburton is in the business to provide solutions to our customers,” said production manager Nicholas Gardiner. “Those solutions have to include ways to reduce the safety or environmental concerns that the public might have.”


Environmental groups say they welcome the development but still have questions.


The chemicals in fracking fluids aren’t the only environmental concern, said George Jugovic, president of PennFuture. He said there is also concern about the large volumes of naturally occurring but exceptionally salty wastewater and air pollution.


It’s premature to say whether it will ever be feasible to have fluids for fracking that are totally nontoxic, said Scott Anderson, a senior adviser for the Environmental Defense Fund.


“But we are encouraged to some extent by recent industry efforts to at least reduce the toxicity,” Anderson said.


Fracking, short for hydraulic fracturing, has made it possible to tap into energy reserves across the nation but also has raised concerns about pollution, since large volumes of water, along with sand and hazardous chemicals, are injected deep into the ground to free the oil and gas from rock.


Regulators contend that overall, water and air pollution problems are rare, but environmental groups and some scientists say there hasn’t been enough research on those issues. The industry and many federal and state officials say the practice is safe when done properly, but faulty wells and accidents have caused problems.


Halliburton says CleanStim will provide “an extra margin of safety to people, animals and the environment in the unlikely occurrence of an incident” at a drilling site.


Gardiner said Halliburton has developed a chemistry-scoring system for the fluids, with lower scores being better. CleanStim has a zero score, he said, and is “relatively more expensive” than many traditional fracking fluids.


Both Jugovic and Anderson noted that one of the most highly publicized concerns about toxic fracking fluids hasn’t really been an issue: the suggestion that they might migrate from thousands of feet underground, up to drinking water aquifers.


“Most people agree there are no confirmed cases so far” of fracking chemicals migrating up to drinking water, Anderson said. But he added that simple spills of fluid on the surface can cause problems.


“The most likely of exposure is not from the fracking itself. It is from spills before the fracking fluid is injected,” Anderson said.


There also may be technical and cost issues that limit the acceptance of products such as CleanStim. There is tremendous variation in the type of shale rock in different parts of the country. For example, drillers use different fluids even within the same state, and the specific mix can play a large role in determining how productive a well is.


Gardiner wouldn’t say how widely used CleanStim is. “The customers who do use it certainly like the material,” he added.


Terry Engelder, a geologist at Penn State University, said he visited a well in that state last year that used just water, sand and three additives in the fracking fluid.


But Engelder added that “green” and “toxic” can be “soft words without real meaning.” He noted that consumers, businesses and farms use vast quantities of chemicals that can contribute to pollution, from cleaners and soaps to fertilizers and pesticides. Yet all those compounds are routinely flushed down the drain, ending up in nearby rivers and streams.


“Eventually industry would like to end up with a mix of just water, sand, and food-grade additives,” Engelder said of fracking. “Companies are learning to deal with fewer and fewer additives.”


Energy News Headlines – Yahoo! News





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Hillary: Secretary of empowerment




Girls hug U.S. Secretary of State Hillary Clinton during a 2010 tour of a shelter run for sex trafficking victims in Cambodia.




STORY HIGHLIGHTS


  • Donna Brazile: Clinton stepping down as Secretary of State. Maybe she'll run for president

  • She says as secretary she expanded foreign policy to include effect on regular people

  • She says she was first secretary of state to focus on empowering women and girls

  • Brazile: Clinton has fought for education and inclusion in politics for women and girls




Editor's note: Donna Brazile, a CNN contributor and a Democratic strategist, is vice chairwoman for voter registration and participation at the Democratic National Committee. She is a nationally syndicated columnist, an adjunct professor at Georgetown University and author of "Cooking with Grease." She was manager for the Gore-Lieberman presidential campaign in 2000.


(CNN) -- As Secretary of State Hillary Rodham Clinton steps down from her job Friday, many are assuming she will run for president. And she may. In fact, five of the first eight presidents first served their predecessors as secretary of state.


It hasn't happened in more than a century, though that may change should Clinton decide to run. After all, she has been a game changer her entire life.


But before we look ahead, I think we should appreciate what she's done as secretary of state; it's a high profile, high pressure job. You have to deal with the routine as if it is critical and with crisis as if it's routine. You have to manage egos, protocols, customs and Congress. You have to be rhetorical and blunt, diplomatic and direct.



CNN Contributor Donna Brazile

CNN Contributor Donna Brazile



As secretary of state you are dealing with heads of state and with we the people. And the president of the United States has to trust you -- implicitly.


On the road with Hillary Clinton


Of all Clinton's accomplishments -- and I will mention just a few -- this may be the most underappreciated. During the election, pundits were puzzled and amazed not only at how much energy former President Bill Clinton poured into Obama's campaign, but even more at how genuine and close the friendship was.


Obama was given a lot of well-deserved credit for reaching out to the Clintons by appointing then-Sen. Hillary Clinton as his secretary of state in the first place. But trust is a two-way street and has to be earned. We should not underestimate or forget how much Clinton did and how hard she worked. She deserved that trust, as she deserved to be in the war room when Osama bin Laden was killed.


By the way, is there any other leader in the last 50 years whom we routinely refer to by a first name, and do so more out of respect than familiarity? The last person I can think of was Ike -- the elder family member who we revere with affection. Hillary is Hillary.


It's not surprising that we feel we know her. She has been part of our public life for more than 20 years. She's been a model of dignity, diplomacy, empathy and toughness. She also has done something no other secretary of state has done -- including the two women who preceded her in the Cabinet post.


Rothkopf: President Hillary Clinton? If she wants it



Hillary has transformed our understanding -- no, our definition -- of foreign affairs. Diplomacy is no longer just the skill of managing relations with other countries. The big issues -- war and peace, terror, economic stability, etc. -- remain, and she has handled them with firmness and authority, with poise and confidence, and with good will, when appropriate.


But it is not the praise of diplomats or dictators that will be her legacy. She dealt with plenipotentiaries, but her focus was on people. Foreign affairs isn't just about treaties, she taught us, it's about the suffering and aspirations of those affected by the treaties, made or unmade.








Most of all, diplomacy should refocus attention on the powerless.


Of course, Hillary wasn't the first secretary of state to advocate for human rights or use the post to raise awareness of abuses or negotiate humanitarian relief or pressure oppressors. But she was the first to focus on empowerment, particularly of women and girls.


She created the first Office of Global Women's Issues. That office fought to highlight the plight of women around the world. Rape of women has been a weapon of war for centuries. Though civilized countries condemn it, the fight against it has in a sense only really begun.


Ghitis: Hillary Clinton's global legacy on gay rights


The office has worked to hold governments accountable for the systematic oppression of girls and women and fought for their education in emerging countries. As Hillary said when the office was established: "When the Security Council passed Resolution 1325, we tried to make a very clear statement, that women are still largely shut out of the negotiations that seek to end conflicts, even though women and children are the primary victims of 21st century conflict."


Hillary also included the United States in the Trafficking in Person report. Human Trafficking, a form of modern, mainly sexual, slavery, victimizes mostly women and girls. The annual report reviews the state of global efforts to eliminate the practice. "We believe it is important to keep the spotlight on ourselves," she said. "Human trafficking is not someone else's problem. Involuntary servitude is not something we can ignore or hope doesn't exist in our own communities."


She also created the office of Global Partnerships. And there is much more.


She has held her own in palaces and held the hands of hungry children in mud-hut villages, pursuing an agenda that empowers women, children, the poor and helpless.


We shouldn't have been surprised. Her book "It Takes a Village" focused on the impact that those outside the family have, for better or worse, on a child's well-being.


As secretary of state, she did all she could to make sure our impact as a nation would be for the better.


Follow us on Twitter @CNNOpinion


Join us on Facebook/CNNOpinion


The opinions expressed in this commentary are solely those of Donna Brazile.






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Super Bowl: Ravens lead 21-3 in 2nd









The Baltimore Ravens jumped out to a fast start Sunday against the San Francisco 49ers in Super Bowl XLVII at the Superdome in New Orleans.

Joe Flacco lofted a pass to Jacoby Jones, and the wide receiver did the rest as the Ravens took a commanding 21-3 lead over 49ers right before halftime of Super Bowl XLVIII. Jones made a diving catch, then got up and danced around 49ers defenders to score the Ravens' third touchdown.






The 56-yard touchdown hookup was the longest play of the game so far. It was Flacco's third TD pass of the game and gave him a record-tying 11th of the postseason.

The score made up for the Ravens' inability to convert earlier on a fake field goal.

Safety Ed Reed, who injured his knee early in the game, intercepted 49ers quarterback Colin Kaepernick with just under seven minutes remaining before half. It was Reed's record-tying nine career postseason interception.

The Ravens took a 7-0 lead in when Flacco hit Anquan Boldin with a 13-yard touchdown in the first quarter.

It was Boldin's fourth touchdown of this year's postseason. He beat both linebacker NaVorro Bowman and safety Donte Whitner.

The 49ers went three-and-out on their first possession and were killed by an illegal formation penalty on the game's first play. It wiped out a 20-yard hook between Kaepernick and tight end Vernon Davis.

The 49ers responded to the Ravens' early touchdown with a score of their own on their second drive, but had to settle for David Akers' 36-yard field goal to make it 7-3. The big play during the drive was Kaepernick's 24-yard pass to Davis. Frank Gore threw the key block to give Kaepernick time to throw. Davis apparently was injured on the play and got medical attention.

Before the field goal, Kaepernick missed Michael Crabtree in the end zone, then got sacked by Paul Kruger on third down.

Ravens safety Ed Reed (left knee) exited the field and went to locker room after the same play during which the 49ers' Davis got banged up. Davis hurt his elbow and is probably to return.

After outside linebacker Courtney Upshawn forced a fumble and ended a 49ers' drive, the Ravens and Flacco responded with yet another touchdown to take a 14-3 lead.

Flacco ended the 10-play, 75-yard drive by firing a ball to tight end Dennis Pitta for a 1-yard score.

It was Flacco's 10th touchdown of the postseason, with no interceptions.

Inactives were announced 90 minutes before kickoff.

The Ravens' inactives: CB Asa Jackson, S Omar Brown, CB Chris Johnson, LB Adrian Hamilton, G/T Ramon Harewood, WR Deonte Thompson, DT Bryan Hall.

For the 49ers, QB Scott Tolzien, S Trenton Robinson, RB Jewel Hampton, LB Cam Johnson, DT Tony Jerod-Eddie, G Joe Looney and nose tackle Ian Williams.

-- 49ers kicker David Akers, who has been struggling since late in the regular season, hit the crossbar on a 60-yard field-goal attempt pregame kicking toward the Baltimore Ravens' endzone. Akers made a pair of 55-yarders and came up short on an earlier 60-yard attempt.

He missed another 60-yard try kicking toward the San Francisco 49ers' endzone.

-- Kaepernick is the fourth quarterback to start a Super Bowl in the same season in which he made his first career start.

The two previous quarterbacks in that position, Tom Brady and Kurt Warner, also won.

--Ravens players made $86,000 apiece in playoff earnings through the AFC championship game. The 49ers had made $64,000 -- San Francisco had a first-round bye, and played two games instead of three for the Ravens. The Super Bowl winner player share was $88,000, with $44,000 per player to the losing team.

-- The 49ers are 5-0 in the Super Bowl before Sunday. The Ravens, also undefeated, were 1-0.

The Ravens lead the all-time series with the 49ers 3-1 and have won the last three meetings

-- 49ers safety Donte Whitner and wide receiver Ted Ginn were also teammates at Cleveland's Glenville high School. Only once before have high school teammates won the Super Bowl; running back Dominic Rhodes and long-snapper Justin Snow did it as Colts teammates who won Super Bowl XLI. They were teammates at Cooper High School in Abilene, Texas.

Tribune News Services contributed



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Iran hedges on nuclear talks with six powers or U.S.


MUNICH (Reuters) - Iran said on Sunday it was open to a U.S. offer of direct talks on its nuclear program and that six world powers had suggested a new round of nuclear negotiations this month, but without committing itself to either proposal.


Diplomatic efforts to resolve a dispute over Iran's nuclear program, which Tehran says is peaceful but the West suspects is intended to give Iran the capability to build a nuclear bomb, have been all but deadlocked for years, while Iran has continued to announce advances in the program.


Iranian Foreign Minister Ali Akbar Salehi said a suggestion on Saturday by U.S. Vice President Joe Biden that Washington was ready for direct talks with Iran if Tehran was serious about negotiations was a "step forward".


"We take these statements with positive consideration. I think this is a step forward but ... each time we have come and negotiated it was the other side unfortunately who did not heed ... its commitment," Salehi said at the Munich Security Conference where Biden made his overture a day earlier.


He also complained to Iran's English-language Press TV of "other contradictory signals", pointing to the rhetoric of "keeping all options on the table" used by U.S. officials to indicate they are willing to use force to keep Iran from obtaining a nuclear weapon.


"This does not go along with this gesture (of talks) so we will have to wait a little bit longer and see if they are really faithful this time," Salehi said.


Iran is under a tightening web of sanctions. Israel has also hinted it may strike if diplomacy and international sanctions fail to curb Iran's nuclear drive.


In Washington, Army General Martin Dempsey, the top U.S. military officer, said in an interview broadcast on Sunday that the United States has the capability to stop any Iranian effort to build nuclear weapons, but Iranian "intentions have to be influenced through other means."


Dempsey, chairman of the Joint Chiefs of Staff, made his comments on NBC's program "Meet the Press," speaking alongside outgoing Defense Secretary Leon Panetta.


Panetta said current U.S. intelligence indicated that Iranian leaders have not made a decision to proceed with the development of a nuclear weapon.


"But every indication is they want to continue to increase their nuclear capability," he said. "And that's a concern. And that's what we're asking them to stop doing."


The new U.S. secretary of state, John Kerry, has said he will give diplomacy every chance of solving the Iran standoff.


THE BEST CHANCE


With six-power talks making little progress, some experts say talks between Tehran and Washington could be the best chance, perhaps after Iran has elected a new president in June.


Negotiations between Iran and the six powers - Russia, China, the United States, Britain, France and Germany - have been deadlocked since a meeting last June.


EU officials have accused Iran of dragging its feet in weeks of haggling over the date and venue for new talks.


Salehi said he had "good news", having heard that the six powers would meet in Kazakhstan on February 25.


A spokesman for EU foreign policy chief Catherine Ashton, who coordinates the efforts of the six powers, confirmed that she had proposed talks in the week of February 25 but noted that Iran had not yet accepted.


Kazakhstan said it was ready to host the talks in either Astana or Almaty.


Salehi said Iran had "never pulled back" from the stuttering negotiations with the six powers. "We still are very hopeful. There are two packages, one package from Iran with five steps and the other package from the (six powers) with three steps."


Iran raised international concern last week by announcing plans to install and operate advanced uranium enrichment machines. The EU said the move, potentially shortening the path to weapons-grade material, could deepen doubts about the peaceful nature of Iran's nuclear program.


Prime Minister Benjamin Netanyahu said on Sunday that Israel's mission to stop its arch-enemy from acquiring nuclear weapons was "becoming more complex, since the Iranians are equipping themselves with cutting-edge centrifuges that shorten the time of (uranium) enrichment".


"We must not accept this process," said Netanyahu, who is trying to form a new government after winning an election last month. Israel is generally believed to be the only country in the Middle East with nuclear weapons.


(Additional reporting by Myra MacDonald and Stephen Brown in Munich, Dmitry Solovyov in Almaty, Yeganeh Torbati in Dubai and Jim Wolf in Washington; Editing by Kevin Liffey and Will Dunham)



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"Great Rotation"- A Wall Street fairy tale?

NEW YORK (Reuters) - Wall Street's current jubilant narrative is that a rush into stocks by small investors has sparked a "great rotation" out of bonds and into equities that will power the bull market to new heights.


That sounds good, but there's a snag: The evidence for this is a few weeks of bullish fund flows that are hardly unusual for January.


Late-stage bull markets are typically marked by an influx of small investors coming late to the party - such as when your waiter starts giving you stock tips. For that to happen you need a good story. The "great rotation," with its monumental tone, is the perfect narrative to make you feel like you're missing out.


Even if something approaching a "great rotation" has begun, it is not necessarily bullish for markets. Those who think they are coming early to the party may actually be arriving late.


Investors pumped $20.7 billion into stocks in the first four weeks of the year, the strongest four-week run since April 2000, according to Lipper. But that pales in comparison with the $410 billion yanked from those funds since the start of 2008.


"I'm not sure you want to take a couple of weeks and extrapolate it into whatever trend you want," said Tobias Levkovich, chief U.S. equity strategist at Citigroup. "We have had instances where equity flows have picked up in the last two, three, four years when markets have picked up. They've generally not been signals of a continuation of that trend."


The S&P 500 rose 5 percent in January, its best month since October 2011 and its best January since 1997, driving speculation that retail investors were flooding back into the stock market.


Heading into another busy week of earnings, the equity market is knocking on the door of all-time highs due to positive sentiment in stocks, and that can't be ignored entirely. The Standard & Poor's 500 Index <.spx> ended the week about 4 percent from an all-time high touched in October 2007.


Next week will bring results from insurers Allstate and The Hartford , as well as from Walt Disney , Coca-Cola Enterprises and Visa .


But a comparison of flows in January, a seasonal strong month for the stock market, shows that this January, while strong, is not that unusual. In January 2011 investors moved $23.9 billion into stock funds and $28.6 billion in 2006, but neither foreshadowed massive inflows the rest of that year. Furthermore, in 2006 the market gained more than 13 percent while in 2011 it was flat.


Strong inflows in January can happen for a number of reasons. There were a lot of special dividends issued in December that need reinvesting, and some of the funds raised in December tax-selling also find their way back into the market.


During the height of the tech bubble in 2000, when retail investors were really embracing stocks, a staggering $42.7 billion flowed into equities in January of that year, double the amount that flowed in this January. That didn't end well, as stocks peaked in March of that year before dropping over the next two-plus years.


MOM AND POP STILL WARY


Arguing against a 'great rotation' is not necessarily a bearish argument against stocks. The stock market has done well since the crisis. Despite the huge outflows, the S&P 500 has risen more than 120 percent since March 2009 on a slowly improving economy and corporate earnings.


This earnings season, a majority of S&P 500 companies are beating earnings forecast. That's also the case for revenue, which is a departure from the previous two reporting periods where less than 50 percent of companies beat revenue expectations, according to Thomson Reuters data.


Meanwhile, those on the front lines say mom and pop investors are still wary of equities after the financial crisis.


"A lot of people I talk to are very reluctant to make an emotional commitment to the stock market and regardless of income activity in January, I think that's still the case," said David Joy, chief market strategist at Columbia Management Advisors in Boston, where he helps oversee $571 billion.


Joy, speaking from a conference in Phoenix, says most of the people asking him about the "great rotation" are fund management industry insiders who are interested in the extra business a flood of stock investors would bring.


He also pointed out that flows into bond funds were positive in the month of January, hardly an indication of a rotation.


Citi's Levkovich also argues that bond investors are unlikely to give up a 30-year rally in bonds so quickly. He said stocks only began to see consistent outflows 26 months after the tech bubble burst in March 2000. By that reading it could be another year before a serious rotation begins.


On top of that, substantial flows continue to make their way into bonds, even if it isn't low-yielding government debt. January 2013 was the second best January on record for the issuance of U.S. high-grade debt, with $111.725 billion issued during the month, according to International Finance Review.


Bill Gross, who runs the $285 billion Pimco Total Return Fund, the world's largest bond fund, commented on Twitter on Thursday that "January flows at Pimco show few signs of bond/stock rotation," adding that cash and money markets may be the source of inflows into stocks.


Indeed, the evidence suggests some of the money that went into stock funds in January came from money markets after a period in December when investors, worried about the budget uncertainty in Washington, started parking money in late 2012.


Data from iMoneyNet shows investors placed $123 billion in money market funds in the last two months of the year. In two weeks in January investors withdrew $31.45 billion of that, the most since March 2012. But later in the month money actually started flowing back.


(Additional reporting by Caroline Valetkevitch; Editing by Kenneth Barry)



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RG3, Arians, Kuechly win AP NFL awards


NEW ORLEANS (AP) — Washington's Robert Griffin III beat out fellow quarterbacks Andrew Luck and Russell Wilson to win The Associated Press 2012 NFL Offensive Rookie of the Year award.


From a brilliant rookie class, RG3 was a strong winner Saturday night in voting by a nationwide panel of 50 media members who regularly cover the league.


Griffin, who underwent knee surgery last month, says, "It's truly a blessing to be up there — to be able to stand, first and foremost."


Bruce Arians became the first interim coach to win NFL Coach of the Year honors. Arians, now the head coach in Arizona, replaced Chuck Pagano in September when the Colts' coach was diagnosed with leukemia. Arians went 9-3 before Pagano returned, and Indianapolis made the playoffs at 10-6.


Carolina linebacker Luke Kuechly, the league's leader in tackles with 164, won the top defensive rookie award.


They accepted their awards at the "2nd Annual NFL Honors" awards show on CBS saluting the NFL's best players, performances and plays from the 2012 season.


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Online: http://pro32.ap.org/poll and http://twitter.com/AP_NFL


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