S&P 500 heads for longest winning streak in eight years

NEW YORK (Reuters) - Stocks rose on Friday, with the S&P 500 on track to close above 1,500 for the first time in more than five years on bullish data from Europe and strong earnings reports.

The benchmark was on track to extend its winning streak to eight days, the longest since a nine-day run in late 2004.

Data showed sales of new U.S. single-family homes fell in December but rose in 2012 to the highest level since 2009, a sign the troubled U.S. housing market has turned a corner.

"Economic data in the U.S. has been trending higher, albeit modestly. Things are incrementally better," said Quincy Krosby, market strategist at Prudential Financial in Newark, New Jersey.

"The market was able to move forward despite deterioration in Apple and that's also a positive."

Apple shares dropped 1.2 percent to $444.99, and the iPhone maker was swapping places as the most valuable U.S. company with ExxonMobil Corp through the afternoon.

Adding to the bullish tone, German business morale improved for a third consecutive month in January to its highest in more than six months. In addition, European banks said they will repay the European Central Bank much more than expected of the loans the bank gave them during the crisis.

"Good news in credit markets helps set the stage for (more investment in) riskier assets," Krosby said.

Procter & Gamble shares rose 3.6 percent to $72.99 after the world's top household products maker's quarterly profit soared past expectations. The company also raised its sales and earnings outlook for the fiscal year.

The Dow Jones industrial average <.dji> rose 58.8 points or 0.43 percent, to 13,884.13, the S&P 500 <.spx> gained 7.85 points or 0.53 percent, to 1,502.67 and the Nasdaq Composite <.ixic> added 23.19 points or 0.74 percent, to 3,153.58.

The benchmark S&P 500 index is up more than 5 percent so far in January. The equity market's strong start this year has been attributed to solid corporate results, an agreement in Washington to extend the government's borrowing power, encouraging signs from the global economy and seasonal inflows into stocks.

Helping to lift the Nasdaq Composite, Starbucks , rose 4.5 percent to $57.01 after the coffee retailer reported stronger-than-expected sales in the United States and Asia.

Thomson Reuters data through Friday showed that of the 147 S&P 500 companies that have reported earnings, 68 percent exceeded expectations. Since 1994, 62 percent of companies have topped expectations, while the average over the past four quarters stands at 65 percent.

Halliburton Co shares jumped 5 percent to $39.69 after the world's second-largest oilfield services company reported higher-than-expected earnings and sales for the fourth quarter.

(Reporting by Rodrigo Campos; Editing by Kenneth Barry)

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Violence flares on anniversary of Egypt uprising

CAIRO/ALEXANDRIA, Egypt (Reuters) - On the second anniversary of the uprising that toppled Hosni Mubarak, demonstrators clashed with police during protests across Egypt against the Islamist president they accuse of betraying the revolution.

At least 186 civilians and 45 security personnel were injured, officials said.

Thousands of opponents of President Mohamed Mursi and his Muslim Brotherhood allies massed in Cairo's Tahrir Square - the cradle of the revolt against Mubarak - to rekindle the demands of a revolution they say has been hijacked by Islamists.

Street battles erupted in Cairo, Alexandria, Suez and Port Said. Arsonists attacked at least two state-owned buildings as symbols of government were targeted. An office used by the Muslim Brotherhood's political party was also torched.

The January 25 anniversary laid bare the divide between the Islamists and their secular rivals. This schism is hindering Mursi's efforts to revive an economy in crisis and reverse a plunge in Egypt's currency by enticing back investors and tourists.

Inspired by the popular uprising in Tunisia, Egypt's revolution spurred further revolts across the Arab world. But the sense of common purpose that united Egyptians two years ago has given way to internal strife that last month triggered bloody street battles.

"Our revolution is continuing. We reject the domination of any party over this state. We say no to the Brotherhood state," Hamdeen Sabahy, a popular leftist leader, told Reuters.

The Brotherhood decided against mobilizing for the anniversary, wary of the scope for more conflict after December's violence that was stoked by Mursi's decision to fast-track an Islamist-tinged constitution rejected by his opponents.

The Brotherhood denies accusations that it is seeking to dominate Egypt, labeling them a smear campaign by its rivals.

STONE-THROWING YOUTHS

Before dawn, police battled protesters who threw petrol bombs and firecrackers as they tried to approach a wall blocking access to government buildings near Tahrir Square.

Clouds of tear gas filled the air. At one point, riot police used one of the incendiaries thrown at them to set ablaze at least two tents erected by youths, a Reuters witness said.

Skirmishes between stone-throwing youths and the police continued in streets around the square into the day. Ambulances ferried away a steady stream of casualties.

Protesters echoed the chants of 2011's historic 18-day uprising. "The people want to bring down the regime," they chanted. "Leave! Leave! Leave!" chanted others as they marched towards the square.

"We are not here to celebrate but to force those in power to submit to the will of the people. Egypt now must never be like Egypt during Mubarak's rule," said Mohamed Fahmy, an activist.

There were similar scenes in Suez and Alexandria, where protesters and riot police clashed near local government offices. Black smoke billowed from tires set ablaze by youths.

In Cairo, police fired tear gas to disperse a few dozen protesters trying to remove barbed-wire barriers protecting the presidential palace, witnesses said. A few masked men got as far as the gates before they were beaten back.

Tear gas was also fired at protesters who tried to remove metal barriers outside the state television building.

Outside Cairo, protesters broke into the offices of provincial governors in Ismailia and Kafr el-Sheikh in the Nile Delta. A local government building was torched in the Nile Delta city of al-Mahalla al-Kubra.

BADIE CALLS FOR "PRACTICAL, SERIOUS COMPETITION"

With an eye on parliamentary elections likely to begin in April, the Brotherhood marked the anniversary with a charity drive across the nation. It plans to deliver medical aid to one million people and distribute affordable basic foodstuffs.

Writing in Al-Ahram, Egypt's flagship state-run daily, Brotherhood leader Mohamed Badie said the country was in need of "practical, serious competition" to reform the corrupt state left by the Mubarak era.

"The differences of opinion and vision that Egypt is passing through is a characteristic at the core of transitions from dictatorship to democracy, and clearly expresses the variety of Egyptian culture," he wrote.

Mursi's opponents say he and his group are seeking to dominate the post-Mubarak order. They accuse him of showing some of the autocratic impulses of the deposed leader by, for example, driving through the new constitution last month.

"I am taking part in today's marches to reject the warped constitution, the 'Brotherhoodisation' of the state, the attack on the rule of law, and the disregard of the president and his government for the demands for social justice," Amr Hamzawy, a prominent liberal politician, wrote on his Twitter feed.

The Brotherhood says its rivals are failing to respect the rules of the new democracy that put the Islamists in the driving seat via free elections.

Six months into office, Mursi is also being held responsible for an economic crisis caused by two years of turmoil. The Egyptian pound has sunk to record lows against the dollar.

The parties that called for Friday's protests list demands including a complete overhaul of the constitution.

Critics say the constitution, which was approved in a referendum, offers inadequate protection for human rights, grants the president too many privileges and fails to curb the power of a military establishment supreme in the Mubarak era.

Mursi's supporters say enacting the constitution quickly was crucial to restoring stability needed for economic recovery.

(Additional reporting by Ahmed el-Shemi, Ashraf Fahim, Marwa Awad and Shaimaa Fayed in Cairo and Yousri Mohamed in Ismailia; Writing by Tom Perry; Editing by Robert Woodward)

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Everything You Need to Know About Kim Dotcom’s Mega

Click here to view the gallery: Hands On With Mega

Mega — the long-anticipated file sharing and cloud storage site from Kim Dotcom — is now open to the public.

[More from Mashable: Google Glasses Spotted and Two Other Stories You Need to Know]

Thanks to its association with the now-defunct Megaupload — and the legal issues facing its founder Kim Dotcom — the amount of press, user interest and hype surrounding Mega is greater than any file hosting/cloud storage launch in recent memory.

According to Dotcom, more than 1 million users signed up for Mega in the first 24 hours. On Twitter, the larger-than-life entrepreneur has continued to share usage stats and traffic graphs that compare Mega with perennial cloud favorite, Dropbox.

[More from Mashable: 9 Fresh YouTube Shows You’ll Love]

If you’re curious about the inner workings of Mega, how it works and how it handles security, we’ve got you covered.

The Phoenix of Megaupload

Mega is the spiritual successor to Kim Dotcom’s last business, the insanely popular file-hosting service Megaupload. Last year, the U.S. Department of Justice shut down Megaupload and pursued criminal charges against Dotcom. Dotcom, a New Zealand citizen, is actively fighting U.S. extradition orders.

Megaupload was targeted by the DoJ because of its role in illegally distributing copyright material — including digital copies of movies, TV shows, books, music and software.

Rather than try to start a new service eschewing the potential for copyright material to be uploaded and shared, Dotcom is positioning Mega as a service that cares about and protects its user’s privacy. In fact, Mega’s tagline is “the privacy company.”

How It Works

On the surface, Mega is a bare-bones cloud storage host. After signing up for accounts, users can upload files and folders of all types to the service. Those files can then be shared with others.

The free plan gives users 50GB of file storage. There are no hard limits on file size, meaning users can use Mega as a way to back up photos, documents and other data. Obviously, this means users can use Mega as a way to store media content — video files, music, DVD images — as well.

For now, Mega is optimized to work on desktop web browsers. Mega strongly encourages users to use Google Chrome. And while Mega has big plans for developers and client-side apps, for now, the only way to access files is via the web browser.

Files can be uploaded to the service using drag and drop or a file-upload menu. Users can create folders in the file manager.

Uploads and downloads take place in parallel. If you upload a large number of files at once, each file uploads one at a time. In the future, Mega says users will be able to change the upload order. If you need to upload or download multiple files at once, simply open a new Mega tab in your browser and select that file.

You can upgrade to a higher-tiered storage plan from within your account. Mega doesn’t sell these plans itself; instead it has resellers who sell vouchers for a service. A 500GB storage plan with 1TB of enhanced bandwidth is 9.99 euros a month or 99 euros a year (a little over $ 110 U.S. dollars). That’s cheaper than most of its competitors.

The Importance of Passwords

It’s very important to remember the password you select when setting up your Mega account. The password is a big part of how Mega encrypts data on both ends.

During the sign-up process, Mega uses your password to create a 2,048-bit RSA key. This is the key that tells the system you are who you say you are. If you forget your password, you’re not going to be able to get into your account.

Right now, Mega doesn’t even have a password reset or recovery feature. In the future, Mega says it will have a reset mechanism but it will only allow users access to files or folders they have file keys for (more on file keys below). Users won’t be able to access other files until or unless they remember their password.

Because your Mega password is also your master encryption key, it’s important that users choose a secure password. We recommend using a password manager and printing a copy of the password to store in a safe place.

Understanding File Security

Mega is focused on end-to-end encryption. This means that files are encrypted both on upload and on download. With most traditional file hosts or cloud storage lockers, a public link to a file also includes a file path. With Dropbox, for example, the public or shared link includes the file name.

With Mega, things are a bit different. While users can share specific files to other Mega users or via email, the URL to a file doesn’t contain a file name; instead, a cryptographic key is appended to the URL. Without this key, you can’t access the file. Once decrypted by the server, a user has the option to download the linked file.

Mega’s promise, in other words, is that users control who has access to their files and accounts and no one else.

For important files or folders, users might want to make a note of the file key and keep it in a safe place — if they are worried about getting locked out of their account.

How Safe Are Your Files

Since Mega is touting itself as “the privacy company,” it’s important to look at how the company stores files and content.

The end-to-end encryption scheme is only part of how Mega secures data. Still, some are already criticizing the service, noting that it’s not as secure as it says it is. An article for Forbes cites two professionals who have problems with Mega’s security.

Matthew Green, a cryptography professor at John Hopkins University, is particularly critical of the way Mega uses JavaScript to verify its encryption method telling Forbes that “it makes no sense.”

Mega has responded to Green’s claims on its own blog, noting that its scheme “basically enables us to host the extremely integrity-sensitive static content on a large number of geographically diverse servers without worrying about security.”

Meanwhile, at Ars Technia Lee Hutchinson raises concerns about how Mega comes up with its crypto key at sign-up, as well as how the company handles deduplication, or how it eliminates duplicate copies of data.

Again, Mega has taken to its blog to attempt to clarify its policies and the way it handles data.

While Mega’s crypto system certainly doesn’t seem any less secure than any other file locker, we do agree with critics who note that the system might be more about giving Mega culpability against claims that it knows infringing content is on its servers, rather than about protecting that data itself.

The service is still in beta and much of its code is available via open source, so security purists might want to watch how Mega’s system evolves before trusting it with important, sensitive data.

Will Mega Stick Around?

While security experts can quibble and argue over the way Mega uses cryptography and how it stores data on its array of servers, the bigger issue, for us, is long-term survival.

While I would argue that most users who actively used Megaupload were not using it as a traditional cloud service, the fact remains that when the service was shut down, user files went with it.

Already anti-piracy groups are campaigning to shut down payment processors to Mega’s resellers. One of the reasons Mega isn’t taking payments itself and is instead using resellers is to prevent those groups from shutting down payment processors or trying to seize funds.

This is worrisome because in addition to outside capital, Mega needs professional accounts to keep its site working.

It’s too early to say if Mega will be around for the long haul or not, but our advice is not to use Mega as your only file storage solution. Keep backups of crucial files on disk or other cloud-based services.

What do you think of Mega? Let us know in the comments.

This story originally published on Mashable here.

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Puppy Bowl's Starting Lineup Revealed

People Pets

By Amy Jamieson

01/24/2013 at 03:45 PM EST

It's time to set your DVRs, people. Animal Planet has revealed Puppy Bowl IX's starting lineup, and it would be a crime to miss this much cuteness.

Thirty-five doe-eyed doggies are primed to strut their adorable assets on Feb. 3 at 3 p.m. ET/PT – and each is available for adoption. (Read: These cuties could cuddle next to you on the couch after the show is over.)

Not to be missed on this year's roster are Chestnut, a squeeze-worthy 9-week-old Labrador retriever/Australian shepherd mix available at the Bonnie Blue Rescue of Virginia, and – move over, Harry Styles – 12-week-old dachshund Harry from Rhode Island's Furever Dachshund Rescue is definitely breaking more hearts than you.

In a Puppy Bowl first, a lineup of hedgehogs will cheer on these pigskin-loving pups from the sidelines, and annual favorites like the water bowl cam, kiss cam and a stadium-hovering blimp piloted by hamsters are all returning. Also hitting the field for his sophomore season is The Ref, a.k.a. Dan Schachner, who is charged with keeping all these players in line.

Could Schachner's all-time career highlight be topped this year by this new team? "Receiving the honorary ref whistle and gold-plated pooper-scooper in a moving pre-game ceremony was uh-mazing last year," he tells Animal Planet. "I would be lying if I said my emotions didn't run high that day."

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Penalty could keep smokers out of health overhaul

WASHINGTON (AP) — Here's a possible new cost for people with the cigarette habit.

Experts say millions of smokers could be priced out of health insurance because of tobacco penalties under President Barack Obama's health care law

The Affordable Care Act allows health insurers to charge smokers buying an individual policy up to 50 percent higher premiums starting next Jan. 1.

A 60-year-old smoker could wind up paying nearly $5,100 on top of normal premiums.

Younger smokers could be charged lower penalties under rules proposed last fall by the Obama administration.

Workers with job-based coverage can avoid tobacco penalties by joining a smoking cessation program.

The older smokers buying individual coverage could face a heavy financial hit at a time in life when smoking-related illnesses typically emerge.

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Wall Street edges up in face of Apple decline

NEW YORK (Reuters) - The Dow and S&P 500 advanced on Thursday, with the benchmark S&P index on track for its first seven-day streak of gains in over six years as solid economic data managed to outweigh a steep decline in Apple shares.

Apple Inc dropped 10.4 percent to $460.69 after the technology giant missed Wall Street's revenue forecast for a third straight quarter as iPhone sales were poorer than expected, lending credence to recent concerns its days as the dominant player in consumer electronics may be on the wane.

The drop wiped out roughly $50 billion in Apple's market capitalization to $432 billion, leaving the company vulnerable to losing its status as the most valuable U.S. company to second place ExxonMobil Corp , at $417 billion.

A trio of economic reports helped buoy the market, with data showing a decline in weekly jobless claims and an increase in manufacturing, while a gauge of future economic activity climbed.

"The claims numbers are clearly a big surprise and were very good numbers - they imply we may have a good employment number for the month of January," said Hugh Johnson, chief investment officer of Hugh Johnson Advisors LLC in Albany, New York.

"You have Apple and technology on the one side and the rest of the market on the other side."

The gains marked the first time the S&P 500 had risen above 1,500 since December 12, 2007 and put the index on pace for its seventh straight advance, its longest streak since October 2006.

The advance for the S&P, and muted declines in the Nasdaq in spite of the decline in Apple, were viewed as a positive sign, as investors take encouragement from an improving global economy and move into stocks more closely tied to economic fortunes, such as industrials.

General Electric rose 0.5 percent to $22.06 and United Parcel Service gained 2.4 percent to $82.30. Of the 10 major S&P sectors, only technology <.splrct>, off 1.5 percent, was lower.

The Dow Jones industrial average <.dji> gained 58.82 points, or 0.43 percent, to 13,838.15. The Standard & Poor's 500 Index <.spx> added 1.78 points, or 0.12 percent, to 1,496.59. The Nasdaq Composite Index <.ixic> dropped 14.25 points, or 0.45 percent, to 3,139.42.

The domestic data meshed with those overseas showing growth in Chinese manufacturing accelerated to a two-year high this month and a buoyant Germany took the euro zone economy a step closer to recovery.

Apple's disappointing results drew a round of price-target cuts from brokerages. At least 14 brokerages, including Barclays Capital, Credit Suisse and Deutsche Bank, cut their price target on the stock by $142 on average. Morgan Stanley removed the stock from its 'best ideas' list.

In contrast to Apple, Netflix Inc surprised Wall Street Wednesday with a quarterly profit after the video subscription service added nearly 4 million customers in the U.S. and abroad. Shares surged 37.6 percent to $142.10, its biggest percentage jump ever.

Diversified U.S. manufacturer 3M Co reported a 3.9 percent rise in profit, meeting expectations, on solid growth in sales of its wide array of products, which range from Post-It notes to films used in television screens. The shares slipped 0.2 percent to $99.28.

Corporate earnings have helped drive the recent stock market rally. Thomson Reuters data through early Thursday showed that of the 133 S&P 500 companies that have reported earnings, 66.9 percent have exceeded expectations, above the 65 percent average over the past four quarters.

(Reporting by Chuck Mikolajczak; Editing by Nick Zieminski)

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North Korea to target U.S. with nuclear, rocket tests

SEOUL (Reuters) - North Korea said on Thursday it would carry out further rocket launches and a nuclear test that would target the United States, dramatically stepping up its threats against a country it called its "sworn enemy".

The announcement by the country's top military body came a day after the U.N. Security Council agreed to a U.S.-backed resolution to censure and sanction North Korea for a rocket launch in December that breached U.N. rules.

North Korea is not believed to have the technology to deliver a nuclear warhead capable of hitting the continental United States, although its December launch showed it had the capacity to deliver a rocket that could travel 10,000 km (6,200 miles), potentially putting San Francisco in range, according to an intelligence assessment by South Korea.

"We are not disguising the fact that the various satellites and long-range rockets that we will fire and the high-level nuclear test we will carry out are targeted at the United States," North Korea's National Defence Commission said, according to state news agency KCNA.

North Korea is believed by South Korea and other observers to be "technically ready" for a third nuclear test, and the decision to go ahead rests with leader Kim Jong-un, who pressed ahead with the December rocket launch in defiance of the U.N. sanctions.

China, the one major diplomatic ally of the isolated and impoverished North, agreed to the U.S.-backed resolution and it also supported resolutions in 2006 and 2009 after Pyongyang's two earlier nuclear tests.

Thursday's statement by North Korea represents a huge challenge to Beijing as it undergoes a leadership transition, with Xi Jinping due to take office in March.

China's Foreign Ministry called for calm and restraint and a return to six-party talks, but effectively singled out North Korea, urging the "relevant party" not to take any steps that would raise tensions.

"We hope the relevant party can remain calm and act and speak in a cautious and prudent way and not take any steps which may further worsen the situation," ministry spokesman Hong Lei told reporters at a regular press briefing.

North Korea has rejected proposals to restart the talks aimed at reining in its nuclear capacity. The United States, China, Russia, Japan and the two Koreas are the six parties involved.

"After all these years and numerous rounds of six-party talks we can see that China's influence over North Korea is actually very limited. All China can do is try to persuade them not to carry out their threats," said Cai Jian, an expert on Korea at Fudan University in Shanghai.

Analysts said the North could test as early as February as South Korea prepares to install a new, untested president or that it could choose to stage a nuclear explosion to coincide with former ruler Kim Jong-il's Feb 16 birthday.

"North Korea will have felt betrayed by China for agreeing to the latest U.N. resolution and they might be targeting (China) as well (with this statement)," said Lee Seung-yeol, senior research fellow at Ewha Institute of Unification Studies in Seoul.

U.S. URGES NO TEST

Washington urged North Korea not to proceed with a third test just as the North's statement was published on Thursday.

"Whether North Korea tests or not is up to North Korea," Glyn Davies, the top U.S. envoy for North Korean diplomacy, said in the South Korean capital of Seoul.

"We hope they don't do it. We call on them not to do it," Davies said after a meeting with South Korean officials. "This is not a moment to increase tensions on the Korean peninsula."

The North was banned from developing missile and nuclear technology under sanctions dating from its 2006 and 2009 nuclear tests.

A South Korean military official said the concern now is that Pyongyang could undertake a third nuclear test using highly enriched uranium for the first time, opening a second path to a bomb.

North Korea's 2006 nuclear test using plutonium produced a puny yield equivalent to one kiloton of TNT - compared with 13-18 kilotons for the Hiroshima bomb - and U.S. intelligence estimates put the 2009 test's yield at roughly two kilotons

North Korea is estimated to have enough fissile material for about a dozen plutonium warheads, although estimates vary, and intelligence reports suggest that it has been enriching uranium to supplement that stock and give it a second path to the bomb.

According to estimates from the Institute for Science and International Security from late 2012, North Korea could have enough weapons grade uranium for 21-32 nuclear weapons by 2016 if it used one centrifuge at its Yongbyon nuclear plant to enrich uranium to weapons grade.

North Korea has not yet mastered the technology needed to make a nuclear warhead small enough for an intercontinental missile, most observers say, and needs to develop the capacity to shield any warhead from re-entry into the earth's atmosphere.

North Korea gave no time-frame for the coming test and often employs harsh rhetoric in response to U.N. and U.S. actions that it sees as hostile.

The bellicose statement on Thursday appeared to dent any remaining hopes that Kim Jong-un, believed to be 30 years old, would pursue a different path from his father, Kim Jong-il, who oversaw the country's military and nuclear programs.

The older Kim died in December 2011.

"The UNSC (Security Council) resolution masterminded by the U.S. has brought its hostile policy towards the Democratic Peoples Republic of Korea (North Korea) to its most dangerous stage," the commission was quoted as saying.

(Additional reporting by Christine Kim in SEOUL, Ben Blanchard and Sui-Lee Wee in Beijing; Writing by David Chance; Editing by Raju Gopalakrishnan and Ron Popeski)

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Women in Combat Stoke Twitter Debate

The Pentagon’s decision to allow women in combat has elicited some strong and controversial words from opponents of the move.

First, Tucker Carlson. Last night, the Daily Caller publisher tweeted: “Feminism’s latest victory: the right to get your limbs blown off in war. Congratulations.”

This drew some swift criticism on Twitter, and a counterpoint from The Week’s Marc Ambinder, who noted that one woman who lost limbs in combat, Tammy Duckworth, is now serving as a Democrat in the House of Representatives.

Then, Politico reported that Allen West, the former GOP congressman and Army lieutenant colonel, tweeted this morning: “Women in combat billets? Another misconceived lib vision of fairness and equality.”

West is already getting trashed on Twitter by users who took offense. After the controversial remarks made by Newt Gingrich in the mid-1990s and Rick Santorum last year, it’s no surprise that the Pentagon’s decision is stirring debate.

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Beyoncé's Lip-Syncing Controversy: PEOPLE Readers Weigh In

By Cara Lynn Shultz

01/23/2013 at 03:55 PM EST

Beyoncé at the presidential inauguration in 2013 and Whitney Houston at Super Bowl XXV

Justin Sullivan/Getty; George Rose/Getty

There's no question that Beyoncé can sing. But did she? That's still the question on everyone's lips.

Following the singer's stellar rendition of the "Star-Spangled Banner" at the presidential inauguration, a spokesperson for the U.S. Marine Corps Band initially said that the singer's performance wasn't live – but was "pre-recorded."

Later, though, a media officer from the Pentagon said that the singer and the band never had the opportunity to rehearse live together, but added, "No one in the Marine Band is in a position to assess whether it was live or pre-recorded." (According to an NPR analysis, it appears that singer may have performed live – to a backing track.)

While Beyoncé has yet to speak out (live or otherwise) on the topic, it's not the first time the national anthem has been lip-synced: Whitney Houston's performance at the 1991 Super Bowl – arguably one of the best renditions of all time – was pre-recorded. But still, the revelation that Beyoncé put a tape on it didn't sit well with 63% of PEOPLE readers, who voted on Twitter that they were bothered by her seemingly pre-taped performance.

But not everyone was frustrated with the apparent lip-sync. Beyoncé's Destiny's Child mate Michelle Williams defended the singer to Entertainment Tonight, saying, "It's their personal preference. With big crowds and echoes, you know when it's a big historical moment, you don't want any room for any mistakes so I can understand why it was done."

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Scientists to resume work with lab-bred bird flu

WASHINGTON (AP) — International scientists who last year halted controversial research with the deadly bird flu say they are resuming their work as countries adopt new rules to ensure safety.

The outcry erupted when two labs — in the Netherlands and the U.S. — reported they had created easier-to-spread versions of bird flu. Amid fierce debate about the oversight of such research and whether it might aid terrorists, those scientists voluntarily halted further work last January — and more than three dozen of the world's leading flu researchers signed on as well.

On Wednesday, those scientists announced they were ending their moratorium because their pause in study worked: It gave the U.S. government and other world health authorities time to determine how they would oversee high-stakes research involving dangerous germs.

A number of countries already have issued new rules. The U.S. is finalizing its own research guidelines, a process that Dr. Anthony Fauci of the National Institutes of Health said should be completed within several weeks.

In letters published in the journals Science and Nature this week, scientists wrote that those who meet their country's requirements have a responsibility to resume studying how the deadly bird flu might mutate to become a bigger threat to people — maybe even the next pandemic. So far, the so-called H5N1 virus mostly spreads among poultry and other birds and rarely infects people.

"The risk exists in nature already. Not doing the research is really putting us in danger," said Yoshihiro Kawaoka of the University of Wisconsin-Madison. He and Ron Fouchier of Erasmus University in the Netherlands separately created the new virus strains that could spread through the air.

The controversy flared just over a year ago, when U.S. officials, prompted by the concerns of a biosecurity advisory panel, asked the two labs not to publish the results. They worried that terrorists might use the information to create a bioweapon. More broadly, scientists debated whether creating new strains of disease is a good idea, and if so, how to safeguard against laboratory accidents.

Ultimately, the flu researchers prevailed: The government decided the data didn't pose any immediate terrorism threat after all, and the two labs' work was published last summer.

Fouchier said that within weeks, he will begin new research in the Netherlands, with European funding, to explore exactly which mutations are the biggest threat. He said the work could enable scientists today to be on the lookout as bird flu continually evolves in the wild.

U.S.-funded scientists cannot resume their studies until the government's policy is finalized.

But the NIH had paid for the original research — and it would have been approved under the soon-to-come expanded policy as well, Fauci told The Associated Press. That policy will add an extra layer of review to higher-risk research, to ensure that it is scientifically worth doing and that safety and bioterrorism concerns are fully addressed up-front, he said.

Had that policy been in place over a year ago, it could have averted the bird flu debate, Fauci said: "Our answer simply would have been, yes, we vetted it very carefully and the benefit is worth any risk. Period, case closed."

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