Soldier with new arms determined to be independent


BALTIMORE (AP) — After weeks of round-the-clock medical care, Brendan Marrocco insisted on rolling his own wheelchair into a news conference using his new transplanted arms. Then he brushed his hair to one side.


Such simple tasks would go unnoticed in most patients. But for Marrocco, who lost all four limbs while serving in Iraq, these little actions demonstrate how far he's come only six weeks after getting a double-arm transplant.


Wounded by a roadside bomb in 2009, the former soldier said he could get by without legs, but he hated living without arms.


"Not having arms takes so much away from you. Even your personality, you know. You talk with your hands. You do everything with your hands, and when you don't have that, you're kind of lost for a while," the 26-year-old New Yorker told reporters Tuesday at Johns Hopkins Hospital.


Doctors don't want him using his new arms too much yet, but his gritty determination to regain independence was one of the chief reasons he was chosen to receive the surgery, which has been performed in the U.S. only seven times.


That's the message Marrocco said he has for other wounded soldiers.


"Just not to give up hope. You know, life always gets better, and you're still alive," he said. "And to be stubborn. There's a lot of people who will say you can't do something. Just be stubborn and do it anyway. Work your ass off and do it."


Dr. W.P. Andrew Lee, head of the team that conducted the surgery, said the new arms could eventually provide much of the same function as his original arms and hands. Another double-arm transplant patient can now use chopsticks and tie his shoes.


Lee said Marrocco's recovery has been remarkable, and the transplant is helping to "restore physical and psychological well-being."


Tuesday's news conference was held to mark a milestone in his recovery — the day he was to be discharged from the hospital.


Next comes several years of rehabilitation, including physical therapy that is going to become more difficult as feeling returns to the arms.


Before the surgery, he had been living with his older brother in a specially equipped home on New York's Staten Island that had been built with the help of several charities. Shortly after moving in, he said it was "a relief to not have to rely on other people so much."


The home was heavily damaged by Superstorm Sandy last fall.


"We'll get it back together. We've been through a lot worse than that," his father, Alex Marrocco, said.


For the next few months, Marrocco plans to live with his brother in an apartment near the hospital.


The former infantryman said he can already move the elbow on his left arm and rotate it a little bit, but there hasn't been much movement yet for his right arm, which was transplanted higher up.


Marrocco's mother, Michelle Marrocco, said he can't hug her yet, so he brushes his left arm against her face.


The first time he moved his left arm was a complete surprise, an involuntary motion while friends were visiting him in the hospital, he said.


"I had no idea what was going through my mind. I was with my friends, and it happened by accident," he recalled. "One of my friends said 'Did you do that on purpose?' And I didn't know I did it."


Marrocco's operation also involved a technical feat not tried in previous cases, Lee said in an interview after the news conference.


A small part of Marrocco's left forearm remained just below his elbow, and doctors transplanted a whole new forearm around and on top of it, then rewired nerves to serve the old and new muscles in that arm.


"We wanted to save his joint. In the unlucky event we would lose the transplant, we still wanted him to have the elbow joint," Lee said.


He also explained why leg transplants are not done for people missing those limbs — "it's not very practical." That's because nerves regrow at best about an inch a month, so it would be many years before a transplanted leg was useful.


Even if movement returned, a patient might lack sensation on the soles of the feet, which would be unsafe if the person stepped on sharp objects and couldn't feel the pain.


And unlike prosthetic arms and hands, which many patients find frustrating, the ones for legs are good. That makes the risks of a transplant not worth taking.


"It's premature" until there are better ways to help nerves regrow, Lee said.


Now Marrocco, who was the first soldier to survive losing all four limbs in the Iraq War, is looking forward to getting behind the wheel of his black 2006 Dodge Charger and hand-cycling a marathon.


Asked if he could one day throw a football, Dr. Jaimie Shores said sure, but maybe not like Baltimore Ravens quarterback Joe Flacco.


"Thanks for having faith in me," Marrocco interjected, drawing laughter from the crowd.


His mother said Marrocco has always been "a tough cookie."


"He's not changed that, and he's just taken it and made it an art form," Michelle Marrocco said. "He's never going to stop. He's going to be that boy I knew was going to be a pain in my butt forever. And he's going to show people how to live their lives."


___


Associated Press Chief Medical Writer Marilynn Marchione in Milwaukee and AP writer David Dishneau in Hagerstown, Md., contributed to this report.


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Euro surges to 14-month high, Fed decision awaited


LONDON (Reuters) - The euro hit its highest level in over a year on Wednesday and shares, oil and metals were also on the rise, as confidence in the global economic outlook strengthened ahead of European data and the U.S. Federal Reserve's latest policy decision.


The Fed is expected to maintain asset buying at $85 billion a month when it concludes its meeting later and retain its commitment to hold interest rates near zero until unemployment falls to at least 6.5 percent.


European economic confidence data for January at 1000 GMT, ECB crisis loan repayments and Italy's sale of five and 10-year bonds will absorb most of investors' attention before then, as they look for further evidence of a pick-up in the region.


Share markets in London, Paris and Frankfurt opened little changed ahead of the data, leaving all eyes on a rally by the euro as it broke above $1.35 for the first time since December 2011.


Alongside the recent rebound in confidence in the euro zone, one of the drivers behind the recent spike has been the eagerness of banks to repay the crisis loans they took from the European Central Bank just over a year ago.


"It (the euro rise) is just a carry on with the current trend, risk is pretty healthy and equities are doing well," said Bank of Tokyo Mitsubishi strategist Derek Halpenny.


"The danger is European policymakers allow a spike (in euro and market rates) as a result of a removal of one of the principle support measures ... With the Fed and the BOJ still easing the euro is clearly the path of least resistance."


An earlier rise in Asian equities meant the MSCI world share index was up 0.2 percent at a new 21-month high as European trading gathered pace. U.S. stock futures suggested a cautious start on Wall Street.


Strong U.S. housing data on Tuesday and China's promising economic growth forecast for 2013 also supported the upbeat mood and raised expectations for robust demand for fuel and industrial commodities, underpinning oil prices and lifting copper.


In the bond market, German Bund futures opened lower as investors made room for a sale of long-dated German paper and braced for solid demand at an Italian debt auction.


Italy will offer up to 6.5 billion euros of bonds maturing in 2017 and 2022. Traders expect the sale to benefit from yield-hungry investors but flagged the risk of indigestion after a bout of buying in recent months that triggered a sharp rally.


"(The auction) probably (goes) alright but I don't think it trades well afterwards," one trader said.


(Additional reporting by Ana Nicolaci da Costa; Editing by Giles Elgood)



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Army says political tussle taking Egypt to brink


CAIRO, Egypt (Reuters) - Egypt's army chief said political strife was pushing the state to the brink of collapse - a stark warning from the institution that ran the country until last year, as Cairo's first elected leader struggles to contain bloody street violence.


General Abdel Fattah al-Sisi, appointed by President Mohamed Mursi last year to head the military, added in a statement on Tuesday that one of the primary goals of deploying troops in cities on the Suez Canal was to protect the waterway that is vital for Egypt's economy and world trade.


Sisi's comments, published on an official army Facebook page, followed 52 deaths in the past week of disorder and highlighted the mounting sense of crisis facing Egypt and its Islamist head of state who is struggling to fix a teetering economy and needs to prepare Egypt for a parliamentary election in a few months that is meant to cement the new democracy.


The comments are unlikely to mean the army wants to take back the power it held, in effect, for six decades since the end of the colonial period and in the interim period after the overthrow of former general Hosni Mubarak two years ago.


But it sends a powerful message that the Egypt's biggest institution, with a huge economic as well as security role and a recipient of massive direct U.S. subsidies, is worried about the fate of the nation after five days of turmoil in major cities.


"The continuation of the struggle of the different political forces ... over the management of state affairs could lead to the collapse of the state," said General Abdel Fattah al-Sisi, who is also defense minister in the government Mursi appointed.


He said the economic, political and social challenges facing the country represented "a real threat to the security of Egypt and the cohesiveness of the Egyptian state" and the army would remain "the solid and cohesive block" on which the state rests.


Sisi was appointed by Mursi after the army handed over power to the new president in June. Mursi sacked Field Marshal Hussein Tantawi, who had been in charge of Egypt during the transition and who had also been Mubarak's defense minister for 20 years.


Political opponents spurned a call by Mursi for talks on Monday to try to end the violence. Instead, huge crowds of protesters took to the streets in Cairo and Alexandria, and in the three Suez Canal cities - Port Said, Ismailia and Suez - where Mursi on Sunday imposed emergency rule and a curfew.


"DOWN, DOWN MURSI"


Residents in the three canal cities demonstrated overnight in defiance of the curfew. At least two men died in fighting in Port Said, raising to at least 42 people who have now been killed there, most of them by gunshot wounds.


Protests first flared to mark the second anniversary of the uprising that erupted on January 25, 2011 and toppled Mubarak 18 days later. They have been exacerbated by riots in Port Said by residents enraged by a court ruling sentencing several people from the city to death over deadly soccer violence last year.


"Down, down with Mohamed Mursi! Down, down with the state of emergency!" crowds shouted in Ismailia. In Cairo, flames lit up the night sky as protesters set vehicles ablaze.


The demonstrators accuse Mursi of betraying the two-year-old revolution. Mursi and his supporters in the Muslim Brotherhood accuse the protesters of seeking to overthrow Egypt's first ever democratically elected leader by undemocratic means.


Debris from days of unrest was strewn on the streets around Cairo's Tahrir Square, cauldron of the anti-Mubarak uprising.


Youths clambered over a burned-out police van. But unlike on previous mornings in the past few days, there was no early sign of renewed clashes with police.


Since the 2011 revolt, Islamists who Mubarak spent his 30-year rule suppressing have won two referendums, two parliamentary elections and a presidential vote.


But that legitimacy has been challenged by an opposition that accuses Mursi of imposing a new form of authoritarianism, and punctuated by repeated waves of unrest that have prevented a return to stability in the most populous Arab state.


U.S. UNEASE


The army has already been deployed in Port Said and Suez and the government agreed a measure to let soldiers arrest civilians as part of the state of emergency.


The instability has provoked unease in Western capitals, where officials worry about the direction of a powerful regional player that has a peace deal with Israel. The United States condemned the bloodshed and called on Egyptian leaders to make clear violence is not acceptable.


Mursi's invitation to rivals to hold a national dialogue with Islamists on Monday was spurned by the main opposition National Salvation Front coalition, which described it as "cosmetic".


The only liberal politician who attended, Ayman Nour, told Egypt's al-Hayat channel after the meeting ended late on Monday that attendees agreed to meet again in a week.


He said Mursi had promised to look at changes to the constitution requested by the opposition but did not consider the opposition's request for a government of national unity. Mursi's pushing through last month of a new constitution which critics see as too Islamic remains a bone of contention.


The president announced the emergency measures on television on Sunday. "The protection of the nation is the responsibility of everyone. We will confront any threat to its security with force and firmness within the remit of the law," Mursi said.


His demeanor infuriated his opponents, not least when he wagged a finger, imperiously, at the camera.


Some activists said Mursi's measures to try to impose control on the turbulent streets could backfire.


"Martial law, state of emergency and army arrests of civilians are not a solution to the crisis," said Ahmed Maher of the April 6 movement that helped galvanize the 2011 uprising. "All this will do is further provoke the youth. The solution has to be a political one that addresses the roots of the problem."


(Additional reporting by Yasmine Saleh and Omar Fahmy in Cairo, Yusri Mohamed in Ismailia and Abdelrahman Youssef in Alexandria; Writing by Edmund Blair; Editing by Alastair Macdonald)



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Yahoo sees revenue climb this year, but long road ahead






(Reuters) – Yahoo Inc forecast a modest uptick in revenue for the current year as it revamps its family of websites but Chief Executive Marissa Mayer warned it would be a long journey to revive the Internet company‘s fortunes.


In Yahoo‘s first financial outlook since Mayer became CEO in July, the company outlined a plan to trigger a “chain reaction of growth” by overhauling a dozen of its online services to increase the amount of time users spent on its websites.






It also pointed to strength in its search advertising business and progress made in improving its internal operations.


Yahoo’s shares were 3 percent higher in after hours trade after the revenue projection was disclosed during an analysts conference call, shedding some ground after earlier rising as much as 4.5 percent.


But weakness in Yahoo’s display ad business, which accounts for roughly 40 percent of the company’s total revenue, caught some analysts by surprise.


“While the road to growth is certain, it will not be immediate,” said Mayer, a former Google Inc executive and Yahoo’s third full-time CEO since September 2011.


Yahoo said that revenue, excluding fees it pays to partner websites, will range between $ 4.5 billion and $ 4.6 billion in 2013, implying an annual growth rate of 0.7 percent to 3 percent.


Finance Chief Ken Goldman also warned investors to expect “an investment phase” in the first half of the year, which he said would impact profit margins.


“What was clear from the call is that this is a long-term turnaround story,” said Macquarie Research analyst Ben Schachter. “We shouldn’t expect anything to just snap back and correct itself.”


During the fourth quarter, Yahoo’s net revenue increased 4 percent year-on-year to $ 1.22 billion, as search advertising sales offset a 10 percent decline in the number of display ads sold on Yahoo’s core properties.


Mayer said the decline was the result of less activity by visitors to its popular websites, such as its Web email service, and to a lesser extent due to users accessing the Web on smartphones, where Yahoo’s ad business is not as strong.


Efforts to revamp its mobile properties, begun last year with a redesign of the photo-sharing service Flickr, remain on track, said Mayer, noting that Yahoo now has 200 million monthly mobile users.


“From a monetization perspective this is still a very nascent source of revenue for us. With any platform shift, revenue always followed users and mobile will be no different,” she said.


Mayer took over after a tumultuous period at Yahoo in which former CEO Scott Thompson resigned after less than 6 months on the job over a controversy about his academic credentials and in which Yahoo co-founder Jerry Yang resigned from the board and cut his ties with the company.


Yahoo’s stock has risen roughly 30 percent since Mayer took the helm, reaching its highest levels since 2008.


Part of the stock’s rise has been driven by significant stock buybacks, using proceeds from a $ 7.6 billion deal to sell half of its 40 percent stake in Chinese Internet company Alibaba Group, said Sameet Sinha, an analyst with B. Riley Caris.


Yahoo said it repurchased $ 1.5 billion worth of shares during the fourth quarter.


The company’s fourth-quarter net income was $ 272.3 million, or 23 cents per share, versus $ 295.6 million, or 24 cents per share in the year-ago period.


Excluding certain items, Yahoo said it had earnings per share of 32 cents, versus the average analyst expectation of 28 cents according to Thomson Reuters I/B/E/S.


For the first quarter, Yahoo said it expects revenue, excluding partner website fees, of $ 1.07 billion to $ 1.1 billion, trailing the $ 1.1 billion that Wall Street analysts expect on average.


Shares of Yahoo were up 59 cents at $ 20.90 in after-hours trading on Monday.


(Reporting by Alexei Oreskovic; Editing by Phil Berlowitz and Edwina Gibbs)


Tech News Headlines – Yahoo! News





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Soldier talks about his new arms after transplant


BALTIMORE (AP) — A soldier who lost all four limbs in an Iraq roadside bombing has two new arms following a double transplant at Johns Hopkins Hospital.


Twenty-six-year-old Brendan Marrocco along with the surgeons who treated him will be at the Baltimore hospital on Tuesday to discuss the new limbs.


The transplants are only the seventh double-hand or double-arm transplant ever conducted in the United States.


The infantryman was injured by a roadside bomb in 2009. The New York City man also received bone marrow from the same dead donor. The approach is aimed at helping his body accept the new arms with minimal medication to prevent rejection.


The military is sponsoring operations like these to help wounded troops. About 300 have lost arms or hands in the wars.


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Stock index futures point to slightly lower start

LONDON (Reuters) - Stock index futures pointed to a slightly lower open on Wall Street on Tuesday, with futures for the S&P 500 down 0.1 percent.


Futures for the Dow Jones were flat, while contracts on the Nasdaq 100 shed 0.2 percent at 04.47 a.m. EST.


European shares edged up to hover near two-year highs, with strong earnings reports and a brightening economic outlook lifting sentiment, although technical factors could limit gains in the near term.


Yahoo Inc said it forecasts a modest uptick in revenue for the current year, sending shares in the Internet group 3 percent higher in after hours trade.


The second-largest U.S. automaker, Ford, is expected to report earnings per share of $0.26, up from $0.20 one year earlier, when it unveils fourth-quarter results at 1200 GMT. Ford, which is heavily reliant on its pickup trucks for profits, is bound to benefit from an uptick in construction this year.


Drugmaker Pfizer is expected to report EPS of $0.44, down from $0.50 in the previous year, on plunging U.S. sales of its Lipitor cholesterol drug - which is facing generic competition since November 2011 - and disappointing demand for its Prevnar vaccine against childhood infections.


Online retailer Amazon.com reports results for the holiday quarter. They were expected to show strong sales growth, tempered by little to no profit as the world's largest Internet retailer spent heavily on its Kindle mobile gadget platform, cloud computing service and its rapidly expanding chain of shipping warehouses.


Standard & Poor's releases its S&P Case/Shiller Home Price Index for November at 1400 GMT. Prices are expected to have continued their recovery, up 0.6 percent on a seasonally adjusted basis, pointing to a housing market that is mending.


The Conference Board releases January consumer confidence figures at 1500 GMT, expected to have fallen to 64 from 65.1. The market will be looking for any impact from the "fiscal cliff" debate or the payroll tax increases at the beginning of the year.


The Federal Reserve's Open Market Committee begins two days of meetings on interest rates. Traders speculated more solid U.S. growth indicators might see the Fed pull back on its aggressive easing stimulus, which has played a key role in fuelling an equity market rally since the second half of last year.


Elon Musk has long considered Tesla Motors Inc the bold, nimble answer to the auto industry's cautious culture. Now the electric car maker's top executive has extended his help to another industrial giant: Boeing Co .


Pentagon and industry officials said on Monday a manufacturing problem was the most likely cause of an engine failure that led to the grounding of all 25 Marine Corps versions of the Lockheed Martin Corp F-35 fighter jet 10 days ago.


The Dow Jones industrial average <.dji> closed down 14.05 points, or 0.10 percent, at 13,881.93 on Monday. The Standard & Poor's 500 Index <.spx> was down 2.78 points, or 0.18 percent, at 1,500.18. The Nasdaq Composite Index <.ixic> was up 4.59 points, or 0.15 percent, at 3,154.30.


(Reporting By Francesco Canepa; Editing by Catherine Evans)



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Egypt's Mursi declares emergency after clashes kill dozens


CAIRO (Reuters) - Egyptian President Mohamed Mursi declared a month-long state of emergency in three cities on the Suez Canal, where dozens of people have been killed in protests that have swept the nation and deepened a political crisis facing the Islamist leader.


Hundreds of demonstrators in Port Said, Suez and Ismailia turned out against the decision within moments of Mursi's announcement late on Sunday, which came after the death toll from protests and violence that erupted last week hit 49.


Mursi also called for a national dialogue with his rivals for later on Monday, but the early response from members of the main opposition coalition suggested they saw little point, saying the president only seemed to listen to his allies.


Most deaths have been in Port Said, where 40 were killed in just two days. Riots were sparked on Saturday when a court sentenced to death several people from the city on charges related to deadly rioting at a soccer match last year. Mourners at Sunday's funerals in the port, where guns are common, directed their anger at Mursi.


Violence in Egypt's cities has extended to a fifth day. Police fired volleys of teargas at dozens of youths hurling stones on Monday near Cairo's Tahrir Square, where opponents have camped for weeks to protest against Mursi, who they say betrayed the revolution that ousted Hosni Mubarak two years ago.


"We want to bring down the regime and end the state that is run by the Muslim Brotherhood," said Ibrahim Eissa, a 26-year-old cook, protecting his face from teargas wafting towards him from police lines near Tahrir, the cauldron of the 2011 revolt.


Propelled to power in a June election by the Brotherhood, Mursi's presidency has lurched through a series of political crises and violent demonstrations, compounding his task of shoring up a teetering economy and preparing for a parliamentary election to cement the new democracy in a few months.


"The protection of the nation is the responsibility of everyone. We will confront any threat to its security with force and firmness within the remit of the law," Mursi said, offering condolences to families of victims in the canal zone cities.


"WASTE OF TIME"


Appealing to his opponents, the president called for a national dialogue on Monday at 6 p.m. (1600 GMT), inviting a range of Islamist allies as well as liberal, leftist and other opposition groups and individuals to discuss the crisis.


The main opposition National Salvation Front coalition gathered in Cairo to discuss a response, but several members have already suggested they do not expect much from the meeting, raising the prospect of poor attendance.


"Unless the president takes responsibility for the bloody events and pledges to form a government of national salvation and a balanced committee to amend the constitution, any dialogue will be a waste of time," Mohamed ElBaradei, a prominent politician who founded the Constitution Party, wrote on Twitter.


Hamdeen Sabahy, a leftist politician and presidential candidate who is another leading member of the Front, said he would not attend Monday's meeting "unless the bloodshed stops and the people's demands are met".


Ahmed Said of the liberal Free Egyptians Party said Mursi's tone on Sunday night was more threatening than conciliatory. "Egypt is in danger and completely split," he told Reuters.


Egypt's politics has become deeply polarized. Although Islamists have swept to victory in a parliamentary poll and presidential vote, the disparate opposition has been united by Mursi's bid late last year to expand his powers and fast-track a constitution with an Islamist hue through a referendum.


Mursi's opponents accuse him of listening only to his Islamist friends and reneging on a pledge to be a president for all Egyptians. Islamists say their rivals want to overthrow by undemocratic means Egypt's first freely elected leader.


The Front has distanced itself from the latest flare-ups but said Mursi should have acted far sooner to impose extra security measures that would have ended the violence.


BLAMING MURSI


"Of course we feel the president is missing the real problem on the ground, which is his own policies," spokesman Khaled Dawoud said. "His call to implement emergency law was an expected move, given what is going on, namely thuggery and criminal actions."


Even in Tahrir, some protesters said violence and the high death toll in Port Said and other cities on the strategic Suez waterway meant there was little choice but to impose emergency law, although they, too, blamed Mursi for fury on the streets.


"They needed the state of emergency there because there is so much anger," said Mohamed Ahmed, 27, a protester walking briskly from a cloud of teargas spreading into Tahrir Square.


However, activists in the three cities affected have pledged to defy the curfew that will start at 9 p.m. (1900 GMT) each evening and last until 6 a.m. (0400 GMT).


Some opposition groups have also called for more protests on Monday, which marks the second anniversary of one of the bloodiest days in the revolution that erupted on January 25, 2011, and brought an end to Mubarak's iron rule 18 days later.


Rights activists said Mursi's declaration was a backward step for Egypt, which was under emergency law for Mubarak's entire 30-year rule. His police used the sweeping arrest provisions to muzzle dissent and round up opponents, including members of the Brotherhood and even Mursi himself.


Heba Morayef of Human Rights Watch in Cairo said the police, still hated by many Egyptians for their heavy-handed tactics under Mubarak, would once again have the right to arrest people "purely because they look suspicious", undermining efforts to create a more efficient and respected police force.


"It is a classic knee-jerk reaction to think the emergency law will help bring security," she said. "It gives so much discretion to the Ministry of Interior that it ends up causing more abuse, which in turn causes more anger."


(Additional reporting by Yasmine Saleh in Cairo and Yusri Mohamed in Ismailia; Editing by Will Waterman)



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Funniest Quotes We're Still Talking About from the SAG Awards





Tina gives a shout-out to Girls' baby mama Amy, Jennifer Lawrence's super sweet 16 win and more LOL one-liners








Credit: Michael Buckner/WireImage



Updated: Monday Jan 28, 2013 | 12:20 AM EST




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CDC: Flu seems to level off except in the West


New government figures show that flu cases seem to be leveling off nationwide. Flu activity is declining in most regions although still rising in the West.


The Centers for Disease Control and Prevention says hospitalizations and deaths spiked again last week, especially among the elderly. The CDC says quick treatment with antiviral medicines is important, in particular for the very young or old. The season's first flu case resistant to treatment with Tamiflu was reported Friday.


Eight more children have died from the flu, bringing this season's total pediatric deaths to 37. About 100 children die in an average flu season.


There is still vaccine available although it may be hard to find. The CDC has a website that can help.


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CDC: http://www.cdc.gov/flu/


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Euro, shares stall as investors turn cautious


LONDON (Reuters) - Rallies in European shares and the single currency stalled on Monday after strong gains last week as investors awaited confirmation that financial market conditions and the outlook for the euro area have improved.


Investor sentiment rose strongly on Friday after data showed European banks would repay more than expected of the emergency loans they borrowed from the European Central Bank (ECB) and that business sentiment in Germany was improving sharply.


A solid start to the corporate earnings season has also helped send many equity indexes to pre-financial crisis highs, with the Standard & Poor's 500 index closing last week at its highest level in over five years.


In the equity markets Europe's FTSEurofirst 300 index <.fteu3> shed 0.1 percent in early trade to 1,173.87 points, leveling off near its highest level for almost two years, though traders said there was still strong underlying demand.


"All European benchmarks are at their 2012-2013 highs. Every time there's even a slight pull-back, the buying pressure comes in," Aurel BGC chartist Gerard Sagnier said.


The market's cautious mood on Monday also followed a weaker session in Asia, where falls in technology companies saw the MSCI's broadest index of Asia-Pacific shares outside Japan <.miapj0000pus> drop 0.4 percent.


The euro held near an 11-month high against the dollar $1.3440

Meanwhile, German government bond futures, a key gauge of investor sentiment, continued to ease, slipping a further 7 ticks to 142.40 on Monday, and gold is languishing near a two-week low as hopes for an economic recovery worldwide dampen the metal's appeal as a safe haven.


Investors are keenly awaiting the ECB's monthly data on bank lending to companies and consumers, due later, for confirmation that growth is returning to the economy. Italy will also provide a test of investor sentiment when it auctions almost 7 billion euros ($9.4 billion) of 2-year and 5-year bonds.


However, the main focus for investors this week will be on the U.S., where the Federal Reserve's Open Market Committee meets on Tuesday and Wednesday, and where the nonfarm payrolls report is due out on Friday.


Oil prices were being held in check by the events coming up in the U.S., with Brent crude unchanged at $113.28 a barrel, while U.S. crude rose 17 cents to $96.05 after seven straight weekly gains - the longest such streak since early 2009.


($1 = 0.7421 euros)


(Reporting by Richard Hubbard; Editing by Will Waterman)



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