Drought has Amazon tributary at record low levels

A severe drought has dropped water levels on a major Amazon tributary to their lowest point since officials began keeping records more than a century ago, the government reported Monday, cutting off dozens of communities who depend on the river for work and transportation.

Floating homes along the Rio Negro now rest on muddy flats, and locals have had to modify boats to run in shallower waters in a region without roads. Some riverbanks have caved in, although no injuries have been reported. Enormous fields of trash and other debris have been revealed by the disappearing waters.

The drought is hurting fishing, cattle, agriculture and other businesses, prompting authorities to declare a state of emergency in nearly 40 municipalities. Amazonas state officials said more than 60,000 families have been affected by the drought.

The government has distributed about 600 tons of food, water and medicine, much of it by helicopter to isolated villages.

"It is a difficult situation for the community," resident Josimar Peixoto told Globo TV. "The families are struggling here."

The government's geological service said Monday that the Rio Negro was measured at a depth of 13.63 meters (44.72 feet) the previous day near the jungle city of Manaus, the lowest since a measuring system was implemented in 1902.

Manaus, in northern Brazil, is where the Rio Negro is at its deepest and where it merges with the Amazon River _ meaning some places upstream are nearly completely dry.

The previous low was 13.64 meters (44.75 feet), recorded in 1963.

An engineer and hydrology expert with the geological service said rains in remote parts of the Amazon will begin raising river levels, but it will take time for that water to reach Manaus.

"The water is expected to start rising again in about three to four weeks," Daniel Oliveira told The Associated Press.

BG Group reports oil in well offshore Brazil

MADRID (MarketWatch) -- U.K. oil and gas company BG Group PLC on Monday confirmed it has found light oil in one of its new wells offshore Brazil. The ninth Tupi well, known as Tupi SW, was in the Santos Basin, 295 kilometers off the coast of Rio de Janeiro State. BG Group said the well encountered a 128-meter reservoir section, with the oil/water discovery in the Tupi accumulation at the deepest of potential depths previously considered. BG said this further reduces uncertainty in estimating hydrocarbon volumes for the Tupi area.
By Barbara Kollmeyer

Ongoing French Protests Lead to Low Fuel Supplies

French labor seems intent on making everything in the country go awry, with the latest concern over fuel causing angst throughout the nation.

Transportation is likely to get a lot tougher in the coming days in France unless something is done to stop workers in various parts of the country from striking and protesting. The ongoing protests of the country’s austerity plans, which would raise the retirement age in France from a very low 60 years of age to 62 – which would still be among the lowest in the world – has created havoc in the country. Among the latest concerns is the fact that all 12 French fuel refineries were on strike.

In addition, many fuel depots are being blocked by protestors, with police being called in to force open at least three depots that are crucial to the country’s functioning. The French Ecology Ministry released a statement noting that fuel supplies were secured through Tuesday, but beyond that it is not clear what would happen. French Transport Minister Dominique Bussereau has authorized oil companies to use reserves in the wake of trucking companies complaining that they were unable to find fuel.

Noted French citizen Bernard Martin, a 60-year-old retiree, "When the government says there will be no shortage, it means there will be a shortage. Since this morning, there is no more diesel fuel." To the casual American observer, it would appear that France’s low retirement age seems to somehow make people overly touchy about what the government does, and does not do, for them. In a country where labor already is set up to be overpaid for doing work that requires little skill, it appears that many still want more, and are unwilling to concede anything in the process. Noted Christian Coste, head of the CGT Union in France, "the protests are an attempt to say stop abusing the workers and citizens. We are not here to bring France to its knees and create a shortage, we are here to make ourselves heard." Mission accomplished Christian. Now…get back to work (if you’ve not retired already).

By Buzzle Staff and Agencies

Serra draws closer in Brazil poll, markets react

BRASILIA - Brazil's presidential race narrowed to a statistical dead heat in a new poll on Thursday, causing investors to react for the first time in months to the

possibility of a victory by opposition candidate Jose Serra.

 The survey by polling firm Sensus showed Serra trailed ruling party candidate Dilma Rousseff by just four percentage points -- within the poll's margin of error, and a far cry from the 20-point lead Rousseff enjoyed in late August.

 The poll showed Rousseff with 46.8 percent support and Serra with 42.7 percent in the Oct. 31 runoff. Other recent polls have given Rousseff a lead of as much as eight points, raising questions about whether the Sensus survey was an outlier.

 Still, it is clear that a recent corruption scandal, plus a controversy over Rousseff's abortion views, have badly eroded support for the career civil servant whom President Luiz Inacio Lula da Silva chose as his preferred successor.

 As a result, many investors began to hedge their bets on Thursday in case Serra wins -- signaling a potential shift in an election financial markets have largely ignored because Rousseff was the prohibitive favorite.

 "No one imagined we could see this 'technical tie' so early, and so the market is pricing this in," said Paulo Nepomuceno, an economist at Brazil's Coinvalores brokerage.

"The movement (in markets) is very strong."

By Raymond Collit

California:Even if Prop. 19 passes, federal drug laws will be 'vigorously' enforced

The nation's top federal law enforcement official said the Obama administration would "vigorously enforce" drug laws against people who grow, distribute or sell marijuana for recreational use even if California voters pass a measure to legalize it.

U.S. Atty. Gen. Eric H. Holder Jr., in a letter sent Wednesday to nine former chiefs of the U.S. Drug Enforcement Administration, wrote, "Let me state clearly that the Department of Justice strongly opposes Proposition 19. If passed, this legislation will greatly complicate federal drug enforcement efforts to the detriment of our citizens."

The initiative of the Nov 2 ballot would allow Californians 21 and older to grow up to 25 square feet and possess up to an ounce of marijuana. It also allows cities and counties to authorize cultivation and sales. Several cities, including Oakland, appear poised to do so if the law passes.

Campaign contributions: 

Holder's letter was made public Friday. Los Angeles County Sheriff Lee Baca is hosting a news conference at his headquarters Friday morning to draw attention to the letter.

Possession and sales of marijuana are illegal under the federal Controlled Substances Act. In his letter, Holder wrote: "We will vigorously enforce the CSA against those individuals and organizations that possess, manufacture or distribute marijuana for recreational use, even if such activities are permitted under state law."

Dale Sky Jones, a spokeswoman for the Prop. 19 campaign, said the federal government is continuing to enforce "a failed policy."

"We're not necessarily surprised that the establishment is coming down on the side of the status quo. ... If the federal government is going to disregard the voters, this is a states' right issue."

President Obama has said that he is opposed to legalizing marijuana, but his administration has ended prosecutions of medical marijuana collectives and patients that abide by state laws, in effect ignoring the Controlled Substances Act. California was the first state to legalize medical marijuana in 1996, and agents from the Drug Enforcement Administration targeted the state's dispensaries and collectives for years. They have continued to bust large-scale growers.

The administration has come under criticism from the initiative's opponents for not doing enough to try to defeat it. Last week, Mexico's president, Felipe Calderon, chided the Obama administration. The nation's drug czar, Gil Kerlikowske, has spoken out about the initiative and said there is no doubt about where the administration's stands. On Thursday, his office issued a news release highlighting a survey released a month ago that showed teens are starting to use marijuana at an earlier age, 17 years old in 2009 as opposed to 17.8 years old in 2008.

Californians are split on the issue. Polls have consistently shown that marijuana legalization is supported by about half of the state's electorate.

By John Hoeffel

Brazil provides $4.8 bln to World Cup

Brazilian government will provide 4.8 billion U.S. dollars to finance infrastructure in the host cities of 2014 World Cup, according to a government statement published on Thursday in the Official Gazette.

The money will be used to facilitate access to stadiums, airports and ports.

Among the projects approved are the light rail vehicles (LRVs) from Brasilia to Fortaleza, the monorails in Sao Paulo and Manaus, 20 bus rapid transit systems (BRT) and 10 express bus corridors. 

New estimate for Brazil GDP in 2010

New estimate for Brazil GDP in 2010

New estimate for Brazil GDP in 2010

BRASILIA - The financial market has raised the estimate of inflation for 2010 and projected new growth in Gross Domestic Product (GDP).According to the Focus bulletin, investors and market analysts projected for year-end inflation of 5.07%, measured by the Consumer Price Index (IPCA). In the previous measurement, the IPCA for the period was projected at 5.05%. As for next year, the projection of the financial market for the IPCA inflation fell from 4.94% to 4.92%. 

For economic growth this year, the expectation has reached 7.55%. Previously, it was 7.53%. The exchange rate in December was estimated at 1.75 and the basic interest rate (Selic) was maintained at 10.75% per annum. The public sector net debt was estimated up, rising to 40.75% against 40.70% the previous result. 

The trade balance showed a slight improvement by the calculations of the market reaching US$ 16 billion. In the previous poll, the financial market had expected US$ 15 billion. The result, however, would not alter the balance on current account would remain in Brazil with a deficit of US$ 50 billion.

By Agendia Brasil

International press highlights second round and Dilma’s 'insufficient' victory

SAO PAULO - The elections in Brazil have been featured in international press. The newspapers identified the need for the second round, noting that the votes of Rousseff (PT) were not sufficient for the victory. The candidate Marina Silva (PV) was also remembered as a decisive factor for the new election involving the PT and the PSDB candidate José Serra. 

"Brazil came close to electing its first woman president, but Rousseff will face a runoff," the British Guardian. The British newspaper said that some voters did not know the name of the PT candidate, referring to her only as "wife of Lula." 
The New York Times, on his side, pointed to the role in the election of Marina Silva, interfering in Dilma’s triumph in the first round."Rousseff was denied victory due to a strong turnout of the electorate of Marina Silva (...), which managed to get more than 19%," Journal said.
The Spanish daily El Pais also reminded of Marina, saying the candidate "has been consolidated as an alternative and fixed their ability to bargain for second shift." The newspaper commented on the positive Dilma polls before the election, noting that the first round may come as a setback for the PT.
"The great expectations aroused to Rousseff's candidacy may end up harming his second round since his triumph, insufficient to note as a defeat," he said.
Le Monde has an extensive coverage of the Brazilian elections. Besides highlighting the second round of Dilma, the newspaper pointed out the benefits of projects of the Lula government, which can be continued by his successor, being elected on October 31. 

by Portal Terra