Obama lifts ban on abortion funds

US President Barack Obama has lifted a ban on federal funding for foreign family planning agencies that promote or give information about abortion.

The US is one of the biggest supporters of family planning programmes globally, but former president George W Bush blocked funds for abortion services.

Powerful anti-abortion groups in the US have criticised the lifting of the ban.

But aid agencies welcomed the move, saying it would promote women’s health, especially in developing countries.

A White House spokesman said Mr Obama signed the executive order without asking for coverage by the media late on Friday afternoon.

The issue of abortion services remains controversial in the US, pitting pro-life conservative groups against more liberal, pro-choice Americans who back a woman’s right to choose whether or not to have an abortion.

This may be why President Obama signed the order with so little fanfare.

Highly contentious

Organisations that had pressed Mr Obama to make the abortion-ban change were jubilant.

They called the funding ban the “gag rule” because it cuts funds to groups that advocate or lobby for the lifting of abortion restrictions.

The Planned Parenthood Federation of America hailed the president for “lifting the stranglehold on women’s health across the globe with the stroke of a pen.”

“No longer will health care providers be forced to choose between receiving family planning funding and restricting the health care services they provide to women,” the organization said in a statement.

But anti-abortion groups were quick to criticise the reversal of the funding ban.

“President Obama not long ago told the American people that he would support policies to reduce abortions, but today he is effectively guaranteeing more abortions by funding groups that promote abortion as a method of population control,” said Douglas Johnson, legislative director of the National Right to Life Committee.

A 1973 decision by the US Supreme Court legalised abortion.

A Gallup poll conducted last year showed that 54% of Americans think abortion should be allowed under certain circumstances, 28% believe it should be legal under any circumstances, while 17% back a total ban.

See-saw issue

The policy has become a see-saw issue between Republican and Democratic administrations.

Former President Bill Clinton, a Democrat, repealed the policy when he took office in 1993 and George W Bush reinstated it in 2001.

The ruling is also known as the Mexico City Policy, because it was first introduced at a UN conference there in 1984 by former Republican President Ronald Reagan.

In a move related to the lifting of the abortion rule, Mr Obama is also expected to restore funding to the UN Population Fund (UNFPA) in the next budget, the AP news agency reported.

The Bush administration contended that the fund’s work in China supported a Chinese family planning policy of coercive abortion and involuntary sterilisation, claims the UNFPA has vehemently denied.

In a separate move earlier on Friday, US regulators cleared the way for the world’s first study on human embryonic stem cell therapy.

While the decision of the US Food and Drug Administration is independent of White House control, Mr Obama is widely expected to adopt a more pragmatic and science-oriented approach to stem cell research.

Biden and Palin debate

Biden and Palin debate

The two US vice-presidential candidates have traded blows on the financial crisis, climate change and foreign policy in their only TV debate.

Democrat Joe Biden sought to link Republican presidential candidate John McCain to the policies of President Bush, saying he was “no maverick”.

Republican Sarah Palin defended herself against claims of inexperience and said the McCain ticket would bring change.

Voter polls suggested Mr Biden had won but Mrs Palin did better than expected.

The debate at Washington University in St Louis, Missouri, was seen as particularly crucial for Mrs Palin, whose poll ratings have fallen.

Mrs Palin played to her strengths and her image as a mother in touch with ordinary Americans.

For the most part she spoke fluently but simply about the economy, climate change and the war in Iraq, our correspondent says, and there were few of the stumbling gaffes that have become the staple of late-night comedy shows.

Two polls conducted after the debate, by US networks CNN and CBS News, judged Mr Biden the winner. However, the CNN poll found a large majority thought Mrs Palin had done better than expected.

‘Hockey moms’

Asked by moderator Gwen Ifill who was at fault for the current problems with the US banking system, Mrs Palin blamed predatory lenders and “greed and corruption” on Wall Street.

It would be a travesty if we were to quit now in Iraq Sarah Palin Republican VP nominee

Senator McCain would “put partisanship aside” to help resolve the crisis, she said, and had raised the alarm over mortgage giants Fannie Mae and Freddie Mac long ago.

She said “Joe six-packs and hockey moms across the country” – referring to middle-class voters – needed to say “never again” to Wall Street chiefs.

Mrs Palin also accused Democratic presidential candidate Barack Obama of seeking to raise taxes but Mr Biden rejected that claim.

He said the economic crisis was evidence that the policies of the past eight years had been “the worst we’ve ever had” and accused Mr McCain of being “out of touch” on the economy.

Senator Obama’s plan to raise taxes on households earning over $250,000 was “fairness”, Mr Biden said, unlike Mr McCain’s proposals for more tax breaks for big companies.

‘Dead wrong’

On foreign policy, Mrs Palin accused Mr Obama of refusing to acknowledge that the “surge” strategy of extra troops in Iraq had worked.

He’s not been a maverick on virtually anything that people talk about around the kitchen table Joe Biden Democratic VP nominee

“It would be a travesty if we were to quit now in Iraq,” she said, describing Mr Obama’s plan to withdraw combat troops a “white flag of surrender”.

Mr Biden countered by saying Mr McCain had been “dead wrong” on Iraq and had yet to present a plan to end the conflict.

He said the US was wasting $10bn a month in Iraq while ignoring the real front line in the fight against terrorism, Afghanistan.

In turn, Mrs Palin said Mr Obama was naive for saying he was willing to talk directly to the leaders of Iran, North Korea and Cuba. “That is beyond bad judgment. That is dangerous,” she said.

The pair also sparred on the issue of climate change.

Mrs Palin, governor of energy-rich Alaska, said human activities were a factor in climate change but that climatic cycles were also an element. She urged US energy independence as part of the answer.

Key words used most frequently by Joe Biden in the debate

Mr Biden pointed to climate change as one of the major points on which the two campaigns differed, saying: “If you don’t understand what the cause is, it’s virtually impossible to come up with a solution.”

He said he and Mr Obama backed “clean-coal” technology and accused Mr McCain of having voted against funding for alternative energy projects and seeing only one solution: “Drill, drill, drill.”

While Mrs Palin described her party’s candidate as “the consummate maverick”, her rival argued that Mr McCain had followed the Bush administration’s policies on important issues such as Iraq.

“He’s not been a maverick on virtually anything that people talk about around the kitchen table,” Mr Biden said.

Overall, commentators highlighted Mrs Palin’s frequent use of a “folksy” style, for example using expressions like “doggone it” and telling her opponent: “Aw, say it ain’t so, Joe.”

They also noted how Mr Biden appeared emotional as he talked about raising his two young sons alone after a car crash killed his first wife.

Poll shift

According to a Pew Research Center poll, two-thirds of voters planned to follow the debate, far more than in 2004.

Sarah Palin was a huge hit at the Republican convention last month

A new poll by the Washington Post suggests that 60% of voters now see Mrs Palin as lacking the experience to be an effective president.

One-third say they are less likely to vote for Senator McCain, as a result.

Independent voters, who are not affiliated to either political party, have the most sceptical views of the 44-year-old Alaska governor.

Another poll, for CBS News, gives Senator Barack Obama 49% to 40% for Mr McCain.

It is the latest in a series of opinion polls that have shown a significant shift in the direction of Mr Obama since the economic crisis began.

Mrs Palin, whose fiery speech at last month’s Republican convention inspired Christian conservatives, produces unusually strong feelings – both positive and negative – among voters.

Key words used most frequently by Sarah Palin in the debate

Although Mrs Palin has succeeded in mobilising conservative Republicans, her key challenge is to appeal to the swing voters who could determine who will win the battleground states, analysts say.

In particular, she needs to win over the “Wal-Mart moms” – white, working-class married women.

A recent poll of customers of discount giant Wal-Mart suggested that Mr McCain was slightly ahead with this group in Ohio and Florida, while Mr Obama was leading in Virginia and Colorado.

Meanwhile, the McCain campaign is scaling back its operations in another swing state, Michigan, effectively conceding the advantage to Mr Obama there.

House set for fresh bail-out vote

President Bush has said the bill is the best chance of rescuing the economy

The US House of Representatives is preparing to vote on a $700bn (£380bn) plan to rescue the US financial sector.

Party leaders are hoping the House, which stunned global markets by rejecting the initial plan, will follow the Senate and back a new version.

The House began debating the deal on Friday morning and is expected to vote later in the day.

The Senate bill added about $100bn in new tax breaks in the hope of gaining more support from House Republicans.

The New York stock exchange opened shortly after the debate began and the Dow Jones Industrial Average jumped more than 100 points in early trading.

But earlier in Japan, shares fell to a three-year low. The Nikkei index closed down more than 1.9%, its lowest level since May 2005.

In Europe, shares were relatively flat. In early afternoon trading the UK’s FTSE 100 was down just 18 points, France’s Cac 40 was down nine and Germany’s Dax up seven.

The financial volatility continued on Friday as US bank Wells Fargo announced it would buy troubled rival Wachovia in a $15.1bn (£8.5bn) deal.

The US also reported its biggest monthly job loss in more than five years.

Bush plea

In Washington, House Speaker Nancy Pelosi, a Democrat, has said no vote will be scheduled until the party feels it will pass.

NEW MEASURES IN BAIL-OUT BILL Increased protection for saving deposits Increased child tax credits More aid for hurricane victims Tax breaks for renewable energy Higher starting limits to alternative minimum tax

“We’re not going to take a bill to the floor that doesn’t have the votes. I’m optimistic that we will take a bill to the floor,” she said.

When the House first rejected the plan on Monday – by 228 votes to 205 – legislators had concerns about both the content of the plan and the speed with which they were being asked to pass it.

President George W Bush has since urged the House to back his revised bill.

The package is aimed at buying up the bad debts of failing institutions on Wall Street.

Both the Democratic and Republican parties are pressing their members in the House to swing behind the revised bill and party leaders expect it to pass.

This thing, this issue, has gone way beyond New York and Wall Street President George W Bush

Some members have called for more amendments, which opens up the prospect of further horse-trading up to the point at which votes are cast.

Pressure will particularly be applied to the 133 House Republicans who went against party affiliation to reject President Bush’s bill, correspondents say.

Tennessee Republican Zach Wamp, one of those who voted against the bill on Monday, said he would now vote in favor of the measure despite ordinary Americans remaining “as mad as heck” at the situation on Wall Street.

“You have got to do what you think is right. I thought the right thing Monday was to vote no. And I think the right thing to do tomorrow is to vote yes.”

The bill successfully passed through the Senate on Wednesday after it was amended to raise the government’s guarantee on savings from $100,000 to $250,000.

It also now includes tax breaks to help small businesses, expand the child tax credit and extend help to victims of recent hurricanes.

Most importantly, it extends the tax break aimed at boosting the provision of alternative energy such as wind farms.

It also includes a number of so-called “pork-barrel” measures including tax cuts for rum manufacturers in Puerto Rico and the owners of racetracks.

The additional cost of these unrelated tax breaks – which could add $100bn to the bill – have worried some fiscally conservative Democrats in the House of Representatives.

US rivals try to woo Christians

The pair have contrasting approaches to discussing their faith

US presidential hopefuls John McCain and Barack Obama have been trying to woo Christian voters at a televised religious forum in California.

The two men shared a stage for the first time since securing nomination.

Speaking first, Mr Obama defended his support for abortion and same-sex civil unions, but said marriage should only be between a man and a woman.

Republican John McCain affirmed he was pro-life and that he strongly supported preserving the status of marriage.

The forum, hosted by US pastor Rick Warren, was the senators’ last joint appearance before their official nomination as the candidates for November’s presidential election at their respective party conventions in a few weeks.

Three debates are scheduled to take place after the Democrat and Republican conventions.

Moral failure

Mr Warren is best known for building Saddleback Church into a 20,000-member “mega-church” in Lake Forest, southern California, and for writing The Purpose-Driven Life.

At the beginning of the first hour-long interview, Mr Obama told the pastor that America’s greatest moral failure was its insufficient help to the disadvantaged.

The Democratic candidate noted that the Bible had quoted Jesus as saying: “Whatever you do for the least of my brothers, you do for me.”

He said the maxim should apply to victims of poverty, sexism and racism.

Mr Obama also reaffirmed his belief that marriage should only be a “union between a man and a woman”, although he also defended his support for same-sex civil unions and for the granting of similar rights to same-sex partners.

If he were president, he said he would not support a constitutional amendment banning gay marriage because the issue was one for state governments to decide.

On abortion, Mr Obama stressed he remained pro-choice and that he believed in the “Roe vs Wade” Supreme Court ruling supporting it.

However, he did say that he would seek to reduce the number of late-term abortions and unwanted pregnancies.

‘Pro-life president’

Mr McCain was asked similar questions by Mr Warren. When asked about America’s greatest moral shortcoming, he responded by saying that its citizens had failed to “devote ourselves to causes greater than our self-interests”.

Appearing to criticize President George W Bush, Mr McCain said that after 11 September 2001 there should have been a push to encourage people to join the army, Peace Corps and other voluntary organizations, rather than an official call to “go shopping”.

When asked about his stance on abortion, the Republican candidate declared he opposed abortion “from the moment of conception”.

“I will be a pro-life president and this presidency will have pro-life policies. That’s my commitment to you,” he said to applause.

Mr McCain also said he supported preserving “the unique status of marriage between a man and a woman” and that he was against the decision taken in some states to allow same-sex marriages.

“That doesn’t mean people can’t enter into legal agreements. That doesn’t mean that they don’t have the right of all citizens,” he said.

Conservative Christians form about one-quarter of the US electorate. They largely support the Republican Party, but have not shown great enthusiasm for Mr McCain.

He identifies himself as Baptist and has made a strong appeal to social conservatives and evangelical Christians during his campaign.

But he rarely discusses his faith. Earlier this year he said: “I’m unashamed and unembarrassed about my deep faith in God. But I do not obviously try to impose my views on others.”

The Illinois senator, a Christian, has made a point of discussing his religion on the campaign trail and has been courting religious voters with a presence on Christian radio and blogs, and other events.

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McCain ad paints Obama as celebrity, not leader

McCain ad paints Obama as celebrity, not leader

Republican John McCain’s presidential campaign released a TV ad Wednesday that compares Democrat Barack Obama’s popularity to that of Britney Spears and Paris Hilton, and questions whether being a “celebrity” qualifies someone to be president. It’s called Celeb.

The ad also, McCain campaign manager Rick Davis said, makes the case that Obama is unsuited to be president like those two young pop stars and that the Illinois senator favors higher taxes.

Obama campaign spokesman Tommy Vietor replied that McCain had launched “yet another” false and negative attack. Paraphrasing Spears, Vietor said of McCain that, “oops, he did it again.”

Wednesday evening, the Obama campaign released an ad, which it plans to broadcast today, called Low Road. It says McCain is “practicing the politics of the past” with his “attacks.”