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Bush Defends His Iraq Strategy
1President Bush said Iraq is taking a greater role in policing cities and fighting terrorists but a firm U.S. exit plan may undermine the war. He said both progress and military leaders must drive an Iraq pullout. His speech and a 35-page report didn't sway Democrats. House minority leader Nancy Pelosi backed a call for an exit in 6 months.
Large Caps Fall In Mixed Session
2The Nasdaq gave up mild gains to end flat on higher trade. The S&P 500 and the NYSE composite lost 0.6% and the Dow 0.8%, suffering their 3rd distribution day since Nov. 15. Metal ores, jewelry, consumer electronics and financials slid. But the small-cap S&P 600 rose 0.4%. Chips, genetics and Net software grew. More on this page, B2
Q3 GDP Growth Revised To 4.3%
3The U.S. economy grew at its fastest pace since Q1 '04 despite hurricanes and spiking energy costs. The gov't revised up its GDP estimate from the initial 3.8%. The report's inflation gauges showed slightly smaller gains. Q3 corporate profits fell 3.7% vs. Q2, the worst drop in 4 years. Some economists raised early '06 GDP growth forecasts, but worried about a more aggressive Fed.
Chicago Factory Activity Robust