Tens-of-thousands of supporters of Venezuelan President Hugo Chavez marched through downtown Caracas on Thursday to show their strong support for the leader as a suspected bomb exploded near the demonstration, killing one person and injuring 12 others.

Waving red flags and pro-Chavez banners, followers of the Venezuelan president, who were from Caracas as well as from other cities, gathered in the early hours on Thursday in the east and west of the capital before marching to rally in downtown Caracas.

Chanting "Hey, hey, Chavez is here to stay," the demonstrators gave a strong "no" to opposition calls for Chavez's resignation and early elections. Demonstrators tore down an opposition billboard calling for a referendum in early February.

President Hugo Chavez and Infrastructure Minister Diosdado Cabello attended the demonstration. The Minister told the press that "the people are in the street defending their democracy, defending the revolution."

The general strike called by the opposition leaders and businessmen in early December has crippled the oil industry of Venezuela, the world's fifth largest oil exporter. The clashes between the two sides have killed at least six people and wounded dozens of others. To avoid confrontation, opposition leaders told their supporters to stay at home.

Chavez, who was re-elected in 2000 and survived a short-lived coup last April, has rejected calls for any referendum before August this year, halfway through his six-year term. In a broadcast to the nation late Wednesday, Chavez said, "Bit by bit, we are defeating the chaos." The president told his foes that they should wait until August this year when the constitution allows for a binding referendum on his rule.

BOMB EXPLODES NEAR DEMONSTRATION

A suspected bomb exploded several blocks away as the Chavez supporters marched through the capital city, killing one person and injuring 12 others.

Fearing more explosions, the police immediately sealed off the zone and searched for other possible explosive devices.

"This appears to be an explosive device. Unfortunately there is one person dead up to now," Caracas Fire Chief Rodolfo Briceno told local radio.

Manuel Rojas, director of the capital's Vargas Hospital told the press that a total of 12 people were injured, most of them by shrapnel.

Although the blast caused fears of more violence, the pro-Chavez demonstration continued.

Japanese PM calls on US to consider international opinions over Iraqi issue

Japanese Prime Minister Junichiro Koizumi called on the United States on Friday to take into account the views of the international community before taking a decision on whether to attack Iraq.

"Japan has repeatedly said the United States should be aware of the importance of international cooperation to deal with Iraq," Koizumi was quoted as saying.

"I believe the U.S. is studying the situation in the global community," he added.

Koizumi also urged Iraq to cooperate with weapons inspectors to erase global concerns. His remarks came after some US key allies such as Germany and France adopted a cautious stance toward the possible attack on Iraq.

IMF approves huge loan for Argentina!

The International Monetary Fund (IMF) approved a 6.78-billion-US-dollar loan package for Argentina on Friday, labeling the loan as "transitional financial support."

The approval of the loan came as a surprise to the public since the IMF and Argentina have not reached an agreement regarding tough economic reforms, which have been a long-time pursuit of the International lending agency.

The IMF's approval of the loan package has, however, ended arduous negotiations of 11 months, giving South America's second largest economy some breathing room until the country can elect a new president, said a local media report Friday.

The IMF hopes the new administration in Argentina will have the political support needed to enact tough economic reforms that will allow the IMF to provide new loans to help end the country's lengthy economic downturn, the report said.

The United States, a key member of the IMF group, also loosened its hard-line position toward the South American nation. The Bush administration praised the deal, saying the IMF's decision represented a positive step toward a larger IMF program that would release the new loans the country needs to recover, said the report.

Argentina has been suffering a severe financial crisis for more than a year since it was force to default on the bulk of 141 billion dollars in foreign obligations, devalue its currency and freeze bank deposits.