NEW YORK (Reuters) - Caroline Kennedy, the daughter of slain President John F. Kennedy, on Thursday withdrew her bid to fill the U.S. Senate seat vacated by Hillary Clinton.

NEW YORK (Reuters) - The economic crisis is hitting men much harder than women in the workplace, largely because male-dominated industries like construction and transportation are bearing the brunt of job losses, figures show.

AP - Caroline Kennedy withdrew from consideration for the U.S. Senate seat once held by her slain uncle, Bobby Kennedy, after a night of turmoil and uncertainty over her intentions.

AP - 'The Dark Knight' is the box-office behemoth with the deceased acting front-runner whose name everyone knows. 'Slumdog Millionaire' is the out-of-nowhere surprise with a cast no one ever heard of before.

AP - Serena Williams ignored pain and frustration to reach the third round of the Australian Open with a straight-sets win over Gisela Dulko on Thursday.

Reuters - The economic crisis is hitting men much harder than women in the workplace, largely because male-dominated industries like construction and transportation are bearing the brunt of job losses, figures show.

AFP - President Barack Obama had a frenetic first day in the White House, diving into tricky Middle East diplomacy, ordering a troop drawdown in Iraq and even retaking the oath of office.

AP - President Barack Obama is making good on his promise to close the U.S. military prison at Guantanamo Bay, Cuba, and appears ready to name a veteran politician to guide his new administration in the Middle East conflict.

AP - President Barack Obama's plan to award a $500 tax credit to most workers is expected to advance through a key House panel as Democrats prepare his $825 billion economic recovery plan for a floor vote next week.

AP - A Chinese court condemned two men to death Thursday and handed a life term to a former dairy boss in the first sentences for those involved in the country's contaminated milk scandal.

AP - Pakistani police acting on a tip from U.S. intelligence agents arrested an al-Qaida suspect believed linked to the 2005 London transit bombings, two Pakistani security officials said Thursday.

AP - A graduate student from China has been charged with murder in the fatal stabbing of a female student on Virginia Tech's campus, the first killing there since a deadly mass shooting in 2007.

Reuters - Caroline Kennedy, the daughter of slain President John F. Kennedy, on Thursday withdrew her bid to fill the U.S. Senate seat for New York vacated by Hillary Clinton.

AFP - President Barack Obama was to sign Thursday a series of executive orders to close the Guantanamo 'war on terror' prison, end harsh interrogation tactics and shutter secret prisons, marking a dramatic reversal of policy from his predecessor.

WASHINGTON (Reuters) - President Barack Obama is ready to issue orders on Thursday to close Guantanamo prison and overhaul the treatment of terrorism suspects, in a swift move to restore a U.S. image hurt by charges of torture.

BEIJING/TOKYO (Reuters) - China's economy slowed sharply in the fourth quarter and Japan's central bank said it would slide into two years of deflation as Asia's largest economies buckled under the strain of the global financial crisis.

JERUSALEM (Reuters) - After battering Hamas in the Gaza Strip, Israel now hopes to push through a prisoner swap to retrieve a soldier held by the Palestinians since 2006, Israeli officials said Thursday.

SHIJIAZHUANG, China (Reuters) - A Chinese court on Thursday sentenced two men to death for their role in a tainted milk scandal that killed at least six children, while the woman most widely blamed for the tragedy got life in jail.

AP - Caroline Kennedy has ended her quest for the U.S. Senate seat vacated by Hillary Rodham Clinton, halting a campaign that began with popular support but withered quickly over criticism about her experience and her reluctance to answer questions about her finances.

AP - Serena Williams almost failed her second-round test Thursday at the Australian Open, then headed straight to the practice courts for a little extra homework.

Reuters - President Barack Obama is ready to issue orders on Thursday to close Guantanamo prison and overhaul the treatment of terrorism suspects, in a swift move to restore a U.S. image hurt by charges of torture.

Reuters - China's economy slowed sharply in the fourth quarter and Japan's central bank said it would slide into two years of deflation as Asia's largest economies buckled under the strain of the global financial crisis.

AFP - Senior UN officials examined the extent of war damage in Gaza on Thursday as Israel warned that it would strike again if the enclave's Hamas rulers began to rearm through smuggling tunnels.

AP - A Chinese court condemned two men to death and handed a life term to a former dairy boss Thursday for their roles in the country's contaminated milk scandal, which ignited public anger and accusations of cover-ups.

AP - The company that made Beanie Babies a top toy craze is hoping for another winner with dolls named 'Sweet Sasha' and 'Marvelous Malia.'

AP - Venus Williams was knocked out of the Australian Open on Thursday, losing 2-6, 6-3, 7-5 to 46th-ranked Carla Suarez Navarro of Spain.

Reuters - After battering Hamas in the Gaza Strip, Israel now hopes to push through a prisoner swap to retrieve a soldier held by the Palestinians since 2006, Israeli officials said Thursday.

AFP - A Chinese court on Thursday sentenced two men to death and gave stiff jail terms to 10 others over a milk scandal that led to widespread poisoning of babies in China and dairy recalls around the world.

NEW YORK (Reuters) - Microsoft Corp posted quarterly results that missed Wall Street expectations, announced it would cut up to 5,000 jobs and said it could no longer offer profit forecasts for the rest of the fiscal year.

WASHINGTON (Reuters) - The number of workers lining up for jobless benefits surged last week, while new housing starts and permits hit record lows in December, pointing at an acceleration in the economy's downward spiral.

BEIJING/TOKYO (Reuters) - China's economy slowed sharply in the fourth quarter and Japan's central bank on Thursday predicted two years of deflation as Asia's largest economies buckle under the strain of the financial crisis.

BAGHDAD (Reuters) - Iraq's military is 'prepared for the worst' if President Barack Obama orders a swift withdrawal of U.S. troops, Defence Minister Abdul Qader Jassim said on Thursday.

AP - President Barack Obama is ready to trumpet Hillary Rodham Clinton's installation as secretary of state while turning to veteran politician and dealmaker George Mitchell to guide the new administration through the Mideast thicket.

AP - Hillary Rodham Clinton assumed her role as secretary of State on Thursday with a pledge to State Department employees that they would be at the leading edge of improving U.S. foreign relations.

AP - The romantic fantasy 'The Curious Case of Benjamin Button' led Academy Awards contenders Thursday with 13 nominations, among them best picture and acting honors for Brad Pitt and Taraji P. Henson, and a directing slot for David Fincher.

AP - The number of new unemployment claims jumped more than expected last week, as companies continue to cut jobs at a furious pace and more Americans turn to an extended benefits program.

AP - Microsoft Corp. said Thursday it is cutting 5,000 jobs over the next 18 months, a sign of how badly even the biggest and richest companies are being stung by the recession.

AP - A Chinese court condemned two men to death on Thursday and gave a dairy boss life in prison in the first sentences handed down in the tainted milk scandal, which ignited public anger and accusations of cover-ups.

AP - Venus Williams squandered a match point before losing to 46th-ranked Carla Suarez Navarro on Thursday, the biggest upset so far at the Australian Open.

Reuters - The number of workers lining up for jobless benefits surged last week, while new housing starts and permits hit record lows in December, pointing at an acceleration in the economy's downward spiral.

Reuters - Iraq's military is 'prepared for the worst' if President Barack Obama orders a swift withdrawal of U.S. troops, Defence Minister Abdul Qader Jassim said on Thursday.

NEW YORK (Reuters) - Microsoft Corp stunned Wall Street with disappointing results that included plans to slash up to 5,000 jobs and a warning that profit and revenue will almost certainly drop over the next two quarters.

WASHINGTON (Reuters) - President Barack Obama on Thursday ordered the closure of the Guantanamo military prison within a year and a halt to harsh interrogation of terrorism suspects, moving quickly to restore the U.S. image abroad.

WASHINGTON (Reuters) - The Senate Finance Committee on Thursday backed President Barack Obama's nominee to head the U.S. Treasury, Timothy Geithner, overlooking his underpayment of some $34,000 in taxes and clearing the way for a full Senate confirmation vote.

WASHINGTON (Reuters) - Former New York Sen. Hillary Clinton officially took the helm at the State Department on Thursday, promising a new era in U.S. diplomacy but tough times ahead.

BAGHDAD (Reuters) - Iraq's military is 'prepared for the worst' if President Barack Obama orders a faster withdrawal of U.S. troops, its defense minister said on Thursday, but the outgoing U.S. ambassador said a sudden pullout was unlikely.

AP - President Barack Obama began overhauling U.S. treatment of terror suspects Thursday, signing orders to close the Guantanamo Bay detention center, review military war crimes trials and ban the harshest interrogation methods.

AP - Hillary Rodham Clinton took charge of the State Department on Thursday, proclaiming the start of a new era of robust U.S. diplomacy to tackle the world's crises and improve America's standing abroad.

AP - The romantic fantasy 'The Curious Case of Benjamin Button' led Academy Awards contenders Thursday with 13 nominations, among them best picture and acting honors for Brad Pitt and Taraji P. Henson, and a directing slot for David Fincher.

AP - The Senate Finance Committee has cleared the nomination of Timothy Geithner as treasury secretary despite unhappiness over his mistakes in paying his taxes.

AP - Caroline Kennedy withdrew her Senate bid because of a personal matter unrelated to her ill uncle despite the governor's unsuccessful attempt to get her to reconsider, a person who worked closely with her said Thursday.

AP - Microsoft Corp. said Thursday it is cutting 5,000 jobs over the next 18 months — more than 5 percent of its work force — a sign of how badly even the biggest and richest companies are being stung by the recession.

Reuters - Microsoft Corp stunned Wall Street with disappointing results that included plans to slash up to 5,000 jobs and a warning that profit and revenue will almost certainly drop over the next two quarters.

Reuters - President Barack Obama on Thursday ordered the closure of the Guantanamo military prison within a year and a halt to harsh interrogation of terrorism suspects, moving quickly to restore the U.S. image abroad.

Reuters - The Senate Finance Committee on Thursday backed President Barack Obama's nominee to head the U.S. Treasury, Timothy Geithner, overlooking his underpayment of some $34,000 in taxes and clearing the way for a full Senate confirmation vote.

Reuters - Former New York Sen. Hillary Clinton officially took the helm at the State Department on Thursday, promising a new era in U.S. diplomacy but tough times ahead.

AFP - President Barack Obama on Thursday signed an executive order mandating the closure of Guantanamo Bay prison camp within a year, in a sharp reversal of Bush administration anti-terror policy.

NEW YORK (Reuters) - Microsoft Corp stunned Wall Street with disappointing results that included plans to slash up to 5,000 jobs and a warning that profit and revenue will almost certainly drop over the next two quarters.

WASHINGTON (Reuters) - President Barack Obama on Thursday ordered the closing of Guantanamo prison and may start naming troubleshooters for the Middle East and Iran as he moves swiftly to repair America's tarnished image abroad.

AP - Hillary Rodham Clinton took charge of the State Department on Thursday, proclaiming the start of a new era of robust U.S. diplomacy to tackle the world's crises and improve America's standing abroad.

AP - Alonzo Mourning has decided to retire rather than mount another NBA comeback at age 38.

Reuters - Microsoft Corp stunned Wall Street with disappointing results that included plans to slash up to 5,000 jobs and a warning that profit and revenue will almost certainly drop over the next two quarters.

Reuters - President Barack Obama on Thursday ordered the closing of Guantanamo prison and may start naming troubleshooters for the Middle East and Iran as he moves swiftly to repair America's tarnished image abroad.

Reuters - Iraq's military is 'prepared for the worst' if President Barack Obama orders a faster withdrawal of U.S. troops, its defense minister said on Thursday, but the outgoing U.S. ambassador said a sudden pullout was unlikely.

AFP - President Barack Obama Thursday ordered the closure of Guantanamo Bay prison within a year and banned the use of torture in terror interrogations in a dramatic repudiation of his predecessor George W. Bush.

AFP - Congolese and Rwandan troops advanced Thursday on the headquarters of Tutsi rebel leader, Laurent Nkunda, as Kinshasa used its neighbour to smother a rebellion in eastern DR Congo.

NEW YORK (Reuters) - Microsoft Corp stunned Wall Street with disappointing results that included plans to slash up to 5,000 jobs and a warning that profit and revenue will almost certainly drop over the next two quarters.

WASHINGTON (Reuters) - In a flurry of diplomatic activity in his first week in office, U.S. President Barack Obama on Thursday named special envoys for the Middle East and the Afghanistan-Pakistan region.

WASHINGTON (Reuters) - President Barack Obama on Thursday ordered the closing of Guantanamo prison and named veteran troubleshooters for the Middle East and Afghanistan as he moved swiftly to repair America's tarnished image abroad.

NEW YORK (Reuters) - John Thain, former chief executive of Merrill Lynch & Co, has been ousted from Bank of America Corp after the bank discovered surprise losses at the brokerage it bought three weeks ago.

WASHINGTON (Reuters) - President Barack Obama's plan to remove U.S. combat troops from Iraq in 16 months is one of the options being studied by the Pentagon, Secretary of Defense Robert Gates said on Thursday.

WASHINGTON (Reuters) - The U.S. Food and Drug Administration, hampered by increasing globalization and a rise in complex products, may not be able to adequately protect the public's health, the watchdog arm of Congress said in new findings released on Thursday.

AP - Iraq's government will have dramatically less money to spend this year than expected because of plunging oil prices — a dire economic situation that's already forced the country to slash rebuilding plans by 40 percent, The Associated Press has learned. As the U.S. seeks a timetable for withdrawal, cutbacks on spending and jobs could trigger heightened violence.

AP - Researchers believe they have solved the puzzle of three seemingly different fish, one all males, one all females and one all juveniles. They're the same fish, and undergo remarkable changes as they mature. 'You can imagine it was a pretty exciting discovery,' said G. David Johnson, an ichthyologist at the Smithsonian's National Museum of Natural History. 'The pieces kept falling into place.'

AP - The romantic fantasy 'The Curious Case of Benjamin Button' led Academy Awards contenders Thursday with 13 nominations, among them best picture and acting honors for Brad Pitt and Taraji P. Henson, and a directing slot for David Fincher. Other best-picture nominees are 'Frost/Nixon,' 'Milk,' 'The Reader' and 'Slumdog Millionaire.'

AP - An 83-year-old South Bend man said he missed his bus home from the presidential inauguration because he was dancing. Mussa Muhammad said his 'spirit jumped sky-high' when President Barack Obama took the oath of office Tuesday. He became separated from his group and, he said, 'just danced and danced' with a couple of young women he met along the way.

Reuters - Microsoft Corp stunned Wall Street with disappointing results that included plans to slash up to 5,000 jobs and a warning that profit and revenue will almost certainly drop over the next two quarters.

Reuters - In a flurry of diplomatic activity in his first week in office, U.S. President Barack Obama on Thursday named special envoys for the Middle East and the Afghanistan-Pakistan region.

Reuters - President Barack Obama on Thursday ordered the closing of Guantanamo prison and named veteran troubleshooters for the Middle East and Afghanistan as he moved swiftly to repair America's tarnished image abroad.

Reuters - John Thain, former chief executive of Merrill Lynch & Co, has been ousted from Bank of America Corp after the bank discovered surprise losses at the brokerage it bought three weeks ago.

Reuters - President Barack Obama's plan to remove U.S. combat troops from Iraq in 16 months is one of the options being studied by the Pentagon, Secretary of Defense Robert Gates said on Thursday.

Reuters - The U.S. Food and Drug Administration, hampered by increasing globalization and a rise in complex products, may not be able to adequately protect the public's health, the watchdog arm of Congress said in new findings released on Thursday.

WASHINGTON (Reuters) - In a symbolic gesture of dissatisfaction with the government's attempts to stabilize the financial system, the U.S. House of Representatives voted 270-155 on Thursday against releasing a second allotment of $350 billion to the Troubled Asset Relief Program, or TARP.

WASHINGTON (Reuters) - The number of U.S. workers lining up for state jobless benefits surged last week and home building slumped to a record low in December, data showed on Thursday, as the economy's downward spiral accelerated.

AP - President Barack Obama moved quickly Thursday to reshape U.S. national-security policy, ordering the Guantanamo Bay prison camp closed within a year, forbidding the harshest treatment of terror suspects and naming new envoys to the Middle East and Afghanistan-Pakistan. 'We have no time to lose,' he said at the State Department as he welcomed newly confirmed Secretary of State Hillary Rodham Clinton to help him forge what he called 'a new era of American leadership' in the world.

AP - Hillary Rodham Clinton took charge of the State Department on Thursday, proclaiming the start of a new era of robust U.S. diplomacy to tackle the world's crises and improve America's standing abroad.

Reuters - In a symbolic gesture of dissatisfaction with the government's attempts to stabilize the financial system, the U.S. House of Representatives voted 270-155 on Thursday against releasing a second allotment of $350 billion to the Troubled Asset Relief Program, or TARP.

Reuters - The number of U.S. workers lining up for state jobless benefits surged last week and home building slumped to a record low in December, data showed on Thursday, as the economy's downward spiral accelerated.

AFP - Iraq's military said Thursday it was prepared for an early cutback in US troops under new President Barack Obama, but a key diplomat warned against a hasty withdrawal.

WASHINGTON (Reuters) - U.S. House of Representatives committees on Thursday backed a raft of tax cuts and spending programs as part of the $825 billion package to boost the ailing economy, despite Republican complaints that their proposals were not getting a fair hearing.

NEW YORK (Reuters) - New York Gov. David Paterson said he would announce on Friday his choice to fill the U.S. Senate seat vacated by newly confirmed Secretary of State Hillary Clinton.

WASHINGTON (Reuters) - The U.S. agency responsible for keeping the public safe from harmful drugs and foods was added to a list of 'high-risk' areas of the federal government because it may not be able to adequately do its job, the Government Accountability Office said on Thursday.

AP - Breaking forcefully with Bush anti-terror policies, President Barack Obama ordered major changes Thursday that he said would halt the torture of suspects, close down the Guantanamo detention center, ban secret CIA prisons overseas and fight terrorism 'in a manner that is consistent with our values and our ideals.'

AP - Fidel Castro says he doubts he'll be able to follow current events four years from now. In an online column, the former Cuban president says he counts himself lucky to have been able to reflect on current events. But 'I expect I won't enjoy that privilege in four years, when Obama's first presidential term has ended,' he adds without elaborating.

AP - Caroline Kennedy's mysteriously abrupt decision to abandon her Senate bid gave rise to an ugly swirl of accusations Thursday and feverish speculation over whether she jumped or was pushed. The 51-year-old daughter of President John F. Kennedy was widely considered a front-runner for the Senate seat until she sent a midnight e-mail to reporters and Gov. David Paterson saying she was withdrawing for what she described only as personal reasons.

AP - The first family settled into their new lives in the White House on Thursday as President Barack Obama won an important personal victory: He gets to keep his BlackBerry.

AP - First baseman Prince Fielder and the Milwaukee Brewers reached a preliminary agreement Thursday on an $18 million, two-year contract. The agreement is subject to a physical, Brewers general manager Doug Melvin said. Melvin declined to discuss the contract's value.

Reuters - U.S. House of Representatives committees on Thursday backed a raft of tax cuts and spending programs as part of the $825 billion package to boost the ailing economy, despite Republican complaints that their proposals were not getting a fair hearing.

Reuters - President Barack Obama's pick to head the U.S. Treasury, Timothy Geithner, won Senate Finance Committee backing on Thursday, putting him on track to start directing the new administration's efforts to stabilize the economy.

Reuters - New York Gov. David Paterson said he would announce on Friday his choice to fill the U.S. Senate seat vacated by newly confirmed Secretary of State Hillary Clinton.

WASHINGTON (Reuters) - President Barack Obama's pick to head the Treasury, Timothy Geithner, won Senate Finance Committee backing on Thursday, putting him on track to start directing the new administration's efforts to stabilize the economy.

NEW YORK (Reuters) - Google Inc's quarterly earnings beat Wall Street forecasts as strong advertising sales on its self-branded websites helped the Internet leader defy the gloom pervading the tech sector.

WASHINGTON (Reuters) - President Barack Obama on Thursday ordered the closing of Guantanamo prison and named veteran trouble-shooters for the Middle East and Afghanistan as he moved swiftly to repair America's tarnished image abroad.

WASHINGTON (Reuters) - The new U.S. administration has not yet decided whether to withdraw combat troops from Iraq in 16 months, as proposed by President Barack Obama during his election campaign, senior officials said on Thursday.

TEL AVIV (Reuters) - Israel has all but ruled out fully reopening border crossings with the Gaza Strip as long as Hamas rules the enclave or stands to benefit from easing of the restrictions, a top adviser to Prime Minister Ehud Olmert said.

AP - Fidel Castro said Thursday he doubts he'll make it to the end of Barack Obama's four-year term and instructed Cuban officials to start making their decisions without taking him into account.

AP - A partner in a prominent, Washington-based political consulting firm is among those secretly recorded discussing ways Illinois Gov.

AP - A Texas high school girls basketball team on the winning end of a 100-0 game has a case of blowout remorse. Now officials from The Covenant School say they are trying to do the right thing by seeking a forfeit and apologizing for the margin of victory.

AP - Bill Werber, who was the oldest living ex-major leaguer and a teammate of Babe Ruth, died Thursday. He was 100. Werber, a career .271 hitter who led the American League in stolen bases three times, played with Ruth, Lou Gehrig, Jimmie Foxx and Lefty Grove in stints with the New York Yankees and Boston Red Sox. He hit .370 as the third baseman on the 1940 World Series champion Cincinnati Reds.

Reuters - President Barack Obama on Thursday ordered the closing of Guantanamo prison and named veteran trouble-shooters for the Middle East and Afghanistan as he moved swiftly to repair America's tarnished image abroad.

AP - Nashville voters rejected a proposal on Thursday that would have made it the largest U.S. city to require that all government business be done in English.

AP - The Memphis Grizzlies have fired coach Marc Iavaroni after a lackluster 11-30 start.

Reuters - The new U.S. administration has not yet decided whether to withdraw combat troops from Iraq in 16 months, as proposed by President Barack Obama during his election campaign, senior officials said on Thursday.

Reuters - Israel has all but ruled out fully reopening border crossings with the Gaza Strip as long as Hamas rules the enclave or stands to benefit from easing of the restrictions, a top adviser to Prime Minister Ehud Olmert said.