European Central Bank President Christine Lagarde has announced her resignation, ‌ending months of speculation about her future at a complex juncture for Europe and the ECB.

Lagarde will step down on February 7, giving European Union leaders time to pick a successor well before a French presidential election that polls show far-right candidate Marine Le Pen is favourite ‌to win.

“European ‌Central Bank President ⁠Christine Lagarde today informed the Governing Council and the president ​of the European Council, Antonio Costa, that she will step down from her position on 7 February 2027,” the ECB said in a statement on Thursday.

The former central bank governors of the Netherlands and Spain, Klaas Knot and Pablo Hernandez de Cos, are seen as frontrunners to replace Lagarde.

Lagarde’s term ⁠was scheduled to run until the end of October ‌2027 ​but speculation about an early departure had been mounting for months, with the World Economic ​Forum seen as ‌a likely destination.

The move comes as the ECB is in the middle of a ​rate-hiking cycle, seeking to prevent an oil-price shock linked to the Iran war feeding into other prices and wages.

But it must also contend with a surge in ​government ​bond yields – especially in debt-laden France – ​that has pushed up borrowing costs for households and ‌businesses and which Lagarde has said will curb growth and inflation.

Caught between persistent inflation fuelled by a renewed surge in energy costs and deteriorating financing conditions, the ECB is widely expected to keep its deposit rate at 2.5 per cent on Thursday while signalling that another increase, potentially as soon ​as December, remains likely.

The ECB is due to announce its interest rate decision ​on Thursday, ⁠followed by Lagarde’s regular media conference.

Donald Trump and Barack Obama took thinkly veiled swipes at each other on the campaign trail as the clock ticked down on midterm elections that could shift the balance of power in Washington.

The US president has campaigned at more than 20 rallies this month, underlining Republican concerns about losing control ‌of Congress for the final two years of his presidency.

Obama, the last Democratic president to serve two terms, had kept a relatively low public profile until the past week, during which he has delivered blistering speeches criticising Trump.

“There is a moral component to the choices we face right now,” Obama said in Georgia on Wednesday.

“We are not going to fix the system that’s broken, we’re not going to unrig our economy, so long as we’ve got a culture where anything goes, where people in the ‌highest offices of the land think ‌it’s OK to lie and cheat ⁠and bully … where money is deemed the only measure of our worth.”

Trump told a crowd in Ohio that the “White House is beautiful” as he continues renovations, taking a jab at Obama’s criticisms of them.

Obama ripped into Trump’s focus on renovations over the weekend, telling a crowd in Ohio: “He’s got the White House looking like Saddam Hussein opened a Cheesecake Factory.”

Trump defended his decor and said Obama left the property deteriorated.

“The White ​House, ​I think, is the number one symbol of our country and we can’t have a White House with ​broken windows, with broken stone that hasn’t been painted in 30 years,” Trump said.

Trump also attacked Democratic former Senator Sherrod Brown, who is challenging Republican Senator Jon Husted, for supporting immigration policies the president said had overwhelmed Springfield, Ohio, with Haitian migrants.

“The town went to hell,” Trump said.

The billionaire spread false claims during the 2024 presidential campaign that Haitian immigrants in Springfield were eating cats and dogs, allegations local ⁠officials repeatedly said were untrue.

Enthusiastic crowds have cheered Trump at rallies throughout the campaign, but hundreds of protesters lined his motorcade route in rural ‌Chillicothe, Ohio, raising banners that read, “Republican against ​Trump,” “Grab them by the ballot” and “GOP: Guardians of pedophiles.”

During Wednesday’s rally, protesters interrupted Trump several times, including at least one who shouted about deceased convicted sex offender Jeffrey Epstein.

“I threw Jeffrey Epstein the hell out of Mar-a-Lago,” Trump said in response.

Trump and Epstein socialised ​in the 1990s and ‌early 2000s, but Trump has said they later had a falling out and that he barred Epstein from Mar-a-Lago, the Republican leader’s private club in Palm Beach, Florida.

Trump typically accuses protesters who interrupt his rallies of being paid to do so, as they are carted off by security.

Also hitting the road was US Vice President JD Vance, who campaigned in North Carolina, where Republicans have been pessimistic about retaining a Senate seat.

Trump’s public approval rating has fallen to a near ​record low, with Americans increasingly sour on the high cost of living and the Iran war, but he remains an animating force in the party and has campaigned hard to increase Republican turnout.

Americans have been voting for weeks, with 40 million ballots already cast, according to the University of Florida’s Election Lab.

A total of 45.9 million Americans voted early in the last midterm elections in 2022.

Thirty-five of the 100 Senate seats and all 435 seats in the House of Representatives are being ‌contested on Tuesday.

Nonpartisan analysts generally favour Democrats’ chances of capturing a majority in the House, with the contest for the Senate seen as very close.

With AP

Australia’s share market is tracking towards a positive week, as resurgent bank stocks and an easing oil price outweigh soft results from the retail sector.

The S&P/ASX200 gained 44.5 points on Thursday, up 0.5 per cent, to 8891.5, as the broader All Ordinaries advanced 41.2 points, or 0.46 per cent, to 9012.6.

A revival in beaten down bank stocks has launched the heavyweight financials sector to its highest level since August 10, which was days after big four warnings about slumping mortgage applications sparked a major sell-off.

Retail stocks were less sought after, with cyclicals tumbling two per cent following soft updates from Wesfarmers, JB Hi-Fi and Super Retail.

The Australian dollar is buying 70.52 US cents, up from 70.32 US cents on Wednesday at 5pm.

The Nationals have dismissed reports of dissent within the coalition over Labor’s “dud” free-trade deal with the European Union, reaffirming its opposition to the agreement.

Prime Minister Anthony Albanese on Thursday accused opponents of playing “nativist politics” with Australia’s economic future for refusing to back the deal.

He argued the stance went against the Liberal Party’s philosophy of promoting free trade.

The deal was finalised between Australia and the European Union in March following eight years of negotiations, but is yet to be ratified by parliament.

Without the coalition or the Greens, who have so far refused to guarantee support, the government cannot get the parliamentary approval needed to implement the agreement.

The agreement would lock in cheaper European food, wine, cars, and clothes, and smoother access to one of the world’s largest economic blocs, which the government says could be worth up to $30 billion in trade.

In turn, Europe would ditch or phase out tariffs on Australian food, critical minerals and manufactured products.

Mr Albanese said it would make Australian exports on goods and services 98 per cent tariff-free and boost the nation’s economy by $10 billion, a figure Nationals leader Matt Canavan said was “fake”.

Senator Canavan has criticised the deal over its impact on farmers, leading to concerns among the Liberals that the junior coalition partner was dictating their policy stance.

“It’s a good deal,” Mr Albanese told reporters.

“It’s also a good deal for Australian consumers because cheaper imports put downward pressure on prices. Trade is a good thing.

“For people who say they belong to a political party that supports markets and supports free and fair trade, that will be completely undermined and shredded unless (the coalition) supports this legislation.”

The prime minister warned blocking the deal undermined Australia’s position as an export-driven economy, accusing opponents of using the negotiations as “an excuse for going down the road of protectionist and nativist politics”.

“I find it astonishing that at a time where free and fair trade is under threat around the world, where that’s a big debate in global politics and in the global economy, that this somehow is being questioned here in Australia,” he said.

“We are a trading nation. We are an island continent in which economic growth and productivity is boosted by engaging with the world.”

Critics have questioned whether farmers and steelmakers are any better off under the agreement, claiming the EU railroaded Australia with a raft of unequal terms that included slender allowances for products such as meat.

Speaking to reporters on Thursday afternoon, Senator Canavan dismissed reports of friction within the coalition, saying “the Liberals and Nationals have said it’s a bad deal from day one”.

He argued the deal did not serve the national interest, particularly in agriculture.

“For the government now to come out and try and claim that anyone opposed to this deal is somehow protectionist or nativist … is absolutely absurd,” Senator Canavan said.

He also repeated his warning the deal’s climate provisions could make Australia’s Paris Agreement commitments legally binding in a way previous trade deals had not, adding it could expose the country to potential court action in Europe.

“All of these things make this deal a deal where we trade off our independence and sovereignty for very little market access,” he said.

Opposition Leader Angus Taylor said the agreement needed to be sent back to the drawing board.

“As it stands, it’s a dud deal,” he said.

Australians are tightening their purse strings as they battle soaring living costs, multi-decade-high interest rates and ongoing uncertainty, the balance sheets of three major retailers show.

JB Hi-Fi, Wesfarmers and Super Retail Group all handed down trading updates on Thursday, and signalled a heavy dose of caution about the retail outlook.

JB Hi-Fi’s sales growth fell 0.4 per cent in the September quarter, down 1.4 per cent on the same three months in 2025 and moderating even further since, chief executive Nick Wells said.

“In October, the group has seen sales slow ahead of the important Black Friday and Christmas trading periods,” Mr Wells told shareholders at the company’s annual meeting in Sydney.

“The group continues to see variability in trading and heightened competitive activity, with customers remaining focused on value and increasingly shopping during promotional events.”

Sales for its Good Guys and e&s brands shrunk 0.4 per cent and 4.5 per cent respectively over the quarter.

Bunnings’ sales growth moderated in the financial year-to-date despite a strong start, with lower sales across seasonal categories, owner Wesfarmers reported.

Super Retail’s Supercheap Auto and Rebel brands proved resilient, but BCF sales were hit by surging fuel costs due to the Iran war, while Macpac battled during Australia’s worst snow season in 20 years.

The performances have come against a backdrop of stubborn inflation, high fuel prices, and as markets and punters brace for an expected fifth interest rate hike for the year.

A further 25 basis point increase at next week’s meeting would take the official cash rate to 4.85 per cent, its highest level since 2008.

Making matters worse for JB Hi-Fi, memory demand from artificial intelligence and data centre expansion is turbocharging big ticket consumer electronics prices.

“In computers, we’ve seen circa 50 per cent price rises over the last six months, in gaming, it’s kind of more 10 to 20 per cent,” Mr Wells said.

Freight had also been under pressure from soaring fuel costs, but distributors had been trying to soften the blow to already cautious consumers, the company’s boss said.

“Suppliers are trying to absorb those price increases as much as they can today, and they’ve done that well,” Mr Wells said.

On the positive side, the JB Hi-Fi’s New Zealand expansion continued to bear fruit, with more than 10 per cent sales growth compared to the same quarter in 2025.

In August, JB H-Fi suffered one of its worst days on the stock market after it pointed to a softer sales environment in the first four weeks of July.

On August 17, its shares dropped 12.3 per cent to $71.65, exceeding a 10.8 per cent slump on March 23, 2020, at the start of the COVID-19 pandemic.

They were down 1.2 per cent to $69.83 on Wednesday afternoon, as Wesfarmers tumbled more than four per cent and Super Retail lost 3.2 per cent.

Cattle producers have used a gathering of investors in Australia’s biggest supermarket group to defend the industry against “activist attacks”, after Woolworths was challenged on deforestation and beef sources. 

The grocery giant’s chair was peppered with questions from shareholders who identified themselves to the meeting as representing various environmental groups, including the Australian Conservation Foundation and Greenpeace.

The questions targeted Woolies’ goal to directly source all of its own brand beef from “no deforestation” farms, while apparently leaving some indirect sources out of that ambition, as well as visibility across its supply chains and cattle traceability.

“We are absolutely behind efforts to minimise and eliminate deforestation,” chair Scott Perkins told the group’s annual meeting on Thursday.

“We have undertaken our own aerial surveillance and … we have not identified, in our direct supply chain farmers who supply Woolworths with fresh beef, any instances of deforestation.”

“The vast majority of our beef is sourced directly.”

Woolies shareholder and Cattle Australia deputy chair Adam Coffey used a question and answer session to defend producers, some of whom supply the meat that gets turned into one of the retailer’s most popular products in tough economic times – beef mince.

“Cattle Australia categorically does not support deforestation, but what we do support is the ongoing right of landholders to undergo routine agricultural activities in accordance with state and federal regulations,” he said.

The group was “highly concerned that activist organisations continue to make not only misleading but categorically false and damaging allegations against our beef producers”.

However, another shareholder successfully argued that not all of Woolworths’ own brand beef is “deforestation free” and asked that it make that distinction clear to consumers.

“We’ve got a bit of the supply chain that we need to work harder on to make that committment – I’m going to take away your suggestion and talk to our commercial people,” Mr Perkins replied.

The chair also voiced his respect for the right of activists to ask questions, given that Woolworths’ business touched on a large number of sustainability issues because of its size and breadth.

“Occasionally, it will be highly frustrating, and occasionally it will be manifestly not fact based but occasionally we will learn something as well … we are better off for it,” he added.

A number of shareholders also raised concerns about the endangered Maugean skate which is indigenous to Tasmania’s Macquarie Harbour, given the retailer sourced a lot of its salmon from in-water farms, where practices have been blamed for a decline in skate populations.

Meanwhile, Woolies believes it’s back on the front foot after increasing its lead over its rivals, lifting its market value and increasing investments rewards for shareholders, in a highly competitive grocery market.

Mr Perkins said he was pleased with its performance under chief executive Amanda Bardwell, who took the top job two years ago, adding that staff were “galvanised” around her leadership.

“With customers at the centre of what we do, and building on our momentum, we look forward to the balance of 2027 with optimism – with Woolies very much back on the front foot,” he added.

Two years ago, Woolworth suffered a 93.3 per cent fall in annual earnings to $108 million. 

In the most recent financial year, it made a net profit of $1.1 billion as margins, sales and dividends increased.

A day before the meeting, Woolworths revealed a solid a 4.7 per cent rise in overall sales to $19.4 billion for the three months to October 4.

Its fresh food segment played a strong part, particularly in sales of cheap beef mince.

One in four customers say they are struggling to make ends meet, Ms Bardwell said.

“We have more work to do so customers continue to choose Woolworths first, particularly as we head into the key Christmas and holiday trading period,” she added.

Its shares were down three per cent to $39.54 on Thursday afternoon.

Australia’s top general has been grilled about special forces soldiers permitting the killing of civilians, allowing a breakdown of discipline and an “inversion” of authority while deployed to Afghanistan. 

The military effectively lost control of the Special Air Services regiment over the course of the decades-long conflict, a report from the Inspector General of the Australian Defence Force reveals.

Excessive arrogance, secrecy, an “uncontrolled ‘warrior’ ethos” and cowardice among officers making them subservient to their junior ranks were all unearthed by the wide-ranging inquiry.

It also found the “widely known” use of throwdowns, where Afghan civilians were killed and then photographed with weapons to falsely paint them as combatants, was left unaddressed, indicating broader discipline disintegrations.

“The tolerance of officers of overt non-compliance sent a powerful signal,” the report said.

Defence Force Chief Mark Hammond said the conduct was “completely unacceptable behaviour” during Senate estimates hearings on Thursday. 

“An ‘inversion of authority’ … a breakdown in culture, a normalisation of unacceptable practices,” he said.

“All of that is contained and utterly unaligned with the expectations we have of our personnel.”

The incidents examined by the inspector-general’s inquiry all occurred years before Admiral Hammond took the helm of the defence force in July.

He said it was difficult to hold top brass to account over the report’s finding special forces soldiers deliberately obscured bad behaviour from high command.

That aligned with the findings some officers were protective of their soldiers to the point of “deliberately derailing authorised inquiries”, and that legal and intelligence officers may have coloured their reporting to conceal misconduct from those above.

But “signs of a broader decline” were also discovered in higher headquarters, Greens leader David Shoebridge put to the defence chief during hearings, adding the report had unearthed evidence of “an absence of effective leadership at various levels”.

“You must be reading a different report to the one I’m reading, Admiral,” Senator Shoebridge said.

The inspector-general also hinted misconduct might have been visible to high command through strange increases in the number of enemy killed in action compared with a lack of Australian casualties, described as “most unusual”.

“The inference could be drawn that appetites for kinetic operations grew at the expense of the winning over of the local population,” the report read.

“Some commanders were alert to this data and rumours that accompanied it while others were not, which may suggest an abandonment of curiosity.”

Officers becoming subordinate to their juniors was classed as “learned helplessness” which allowed non-commissioned officers to dominate planning and tactical operations resulting in an unusual degree of autonomy.

According to the report, juniors’ “domineering, almost dismissive approach” towards their superiors had helped foment the unit’s cultural and compliance issues, as well as the corruption of reporting and command chains.

Admiral Hammond said these non-commissioned officers had been held to account, but admitted their superiors had not been prosecuted and could not give detail on the consequences they faced in relation to the report’s findings.

He also could not say whether legal and intelligence officers who reportedly facilitated concealment had been penalised over their alleged actions.

“I am absolutely of the view that that commanders should be inquisitive – you get what you inspect, not what you expect,” the defence chief said.

“The majority of operations and and personnel who served in Afghanistan did so with complete professionalism, and acquitted themselves to meet the highest expectations.”

Two former SAS soldiers, Ben Roberts-Smith and Oliver Schultz, have been charged over alleged war crimes committed while serving in Afghanistan. Both have pleaded not guilty and their cases remain before the courts.

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The dramatic collapse of Firmus’s blockbuster sharemarket float is being investigated by the corporate watchdog after questions were raised about representations made to prospective investors and potential conflicts of interest.

ASIC was looking into whether the brokers managing the aborted initial public offering had over-egged the amount of investor demand for the neocloud operator, the regulator’s chair Sarah Court has confirmed.

While ASIC was yet to open a formal investigation, it was making inquiries into the “very significant” IPO failure, Ms Court told Liberal senator Dave Sharma during a Senate estimates hearing in Canberra on Thursday.

Senator Sharma had previously written to Ms Court raising concerns from institutional investors about the conduct of the lead managers on the listing, which included Brisbane-based broker Morgans.

Morgans had told clients in an email demand was oversubscribed ahead of the proposed $11 a share offering, before its target price was downgraded and shelved altogether.

“We would certainly be looking at, as part of these inquiries, at that kind of correspondence and also the broader context,” Ms Court said.

“We’ve got a report that makes very clear that lead managers must have a reasonable basis for representations about investor demand. So that is one of the things that our inquiries will be considering.”

ASIC found in a 2018 report that overstating the level of investor demand could amount to misleading and deceptive conduct.

Firmus and its lead managers were targeting a valuation of about $44 billion.

Ms Court confirmed ASIC was also investigating how Morgans was managing potential conflicts of interest, given it reportedly held a significant stake in Firmus.

However, the fact the float did not go ahead should not necessarily be interpreted as a market failure or indication of wrongdoing, she said.

Along with Morgans, Bank of America, JP Morgan, and Morgan Stanley were acting as joint lead managers on the float.

In a written response to Senator Sharma, dated October 28, Ms Court said ASIC was aware of questions about whether information provided to investors during the bookbuild was “accurate, appropriately qualified and supported by a reasonable basis at the time it was provided”.

Ms Court said there appeared to be no issues with Firmus investor Maas Group’s compliance with continuous disclosure obligations.

Maas, a construction services provider that held a significant stake in Firmus as well as lucrative construction contracts, went into a trading halt after its shares tanked 20 per cent following the news of the float’s cancellation.

“Based on the information currently available, the market appears to have been informed of relevant developments through Maas Group’s public disclosures and responses to ASX enquiries,” Ms Court said in her letter.

For much of the past two years, Justine Sless has been a hair’s breadth away from not being able to cope financially.

After being made redundant at 57 with a mortgage still to pay, the Melbourne-based author and Australian School of Comedy creative director found herself choosing between paying her bills or buying food.

“I was in this position where potentially I could lose my house, because I’m that demographic. I’m a woman over 50 and I’m divorced,” she said.

“It doesn’t take much when you don’t have a regular income to tip things.”

She’s among a record number of households that have turned to financial helplines in 2026 as high inflation and rising interest rates leave little room for people to pull back on spending.

Economists predict another rate rise in the coming week after September’s headline inflation rose to 0.8 per cent in the month, taking the annual inflation rate to 4.3 per cent.

A recently released report by the Consumer Action Law Centre noted the National Debt Helpline has experienced record demand in the current year.

More than one-third of its clients were either working or self-employed.

“Financial counsellors are increasingly hearing from people who never expected to need help: workers, families and small business owners who are struggling to meet the rising cost of everyday essentials,” Financial Counselling Victoria chief executive Zyl Hovenga-Wauchope said.

Ms Sless said her decision to reach out to friends, family and finally a financial helpline didn’t come without pain and shame.

But it also saved her life, she said.

“Cost of living is like a blanket statement, there’s lots of nuance and a lot of pain for people to have to access relief or even admitting to yourself there is a problem,” she said.

“I see my property as an asset that is there to protect me, rather than me being the slave to the mortgage, but that is only due to the work that financial counsellors have done.”

Fifty-three year old Paul Broadway begrudgingly launched a GoFundMe campaign as a last resort when he saw all his savings chewed up within four months of being unemployed.

“It took me three months of blood, sweat and tears to find jobs and I applied for no less than about 500,” he said.

“Most of my bills had been put on hold, so that was a little bit of a relief.

“But just thinking, am I going to get next month’s rent? That was my main concern.”

During that period, Mr Broadway’s fuel costs climbed 40 per cent into triple digits for the first time, while higher food costs put more pressure on his tight budget.

“I finally got Centrelink, but a whole month of Centrelink barely covers my rent, so it left nothing for food, nothing for other bills, nothing for petrol,” he said.

Falling behind on monthly bills became the fastest growing reason for Australians seeking help through GoFundMe as households look for alternative ways to raise critical funds.

Google parent Alphabet has missed Wall Street profit ‌and revenue expectations, and AI spending accelerated its cash burn, sending its shares down more than 10 per cent in extended trading.

Capital expenditures, driven by AI, will increase significantly ‌in 2027, said Chief Financial Officer Anat Ashkenazi, adding this year’s capex forecast was unchanged.

Ashkenazi said she also expected near-term margin pressure from the use of third-party cloud capacity.

The tech giant reported negative free cash flow of $US9.07 billion, compared with analyst expectations that it would come close to breaking even, according to data compiled by LSEG.

The third quarter results reflect the huge costs of the AI buildout, with investors in the sector concerned both ‌by potential overspending and the ‌risk of falling ⁠behind rivals by not spending enough.

The quarterly cash burn is an increase from $US5.9 billion in the ​prior quarter, which was the first time the company went into the negative in its 22-year history as a public company.

Alphabet’s cash burn was driven by spending to boost cloud capacity and fund AI research. It reported a $US7.66 billion operating income loss in “Alphabet-level activities,” which it said primarily reflected expenses related to AI research and development.

The tech giant’s total revenue for the third quarter was $US127.6 billion, short of analysts’ estimate of $US128.2 billion, according to LSEG data.

The ⁠revenue miss was caused by Google’s core advertising business that reported $US82.01 billion in revenue, ‌about $US1.41 billion short ​of expectations.

Net income available to common shareholders fell 25 per cent to $US26.17 billion, and adjusted earnings per share of $US2.67 missed Wall Street targets of $US3.02.

Sundar Pichai, CEO of Google and Alphabet, said in a statement the quarter was strong and that the company is “now on a half-trillion dollar revenue run rate.”

“Our deep, full stack approach is driving momentum across the business,” he said, pointing to the 25 per cent revenue growth year-over-year.

Pichai also said the Gemini app, its artificial intelligence assistant, has reached one billion users, which makes it the fastest-growing product in Google’s history. 

Revenue at Google Cloud exceeded estimates and more than doubled to $US30.71 billion in the third quarter ended September 30, but was not enough to make ​up ​for the ad-side performance.

Cloud chief Thomas Kurian said sales of Google’s tensor processing units (TPUs), which compete with Nvidia’s GPU chips, had become a meaningful contributor to his business unit.

The third-largest cloud services provider globally, behind Amazon Web Services and Microsoft’s Azure, Google Cloud has continued to expand enterprise commitments, supported by multi-year cloud and AI infrastructure deals across cybersecurity, retail and financial services.

with AP