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As discord rends the Labor Party, polls show Tony Abbott is the favourite to become Australia's next prime minister.
The Australian prime minister has reshuffled his cabinet, naming a new defence minister but giving no indication of his own future plans.

Australia's previously strong economy suffered several setbacks this past year dragging the country into a record annual trade deficit.

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Muslim volunteers face questioning and threat of arrest, while aid has been disrupted or blocked, charities say.
Six months on, outrage and sorrow over the mass schoolgirl abduction has disappeared - except for families in Nigeria.
ISIL combatants seeking an 'exit strategy' from Mideast conflict need positive reinforcement back home, analysts say.
European nation hit by a wave of Islamophobia as many young fighters join ISIL in Syria and Iraq.
 
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