AP - Reaching out to religious voters, Democratic presidential candidate Barack Obama called for expanding President Bush's program steering federal social service dollars to religious groups and — in a move sure to cause controversy — supported some ability to hire and fire based on faith.

AP - Wall Street began the third quarter with an erratic session Tuesday as a mix of news made it clear the country is still deep in economic problems but may have some positive trends.

AP - General Motors Corp. outsells Toyota Motor Corp. in June to retain its traditional U.S. sales lead, even though GM says its sales dropped 18.2 percent for the month.

AFP - Talks between envoys of the Dalai Lama and China were expected to begin on Tuesday in Beijing more than three months after deadly unrest in Tibet overshadowed the country's Olympic build-up.

AFP - African leaders resumed talks on how to deal with Zimbabwean President Robert Mugabe on Tuesday as the US prepared UN sanctions over his one-man election that much of the world has dismissed as a farce.

Reuters - Malaysian opposition leader Anwar Ibrahim, accused of homosexual assault, planned to lead supporters to a police station on Tuesday to complain evidence was cooked up against him on similar charges a decade ago.

Reuters - The Iraqi government sued dozens of companies, including oil giant Chevron Corp., for more than $10 billion on Monday, saying they paid kickbacks to former Iraqi leader Saddam Hussein's government under the U.N. oil-for-food program.

Reuters - Rebuilding at the World Trade Center, site of the September 11 attacks, is behind schedule and over budget, and major problems mean new cost estimates and timetable must be drawn up, officials said on Monday.

Reuters - China is to resume fence-mending talks with envoys of Tibet's exiled spiritual leader, the Dalai Lama, on Tuesday in a move that could burnish its international image weeks before the Chinese capital hosts the Olympics.

Reuters - Iraq opened its giant oilfields to foreign firms on Monday, putting British and U.S. companies in pole position five years after U.S.-led troops invaded the country to oust Saddam Hussein.

Reuters - U.S. military prosecutors have requested the death penalty for the alleged mastermind behind the bombing of the USS Cole warship that killed 17 U.S. sailors in 2000, the Pentagon said on Monday.

Reuters - Democratic presidential hopeful Barack Obama rejected questions about his patriotism on Monday even as he drew fire for a supporter's attack on Republican rival John McCain's military record.

Reuters - South Africa is close to brokering a deal that would see Zimbabwean President Robert Mugabe and opposition leader Morgan Tsvangirai negotiate a unity government, a South African newspaper said on Tuesday.

AP - The Tampa Bay Rays don't need to brawl to prove they are no longer pushovers. Avoiding a repeat of their benches-clearing skirmish June 5, the Rays and Red Sox squared off Monday night as the top two teams in the AL East. The surprising Rays held on to beat Boston 5-4 to increase their division lead to 1 1/2 games.

AP - A 42-year-old chimpanzee who is toilet-trained and can eat with a knife and fork is believed to be at large in a Southern California forest after escaping his cage.