* The jury’s out on the future of Europe The financial crisis is likely to create fundamental changes in the EU.

* EU warns Netanyahu on hawkish government The EU urged PM-designate Netanyahu to craft a government that embraces the long-standing goal of an independent Palestinian state living side by side with Israel.

* Iran should stay out of Arab disputes Iran’s top diplomat made a surprise visit to Saudi Arabia attempting to improve relations amid rising tensions between the Islamic Republic and the Arab world.

* G20 summit critical for economy The upcoming G20 meeting is critical if the world wishes to avoid the economic turbulence seen in the 1930s.

* Israelis think Gaza op ended too early Two-thirds of Israelis believe that Operation Cast Lead against Hamas terrorists in Gaza finished too early, according to a new poll.

* Khatami reportedly withdraws presidential bid Former Iranian president Muhammad Khatami announced his withdrawal from the country’s presidential elections.

* Likud and Israel Beiteinu sign deal Likud signed its first coalition deal with Avigdor Lieberman’s Israel Beiteinu.

* Iraqis more upbeat about future Violence and insecurity are no longer the main concern of most Iraqis, for the first time since the 2003 US-led invasion.

* Sudan to expel all aid groups Sudan’s President Omar al-Bashir says he wants all international aid groups out of the country within a year.

* Egypt concerned about future Israeli govt Egypt’s Foreign Minister Ahmad Abul Gheit voiced concern for Middle East peace hopes after an ultra-nationalist party signed up to be part of Israel’s new government.