THE NEWS WRAP: Federal Government mulls manufacturing support package

The Federal Government is reportedly working on a support package for the manufacturing industry, in the wake of BlueScope Steel’s decision to slash more than 1,000 jobs.

According to the Australian Financial Review, the Gillard Government is looking at expanding its “Buy Australian” policies, as well as bring forward payments designed to help affected industry workers relocate and gain new skills.

Unions and steel making businesses have united in calling for the Government to protect jobs by favouring locally-made products.

Strauss-Kahn charges dropped

Criminal charges have been dropped against IMF chief Dominique Strauss-Kahn, who was accused of committing a sexual assault in a New York hotel.

Prosecutors have asked the judge to drop the case after losing confidence in Nafissatou Diallo, a hotel maid who claimed that Strauss-Kahn had forced himself upon her in his room.

Diallo changed her story during the case and was recorded having a conversation in which she allegedly infers that she was targeting Strauss-Khan due to his wealth.

Fire destroys Branson’s home

Sir Richard Branson’s luxury home in the Caribbean has burnt to the ground, with 20 people, including his mother, escaping unhurt.

A tropical storm broke out over the property on Necker Island in the British Virgin Islands, with lightening hitting the building.

Actress Kate Winslet was among those who fled the blaze, carrying Branson’s 90-year-old mother to safety. The Virgin Group founder was staying on a nearby island at the time of the fire.

Overnight

The Dow Jones Industrial Average rose by 37 points to 10,854.65. The Australian dollar edged up to 103.86 US cents.