Obama criticizes Palin...Mortgage takeover could come...Change in Pakistan

TERRE HAUTE, Ind. (AP) Barack Obama is telling supporters not to be "fooled" by the talk of "change" from John McCain and his new running mate. In his first direct criticism of sarah palin (PAY'-lin), Obama told a rally in Indiana today that Palin is suddenly a "champion anti-earmark person," but that she's actually accepted that kind of federal spending in the past.

Washington (AP) It's a move that could cost taxpayers billions of dollars. Sometime this weekend, the government could take over the two troubled mortgage giants known as Fannie Mae and Freddie Mac. House Financial Services Committee Chairman Barney Frank confirms that the government is planning to intervene.

ISLAMABAD, Pakistan (AP) The Bush administration says it's looking forward to working with Pakistan's new president, Asif Ali Zardari. His wife, Benazir Bhutto, led their party until her assassination last year. Zardari was chosen by Pakistani lawmakers today, even as a new suicide attack claimed at least 30 lives in northwestern Pakistan.

RALEIGH, N.C. (AP) Flooding and power outages are being seen across much of the eastern U.S. from Tropical Storm Hanna.

Forecasters expect as much as ten inches of rain in some spots as the storm moves toward southern New England.

MIAMI (AP) Hurricane Ike could be approaching southern Florida early next week. The Category-3 hurricane has sent tourists and residents fleeing from the Turks and Caicos islands in the Atlantic.

(Copyright 2008 by The Associated Press. All Rights Reserved.) APNP 09-06-08 1549CDT | save this article / add to your favorites list