Sydney - Despite inflation rising to its fastest pace since 1995, interest rates are likely to fall again before the end of the year because the Reserve Bank of Australia (RBA) is more worried about slowing growth than rising prices, economists said Wednesday.

The consumer price index (CPI) rose 1.2 per cent in the September quarter, taking the annualized inflation rate to 5 per cent from 4.5 per cent in the year to June.

Beijing - This week's largest ever gathering of Asian and European leaders was planned to focus on efforts to combat climate change and promote sustainable development, but those efforts now look likely to be overshadowed by the need to respond to the global financial turmoil.

Talks on the financial crisis are expected to be "very intense" between leaders of the 27 European and 16 Asian nations at the seventh biannual Asia-Europe Meeting (ASEM) in Beijing, Serge Abou, the EU ambassador to China, told reporters.

"The main thing is to come out with strong and united messages conveying confidence," Herve Ladsous, the French ambassador to China, said of the talks on global finance.

Colombo - Tamil rebels launched a suicide attack on two merchant ships off a harbour in northern Sri Lanka causing considerable damage to the hull of one of the ships Wednesday morning, the Defence Ministry said.

The ships, carrying essential supplies for civilians in the north. came under attack off Kankesanthurai harbour, 410 kilometres north of the capital.

Navy spokesman Commander DKP Dassanayke said that three LTTE suicide vessels came for the attack and one of the boats exploded close to the merchant ship Nilwala causing damage.

Dearborn, U. S. - Ford has revealed small details of the 2010 model Ford Mustang that it is planning to unveil at the Los Angeles Motor Show next month.

Teaser images released by Ford reveal exterior modifications to the front, rear flank and wheels. The dashboard gets a new instrument cluster with revised gauges, as well as new vents and glove box. The famous badge, depicting a pony, has also been redesigned with a more dynamic and edgy appearance.

Previous spy shots revealed a deeper grille than the previous model, new headlights and a lowered bumper with Ford retaining the basic unmistakeable rectangular Mustang shape that has been a hallmark since it was first launched in 1964.

Paris - Renault and Nissan are planning to mass produce electric-drive cars for the French market by 2011 with the car maker signing a memorandum of understanding with the electricity producer EDF to develop supporting battery recharging infra-structure.

Until January 2010, the partners will study all the necessary technical and other requirements to supply "high-performance and affordable electric vehicles" by 2011, Renault CEO Carlos Ghosn announced.

Los Angeles - Mazda will debut a fully redesigned version of its top selling compact Mazda 3 at the Los Angeles Motor Show next month, the Japanese car maker has announced.

Five years after its first launch, the 2010 model Mazda 3 has been refined with more dynamic design features such as pronounced fenders and angular headlights.

Mazda also claims improved fuel economy and a quieter ride compared to the predecessor model.

After the world debut of the U. S. Specification sedan fitted with 2 and 2.5-litre engines, the five-door hatchback will be unveiled in line with the company's global sales schedule, the car maker announced.