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By Jeff Mason WASHINGTON (Reuters) - President Barack Obama's budget will call for an increase in domestic and military spending that would end spending caps known as "sequestration," a White House official said, setting up a new source of conflict with Republicans in Congress. Obama intends to announce his plans during a meeting with congressional Democrats in Philadelphia on Thursday. The fiscal 2016 budget, which the White House intends to unveil on Monday, would fund a host of programs that Republicans are unlikely to support. It is the latest salvo by the Democratic president lobbed at a Congress controlled by the opposition party and follows a defiant State of the Union address last week that critics said betrayed an unwillingness to seek compromise.
German unemployment fell in January to the lowest level since the country was reunited in 1990, official data showed Thursday. The number of people registered as unemployed in Germany fell by a seasonally-adjusted 9,000 to 2.8 million in January, the Federal Labour Office said, the fewest since the fall of the Berlin Wall. Analysts polled by Bloomberg News had forecast a still bigger monthly drop of around 12,000. The unemployment rate -- which measures the jobless total against the working population as a whole -- slipped to 6.5 percent from 6.6 percent for December, the office said.