European leaders have agreed a range of measures to strengthen their economies and improve competition in an attempt to catch up with the US. Ending their two-day summit in Barcelona, leaders agreed to boost competition in electricity and gas markets, to raise the retirement age and to increase job mobility. They also condemned last weekend's elections in Zimbabwe, called on Israel to withdraw its forces from all Palestinian areas, and hailed Serbia and Montenegro's decision to form a loose federation. The summit's conclusions were announced as thousands of riot police took up positions in the city ahead of a planned demonstration by anti-globalisation protesters on Saturday evening.

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