Sandra Pianalto, who has served as president of the Federal Reserve Bank of Cleveland, announced she will be retiring early next year after being in the job for a decade.
Ms Pianalto’s departure may not mean too much for monetary policy. She is known for being a centrist, predictable official on the Federal Open Market Committee, backing the chairman’s view without offering positions that are either too dovish or too hawkish.
Ben Bernanke, Fed chairman, issued an effusive statement on Thursday: “Sandy has been a remarkable colleague who has made invaluable contributions to the Federal Reserve Bank of Cleveland, the Federal Reserve System, and the country. We will miss her thoughtful insights and leadership across a broad range of issues, including monetary policy, payments policy, and community development.” Read more
By Catherine Contiguglia
♦ An era of “digital hippies” answered the needs of crunched budgets with start-ups that focused on building communities where goods and services could be traded and shared. Their success has resulted in a regulatory backlash as traditional businesses and tax collectors look for their fair share.
♦ Obama has not been able to take control and “unwind” the “war on terror apparatus”, writes the FT’s Geoff Dyer, instead stoking jitters with increased security levels, vague warnings of Al Qaeda resurgence and lack of transparency regarding surveillance programs.
♦ Bank of England interest rates will remain at the historic low of 0.5 per cent until unemployment falls to 7 percent, new governor Mark Carney has pledged, saying that the economy has not reached escape velocity. It appears Carney is wary of removing stimulus measures too quickly, but will this forward guidance be enough?
♦ General Abdul Fattah Sissi, who led the coup to depose Mohamed Morsi, seems a popular choice to lead an increasingly divided country. Sissi is often cast as a modern Gamal Abdel Nasser, and though his western military training has not softened his views on the United States, he is seen as a leader that is dedicated to bringing liberal democracy to Egypt.
♦ The decision by US President Barack Obama to cancel talks with Russian president Vladimir Putin after NSA whistleblower Edward Snowden was granted temporary asylum is a sort of boiling point in a series of uncomfortable conversations between the two nations since Obama announced his plans to “reset” relations. Read more
By Catherine Contiguglia
It seemed an era of Italian politics came to an end with the announcement that Italy’s supreme court had upheld a four-year sentence against Silvio Berlusconi for tax fraud.
Though the 76-year-old centre-right politician will not be going to jail due to his age, he could be placed under house arrest for a year, will not be able to hold public office for as long as five years, will not be able to run for elected office for six years and could be voted out of his current position as a senator.
Emerging from the ashes has been a major part of Berlusconi’s public career and, since the ruling, Berlusconi has assured his supporters he still has more plans up his sleeve. However, many believe this most recent ruling could be the definitive end of Berlusconi in politics. Read more