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IN a busy week President Sarkozy of France - and until 31 December President of the EU Council of Ministers also - met President Bush in Washington, addressed the European Parliament in Strasbourg and took part in the EU-Asia Summit meeting in Beijing.

In Britain news of an imminent recession was to some extent buried beneath allegations that George Osborne, Conservative shadow chancellor of the exchequer, had sought party funds from a Russian oligarch while a guest on his yacht at Corfu. Mr Osborne refuted the allegation but another guest, Nat Rothschild, confirmed the story.

In the US, Barack Obama received a big boost to his presidential campaign from a strong endorsement by Colin Powell, President Bush's first Secretary of State. Obama suspended his campaign for two days to visit his gravely ill grandmother in Honolulu. The McCain campaign made little impact on Obama's lead in the polls but attracted a lot of attention when it became known that it had spent $150'000 on “campaign accessories” for Sarah Palin the vice-presidential candidate.