Interim Liberal Leader Michael Ignatieff gestures as he speaks with the media during a news conference in Ottawa on Wednesday. (Adrian Wyld/Canadian Press)

In the end, there was no stirring campaign speech to try to win the hearts of convention delegates, or streamers falling from the ceiling. Instead, Michael Ignatieff took the interim helm of the federal Liberal party Wednesday after its national executive named him to the post.

Ignatieff's rise to the leadership came after a tumultuous 10 days on Parliament Hill, and after his rivals — MPs Bob Rae and Dominic LeBlanc — dropped out of the race for the party's top job. Liberal senators and MPs unanimously endorsed Ignatieff during a caucus meeting after the party executive held phone consultations with about 800 party members.

Shortly after his appointment to replace Stéphane Dion, the Toronto-born academic and author said he's prepared to vote out the Conservatives and enter a governing coalition with the New Democratic Party if next month's budget isn't in the best interests of the country.

Ignatieff quickly focused his attention squarely on Prime Minister Stephen Harper, blaming him for creating a "parliamentary crisis" by failing to address the economic slowdown in the Tories' fall economic update, and warning him against governing as if he has a majority in the House of Commons.

The interim appointment is expected to be made permanent at the party's convention in Vancouver from April 30 to May 3.

• Newly named Liberal Leader Ignatieff ready to form coalition
• The new party leader

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Charest hangs on in Quebec

Quebec Premier Jean Charest takes the stage with his wife, Michele Dionne, in Sherbrooke, Que., after winning the provincial election on Monday. (Ryan Remiorz/Canadian Press)

Jean Charest did something Monday no Quebec premier has done since the days of Maurice Duplessis: won his third consecutive mandate. Quebec voters returned the Liberal leader and his party to office with 66 seats, enough for a three-seat majority in the national assembly. The snap election call had been a gamble for Charest, who had led a minority government since the last provincial election, in March 2007.

The election results, which came after the lowest voter turnout since 1927, represented a gain of 18 seats for the Liberals, but spawned a 32-seat loss for the Action Démocratique du Québec and the resignation of leader Mario Dumont.

The Parti Québécois saw its fortunes rise, electing 51 candidates and forming the Official Opposition under leader Pauline Marois, who told an election-night rally the PQ "is back."

• Charest wins 3rd mandate in Quebec

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Auto bailouts

The big worries for the Big Three automakers continued, with the U.S. Senate rejecting a massive auto industry bailout. Within hours, the White House was suggesting Friday it might turn to the $700-billion US Wall Street rescue fund to support the ailing industry.

General Motors also said it will suspend much of its North American production in January as it cuts 250,000 vehicles from its first-quarter output.

In Canada, with eyes on the fate of the U.S. industry bailout, the federal and Ontario governments reached agreement on a $3.3 billion package for Canadian subsidiaries of the floundering Detroit carmakers. The funds for GM, Ford and Chrysler are contingent on an American rescue going forward south of the border.

• White House may tap $700B bailout fund for automakers
• Federal government, Ontario agree on $3.3B auto bailout package

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Senate appointments

A plan by Prime Minister Stephen Harper to fill 18 Senate seats before Christmas quickly drew opposition condemnation Thursday, with questions raised over whether he has the right to make patronage appointments while Parliament is suspended.

The government said the appointments are being made now because of the threat of a Liberal-NDP coalition taking down the Conservative government.

If Harper follows through with his plan, it will mark a change in his outlook on how to fill empty seats in the Senate. In the past, he has suggested senators should be elected rather than appointed by the prime minister, or that the Senate be abolished altogether if changes aren't made.

Harper has hinted, however, at a change in his stance. "If at some point it becomes clear that some senators are not going to be elected, the government will name senators to be sure that the will of the people in Canada is reflected in the Senate," he said in a speech the day after the Oct. 14 election.

• Harper to fill Senate vacancies before Christmas

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U.S. Senate seat sale alleged

Illinois Gov. Rod Blagojevich, embroiled in scandal over alleged attempts to sell president-elect Barack Obama's Senate seat, has been asked to step down. (M. Spencer Green/Associated Press)

In Chicago, a city where political scandals are nothing new, another controversy burst out this week.

The alleged conspiracy to sell president-elect Barack Obama's vacant Senate seat by Illinois Gov. Rod Blagojevich had the next resident of the White House insisting none of his staff had anything to do with it. Prosecutors were equally quick to point out the president-elect is not accused of any wrongdoing.

Obama urged Blagojevich to step down, but the governor, who denied any wrongdoing, showed no signs of leaving office.

The pressure was turned up Friday, however, with the Illinois attorney general filing a motion with the state's highest court, asking justices to remove Blagojevich from his post.

• No staff members involved in U.S. Senate seat talks: Obama
• Illinois attorney general asks court to remove embattled governor

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Greek riots

Violence in Greece sparked by the death of a teenager shot by police in Athens stretched on throughout the week. By Friday, the Greek prime minister was refusing to call for an early election as the unrest continued. Two police officers have been charged in connection with the teen's death Saturday, which set off some of the worst unrest Greece has seen in decades.

More than 100 people were arrested and at least 70 were injured. The unrest also spread to several other European cities.

• Greek PM refuses calls for early election as violence continues

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Bank rates

The Bank of Canada acted more aggressively than economists expected Tuesday, dropping a key interest rate to a 50-year low in a bid to fight the economic slowdown. The cut of three-quarters of a percentage point put the bank's overnight rate at 1.5 per cent, a level last seen in 1958.

• Bank of Canada chops key interest rate to 50-year low

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