IMF's Lipsky cautious on recent bout of calm

John Lipsky, the first deputy managing director of the International Monetary Fund, refused to call the end of the global turmoil in a speech on Tuesday.

"Although markets have seemed less volatile recently - especially since the Federal Reserve's dramatic emergency moves that averted the impending bankruptcy of Bear Stearns - risks remain," Lipsky said.

He urged central banks to remain supportive of interbank markets while also avoid inappropriate credit risk. "The UK authorities' recent

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