European Central Bank chief resigns as economic volatility worsens

European Central Bank President Christine Lagarde announced her resignation on Thursday, ending months of speculation about her future just as Europe enters a period of rising economic volatility and divisive electoral politics. Lagarde will step down on February 7, giving current European Union leaders time to pick a successor well before a French presidential election that polls show far-right candidate Marine Le Pen is favored to win.The move comes as the ECB battles inflation risks from an Iran-driven oil shock while a sharp rise in bond yields, especially in France, threatens to dampen growth.“I leave this institution with a sense of good work done and an ECB that is fit for the future,” Lagarde said in a short video shared on social media.A source with direct knowledge of the matter said Lagarde had resigned so she could weigh in on political matters in her native France and globally. As ECB president, she was expected to remain neutral to safeguard the institution’s independence. Story continues below advertisement European Council President Antonio Costa said in a statement the process to find a successor for Lagarde would begin immediately. The former central bank governor...