Europe

Markets have remained lower this afternoon as negative reaction to European bank stress tests continue to drag on the FTSE 100.

Worries over the eurozone debt crisis have prompted the Ernst & Young Item Club to cut its forecast for GDP growth this year from 1.8% to 1.4%.

UK banks were not among the eight institutions to fail the European stress tests on the sector.

Veteran investor Jim Rogers is long the euro in his portfolio as he expects the eurozone to survive the sovereign debt crisis.

ON EUROPE

Resilience from emerging European markets during the financial crisis has prompted a re-evaluation of prospects within the region, writes Maria Merricks.

The European Banking Authority (EBA) will post the results of stress tests on 90 European banks today, amid criticism from analysts the tests will fail to detail banks' weaknesses.

Julien Bernier uses quantitative model to pick names with consistent momentum on his Digital Stars Europe ex UK vehicle

Fitch has downgraded Greece to CCC status, one notch above default, due to growing concerns private investors do not want to participate in any bailout of the country.

Newton's managers have warned an Italian bailout would cause deadlock in the European banking system and herald the end of the eurozone in its present structure, as the sovereign debt crisis deepens.