Equities

Updated: Global stock markets fell sharply on Tuesday as investor panic spreads following a third explosion at Japan's Fukushima nuclear power plant.

Expectations the Bank of England and European Central Bank will raise interest rates in the second quarter of 2011 have risen dramatically, a new survey of fund managers shows.

Jupiter's John Chatfeild-Roberts upped exposure to Japan in his £6bn Merlin multi-manager range in February with the addition of the GLG Japan CoreAlpha fund.

Updated 9:45am: The FTSE suffered triple-digit losses in Tuesday trade after a third explosion rocked Japan's Fukushima nuclear power plant, raising fresh radiation fears and sparking a 1,000-point plunge on the country's Nikkei index.

Hannah Beecham talks to three funds industry players asking them how safe is it for professional investors to do business with funds based in this jurisdiction.

Japan's Topix index posted its worst two-day results since the crash of 1987, as shares continued to sink.

Global insurance company share prices tumbled last night as concerns mounted about the cost of rebuilding Japan following Friday's earthquake and the resulting tsunami.

Fund managers warn Japan could take a short-term hit to GDP following last week's earthquake and tsunami, but they are less concerned about the longer-term impact on the country's fragile economic recovery.

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