Economics

The unresolved Greek debt crisis has put renewed pressure on the FTSE 100 this morning, negating the effects of the rally in supermarkets stocks on back of Tesco's Q1 results.

China's Shanghai Composite index is on the verge of bear market territory after falling more than 8% in overnight trading.

Turning risk upside down

Interest rates in the UK could rise as early as August in response to a tightening labour market, according to Monetary Policy Committee member Martin Weale.

The FTSE 100 has opened 1.3% higher as investors hope that newly-submitted Greek bailout proposals will be enough to stave off latest default fears.

How can the Fed solve the interest rate conundrum?

The Federal Reserve has signalled that interest rate rises could be slower than markets anticipate after the latest meeting of the Federal Open Market Committee.

Sterling jumped 0.6% against the US dollar this morning, on the news wages in the UK grew at their fastest rate since 2001 in the three months to the end of April.

The FTSE 100 has fallen to a five-month low in early trading as investors continue to worry about the resolution of latest Greek debt talks.

The month of May marked the end of the UK's brief spell of negative inflation, as rising fuel costs have pushed the CPI figure above the zero mark once again.