Economics

A downgrade of Italy's credit rating by one of the major ratings agencies would come as "no surprise", according to Allianz Global Investors' chief investment officer Neil Dwane.

The Bank of England's Monetary Policy Committee (MPC) has held fire on its quantitative easing (QE) programme and kept interest rates at their historical low of 0.5%.

Warren Buffett's retail favourite Tesco has seen its shares plunge 14.2% following a profit warning today.

Kames Capital's fixed income team has said quantitative easing in Europe is a must in order to prevent Germany losing its AAA rating.

Germany's economy shrank by approximately 0.25% in the fourth quarter of last year, raising fears Europe's second largest economy is on the brink of recession.

Cazenove Capital Management has made unbundled share classes available to intermediaries across its equity and multi-manager fund ranges ahead of the RDR deadline at the end of the year.

The S&P 500 has risen 1.2% to 1,295, its highest level since 1 August, helping extend gains in the UK and Europe.

Fidelity's Sanjeev Shah has reduced his holding in part-nationalised lender Royal Bank of Scotland (RBS) following a tough year for financials in 2011.

German chancellor Angela Merkel has said she cannot guarantee support of the controversial financial transaction tax - known as the Tobin tax - which threatens to create a rift between Germany and France days before a crucial European summit.

Asian markets were boosted overnight by speculation the Chinese government is poised to begin loosening its monetary policy in response to the impacts of the eurozone debt crisis.