Economics

China's state controled sovereign wealth fund has begun investing in the country's banks after shares hit a 30-month low.

The S&P 500 is 2.9% higher as shares surge after eurozone leaders set a deadline for resolving the single currency area's debt crisis.

Investment bank Goldman Sachs is expected to report its second ever quarterly loss when it unveils its numbers next week, Credit Suisse analysts have warned.

George Renouf, director of investment strategy at Alliance Trust Asset Management, looks at how investors can navigate political wrangling and backward-looking economic statistics.

Former Prime Minister Sir John Major has told the BBC Europe must recapitalise its banks and Greece "needs to default" on its debts, to help bring an end to the eurozone debt crisis.

Italian and Spanish government debt have both been downgraded by the Fitch credit rating agency.

SOLVING THE DEBT CRISIS

US equity markets have opened higher as markets react to better than expected US jobs data for September.

Invesco Perpetual's co-head of fixed income, Paul Read, has told investors now is the time to be bullish on bank debt in the UK, US and Europe, with valuations at three-year lows despite huge improvements in balance sheets.

THE RISKS TO THE BIG UK INCOME PICKS