UK

The FTSE 100 opened at 5,494 this morning, sliding 0.18% down in early trading despite a surge in M&A activity.

Schroders' Richard Buxton has reiterated his support for Korean state-controlled oil producer KNOC's hostile pursuit for Dana Petroleum.

With interest rates still at an all-time low and increased confidence in equity markets, the UK equity income sector remains in the spotlight for investors seeking income and the possibility of capital growth.

ON UK GROWTH

Leigh Harrison and Simon Brazier, the co-heads of UK equities at Threadneedle, have turned positive on the UK stock market despite forecasting GDP growth less than consensus expectations.

Weak growth and falling inflation mean investors should expect more quantitative easing by the end of the year, says Fidelity's asset allocation director Trevor Greetham.

Neil Gregson has joined J.P. Morgan's global equities team as a portfolio manager.

Jupiter's Tony Nutt has dismissed fears the UK is headed back into recession and believes equity prices and dividends have "significant upside" potential.

UK managers have been ramping up their mining exposure, pointing to demand in emerging markets which could lift the sector's share prices even if the West experiences a double-dip recession.

US President Barack Obama has unveiled a $50bn infrastructure spending package aimed at reviving the faltering American economy and cutting the country's mounting unemployment.