France

France is set to slide into recession imminently, sparking changes in government as soon as next Spring, according to Carmignac Gestion founder Edouard Carmignac.

Top UK equity income managers have been cutting their weighting in tobacco stocks as concerns over earnings momentum and new rules on plain packaging put pressure on share prices.

Societe Generale's former trader Jerome Kerviel has had his appeal quashed by a French court which also said he is liable for the €4.9bn he lost the bank.

Will James, European equity income fund manager at Standard Life Investments, explains why investors should not turn their backs on the region despite the negative headlines.

EUROPE

Angela Merkel and Francois Hollande will meet later this week to decide on whether to ease the terms of Greece's bailout package after the country yesterday pleaded for more time.

Better-than-expected German and French GDP figures have failed to offset peripheral weakness as the eurozone contracted by 0.2% in the second quarter.

France's economy will slip back into recession in the third quarter, posting a 0.1% contraction, the Bank of France has warned.

European stocks are climbing after a four day sell-off, following a pledge from European Central Bank president Mario Draghi that the ECB will "do whatever it takes to preserve the euro".

Spain's 5-year bond yields hit a new euro-era high at a disappointing auction today as investors cast doubt on the country's ability to repay its debt.