Italy

Italian footballers have given their support to a day of national action aimed at pushing down yields on the country's debt and improving its public finances.

Italy has been forced to pay record interest rates in a 10bn euro ($13bn; £9bn) auction of treasury bills.

ON EUROPE

M&G bond fund manager Mike Riddell has warned the crisis in Europe has taken a turn for the worse after bond yields in core European countries rocketed yesterday.

UniCredit, Italy's top bank, is set to launch a rights issue to help strengthen its balance sheet after reporting losses of €10.64bn.

Former prime minister Tony Blair has warned against any break-up of the eurozone as the region takes steps to deal with the most serious challenge it has faced since its formation.

Bob Jolly, head of global macro at Schroders, has said Germany "loves" being part of the euro and suggested neither Greece nor Italy would exit the single currency for fear of the consequences.

Italy sold €3bn of five-year bonds, the maximum target, at the highest yield in more than 14 years as Mario Monti seeks to form a new government.

European markets were slightly positive in early trading as new Prime Minister Mario Monti prepares to form a new government to lead the stricken country out of its debt crisis.

Despite the Greeks managing to avoid ‘blowing up' their parliament for the time being, one wonders who will be next in the firing line. Enter Italy, stage left.