S&P 500

US shares plunged at opening ahead of an expected announcement politicians have failed to agree a deal to cut the US' sprawling budget deficit.

Global markets were spooked by Spanish bond yields spiking to near-critical levels, with many indices posting losses of more than 1% overnight, and the FTSE 100 opening 1% lower this morning.

Update: European shares fell today - mirroring overnight losses in Asia and the US - on continued concerns about the eurozone debt crisis, with German Chancellor Angela Merkel saying Europe faces its "hardest hour" since World War II.

Markets across Europe recovered from early losses on Thursday despite a new warning from the EU Commission that the eurozone may fall into recession next year.

The S&P 500 has shed more than 2% at the open alongside other US markets as investors panic over the turmoil in Italy and the growing threat of contagion spreading across Europe.

US and Asian markets were mixed overnight as fears Italy could become the next victim of the eurozone crisis grew.

US shares moved higher at opening having seen heavy falls Tuesday, as positive jobs data boosted prices.

Long-dated US treasuries have returned more than the S&P 500 over a 30 year period for the first time since the 19th century.

The Dow Jones and S&P 500 surged yesterday as market sentiment was lifted by US growth almost doubling in Q3.

Markets in Asia and the US soared overnight after leaders in Europe agreed a three-pronged deal to tackle the debt crisis.