Europe

Standard & Poor's (S&P) has cut Spain's credit rating two notches to BBB+ and warned of more economic pain to come.

S&P Capital IQ has revealed its pick of the best funds with a decade-long track record, as it introduces a new ten-year grading system.

Updated at 13.00: The FTSE 100 was 1.8% lower on Monday after poor German manufacturing data drove down indices across Europe.

Spanish and Italian bond prices have continued their decline as G20 leaders told European politicians responsibility for the debt crisis lies with them.

FIVE THINGS

Standard & Poor's (S&P) has reaffirmed its AAA credit rating for the UK and forecasts the government's net debt burden will peak next year.

The FTSE 100 fell 50 points, or just under 0.9%, in early trading on Tuesday as investors got their first opportunity to act on a disappointing US jobs report on Friday.

WHAT'S HOT?

PANCAKES

POPCORN