Global markets received a much needed shot in the arm overnight as Italian prime minister Silvio Berlusconi's resignation offer reassured investors an end to the country's problems may be in sight.
Greece's Prime Minister George Papandreou has called an emergency cabinet meeting for this afternoon as speculation mounts the country's government is about to collapse.
A strong hint from the European Central Bank it will cut interest rates next month has buoyed markets in early trading, following sharp gains in the US and Asia overnight.
The International Monetary Fund(IMF) has warned of an increased risk of recession from Q3 for the US and to a lesser extent the UK and France.
UK output softened in three months to August, and if the economy weakens further it will pave the way for more QE, according to the National Institute of Economic and Social Research (NIESR).
It's been a tumultuous week for traders on the floors of the world's biggest stock exchanges. Here's how they took it all in...
Politicians and traders have cut short their holidays to address the sharp falls in markets seen since the start of the month - but should they have stayed on the beach?
Nick Platt, director at Henwood Court Financial Planning, says now is the time to remind clients of the five lessons underpinning a successful investment strategy.
US markets have opened higher after a calmer atmosphere saw the FTSE 100 recover the day's losses.
Pension scheme analysts are urging trustees to keep their heads and avoid "feeding the frenzy" after global markets nosedived this week.