Economics / Markets

The former UBS trader accused of losing the bank more than $2bn in unauthorised trades owed money to eight payday loan firms when he was arrested last year, a court heard yesterday.

Investors are being forced to take on more risk as inflation continues to stay above the Bank of England's 2% target, experts said.

The UK's main inflation rate fell back towards the 2% target in August after reversing a surprise jump the previous month.

The Treasury was too slow in nationalising Northern Rock during the height of the financial crisis, one of its top civil servants has said.

A law firm considering taking action against administrator Grant Thornton on behalf of former Honister Capital advisers has decided not to pursue the case.

POST-LEHMANS

A Greek exit from the single currency would be a "catastrophe", the country's prime minister reiterated over the weekend.

The FTSE continued to make huge gains in afternoon trading, reaching its highest level since late March after the Federal Reserve unveiled its third round of quantitative easing.

Billionaire investor George Soros has said the eurozone crisis will only be resolved when Germany "wakes up" and realises it is to blame for introducing a single currency in the first place.

Experts have questioned how effective the latest round of quantitative easing (QE) in the US will be, with the chances of success "finely balanced".