Italian borrowing costs soaring

Press Association
Italian Prime Minister Silvio Berlusconi
Italian Prime Minister Silvio Berlusconi

Italy's borrowing costs surged into bailout territory as uncertainty over its political future weighed on markets.


The FTSE 100 Index was 1.7% lower as Italian 10-year bonds soared past the 7% mark to the same unsustainable levels that pushed Ireland and Portugal into a multibillion bailout from the EU and IMF.