The Federal Reserve should raise interest rates “in the coming months” if the economy picks up as expected and jobs continue to be generated, US central bank chief Janet Yellen said yesterday.

The London Stock Exchange and German rival Deutsche Borse revealed plans to save more than €448m a year as they agreed a tie-up to create an exchange giant worth more than €26bn.

The London Stock Exchange is in talks over a possible £20 billion merger with Germany's Deutsche Boerse to create one of the biggest exchange companies in the world.

Navinder Singh Sarao, the British trader accused of helping to cause the 2010 ‘flash’ crash, was granted bail of £5m (€7m) by a London judge while he fights extradition to the US.

London's blue chip shares today made nervous gains in a volatile session as traders digested a possible three trillion euro plan to rescue the single currency.

GOLD’S rally above $1,900 (€1,358) an ounce shows no signs of a “bubble” as central banks continue to boost money supply that has helped spur bullion to a record, according to investor Marc Faber.