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Gold prices struggled Wednesday to hold recent gains as the dollar rose and investors awaited results of the Federal Reserve's two-day meeting on interest rates.

World No.1 mobile equipment maker Ericsson saw its profit halve in the fourth quarter as the global economic slowdown hit demand, and forecast network operators would remain cautious on spending in the months ahead.

The euro zone is inching closer to breaking its long-held taboo against a Greek default, but can still escape financial market mayhem and a body blow to the euro.

Signs the euro zone's weak economy may have turned a corner gave a brief lift to the single currency in choppy trading on Tuesday, but worries over the setback in Greek debt talks, seen as vital for avoiding a messy default, weighed on sentiment.

While global financial markets have calmed down in the waning days of 2011 and early 2012, debt problems in eurozone, China's real estate problem and oil price pressure are three big concerns which haunt the near-term outlook according to a leading macro-economy guidance organization.

Eurozone finance ministers have rejected an offer by private bondholders to help restructure Greece's debts, officials said Monday, sending negotiators back to the drawing board and raising the threat of default.

Eurozone finance ministers will decide on Monday what terms of a Greek debt restructuring they are ready to accept as part of a second bailout package for Athens after negotiators for private creditors said they could not improve their offer.

The same house was attacked last Sunday and police believe the incidents are hate crimes because the victims are immigrants from Nigeria

Portugal clinched a deal on ambitious labor market reforms this week and carried out its biggest debt sale since seeking a 78-billion-euro bailout, but the challenges for the second-most risky country in the euro zone may be shifting up a gear.

Europe's telecom shares have long been seen as safe houses when the wolf is at the door, but recession, fierce competition and costly network upgrades are huffing and puffing at their capacity to pay generous dividends.

Asian shares rose to a two-month high and the euro firmed Thursday after news that the International Monetary Fund was seeking to boost its resources to tackle the euro zone debt crisis helped ease worries about Europe's funding difficulties.

Canada's main stock index looked set to open higher on Wednesday after reports that International Monetary Fund could boost its European lending facility by $1 trillion to help ease the euro zone debt crisis.

The euro rallied broadly on Wednesday after a ratings agency appeared to soften its stance regarding its outlook on Italy, while a media report that the IMF would boost its funding capabilities also pushed the single currency higher.

A German sale of 3.44 billion euros of two-year bonds saw strong demand on Wednesday as concerns over Greece led investors to stock up on safe-haven debt, while Portuguese treasury bills benefited from ample liquidity in the financial system.

The government will avoid bringing down an austerity budget this year, because of tough economic times globally, Finance Minister Jim Flaherty said on Monday.

Political resistance is clashing with financial imperatives as the euro zone tries to strengthen its capacity to rescue debt-stricken member states after Europe's temporary bailout fund lost its top-notch credit rating.

LONDON, Jan 17 - The downgrade of much of Europe's credit ratings demonstrates in perhaps the bluntest terms so far the collapse of any lingering -- if lazy -- assumptions that developed states are somehow safer than emerging counterparts.

LONDON, Jan 17 - The downgrade of much of Europe's credit ratings demonstrates in perhaps the bluntest terms so far the collapse of any lingering -- if lazy -- assumptions that developed states are somehow safer than emerging counterparts.

Credit rating agency says decision inevitable following cuts to creditworthiness of two EFSF guarantors, France and Austria.

Rating agency Standard & Poor's cut its credit rating of the European Financial Stability Facility, the euro zone's rescue fund, by one notch to AA+ on Monday, three days after it cut the ratings of France and Austria by the same margin.

The European sovereign debt crisis has been festering for nearly three years, and some observers wonder whether the credit default swaps (CDS) that have been written on the government of Greece, Ireland, Italy, Portugal and Spain represent another source of risk for the world's financial institutions.