The European Commission cut its economic outlook for the eurozone on Tuesday, predicting it would grow only 1.1 per cent in 2015, down from a forecast of 1.7 per cent just six months ago.
Given that the third quarter of the year was a period plagued with geopolitical tension, the FTSE World index delivered a surprising gain of 2.7%.
Italy faces enormous challenges. The Italian economy is in its third recession since 2008, having contracted for the second consecutive quarter by 0.2% in Q2 2014.
From April 2015, People with defined contribution pension savings will no longer have to worry about their pension savings being taxed at 55% on death.
July marked the start of the third quarter of the year and, despite fears of an escalation in political tension, markets have remained very resilient. The FTSE All-World index has risen by approximately 1% this month and both US and UK markets have experienced modest growth.
Following a volatile first quarter of 2014, Q2 has offered a much more positive outlook, with the FTSE100 gaining 2.36% as opposed to contracting by 1.26% in the period January to March.