Italy begins bond sale

Italy has been auctioning 5bn euros worth of government bonds in the face of fast evaporating investor confidence in the country.

Wednesday's steep falls on global stock markets - and the worst day for the euro in more than a year - is testament to the level of fear now about the eurozone debt crisis.

The fall was triggered by another surge in the borrowing costs faced by Italy.

With over $2tn of debt it is seen by many as "too big to fail - but too big to bail".

Nigel Cassidy reports.