Trichet claims markets close to normal

Jean-Claude Trichet, the president of the European Central Bank (ECB), said that the current "period of market nervousness" is coming to an end.

"We are now seeing money market conditions that have gone progressively back to normal. The Eurosystem will continue to monitor the situation whilst euro-area financial markets in general are going back to normal functioning," Trichet said.

Trichet added that the volatility of the past few days represented "a normalisation of the pricing of risk".