Europe Shares Mixed

 European shares were mixed in morning trade on Thursday, even as they continued to stabilize after a heavy sell-off last week, and as investors looked ahead to unemployment data due out from Germany. The FTSEurofirst 300 Index was higher following gains in the U.S. and Asia.

EU Strikes Deal on Who Will Pay for Bank Bailouts

Finance ministers from the European Union reached a deal in the early hours of Thursday to set up rules about who would have to foot the bill for any future bank bailouts to avoid costs to tax payers. According to the new rules, shareholders, bondholders and depositors with more than 100,000 euros ($132,000) could end up sharing the burden of saving a bank. Analysts say the negotiations on how to deal with bank failures are crucial to restoring confidence in the euro zone, which has been hit hard by a debt crisis, and the deal helps pave the way towards establishing a banking union in the single-currency bloc.

Italy Faces Restructured Derivatives Hit

Italy risks potential losses of billions of euros on derivatives contracts it restructured at the height of the euro zone crisis, according to a confidential report by the Rome Treasury that sheds more light on the financial tactics that enabled the debt-laden country to enter the euro in 1999.

US First-Quarter GDP Gets a Haircut, Rises 1.8%

U.S. economic growth was more tepid than previously estimated in the first quarter, held back by a moderate pace of consumer spending, weak business investment and declining exports. Gross domestic product expanded at a 1.8 percent annual rate, the Commerce Department said in its final estimate on Wednesday. Output was previously reported to have risen at a 2.4 percent pace after a 0.4 percent stall speed in the fourth quarter.

Futures Hold Gains After GDP Report

U.S. stock index futures held their gains across the board Wednesday even after the final read on first-quarter gross domestic product came in weaker than expected. The U.S. GDP expanded at a tepid 1.8 percent annual rate, according to the Commerce Department in its final estimate, cut from a previously reported 2.4 percent pace.

More Pain Ahead for Britons as New Cuts Unveiled

Britain's finance minister George Osborne unveiled his plans for another round of government spending cuts on Wednesday as he tried to keep his deficit reduction drive on track despite stiff opposition to his policies. Osborne unveiled details of 11.5 billion pounds ($17.7 billion) of spending cuts during a parliamentary speech in London.