Today has seen some interesting developments in the world's financial markets namely from The European Central Bank and The Bank of England. The regular monthly policy meeting at European Central Bank revealed that it has held its benchmark interest rate at the record low of 0.75%. While the Bank of England held UK rates at 0.5% and they decided not to raise the amount of quantitative easing from the current level of £375bn.

This follows on from last month's announcement of the bond-buying plan aimed at easing the Eurozone's debt crisis which prompted ECB president Mario Draghi to state that the announcement of the plan had helped ease tensions on the financial markets. This means that under the ECB's OMT bond-buying plan, the central bank would agree to buy a potentially unlimited amount of bonds of debt-stricken Eurozone members, such as Spain and Italy, on the condition that these countries made a formal request for bailout funds and stuck to the terms of any deal.

But with Spain being the next country to ask for a bailout this has helped push its borrowing costs down for two out of the three bonds sold.

So when Mr Draghi was asked about Spain, he said "they had made remarkable progress in reforming its labour market and banking sector, but said significant challenges remain.

Written and presented by Ann Salter