The head of the ECB has called on Italy and Spain to hasten their return to "normal" budgetary situations.

US stocks rebounded strongly on Tuesday, with the Dow jumping nearly 4 pct after plummeting on Monday on the shock of the US debt downgrade.

Australian stocks closed 2.7 per cent higher as the market held on to gains triggered by a positive overnight session on Wall St.

Retail king Gerry Harvey has warned many retailers may close in the next six months as tough trading conditions get worse.

NAB is on track to deliver an annual cash profit higher than $5.5 billion after strong June quarter earnings emphasised the return of margin growth.

Extreme volatility rocked the Australian share market, but positive Chinese economic data reversed a horror start.