Chrysler deal sees Fiat shares rocket 14pc

Fiat shares jumped 14 per cent this morning after the overnight news that the Italian company will pay an initial $3.65bn (£2.2bn) for the 41.5 per cent of Chrysler it doesn't currently own.

The move will create the world's seventh-largest car company, allowing Fiat to integrate operations and maximise economies of scale.

Fiat has had a majority stake in the US company since 2009.

Chrysler will pay Fiat a further $700m once the deal has been signed off.