The Italian stock market has fallen and state borrowing costs have risen as investors took fright at the country's political situation following the surprising election stalemate.
The Milan bourse was down more than four per cent at its opening amid the deadlock.
The spread between yields on 10-year Italian and German government bonds widened to 338.7 basis points, the highest since December 10.
Memories in the world financial markets are still fresh of the crisis in Italy, the eurozone's third-largest economy, that took the 17-member currency bloc to the brink of collapse in 2011.
More top news
Elise Christie's Winter Olympics ended in dramatic fashion as she crashed out of the women's 1000m before being disqualified.
Bloating is a sign of ovarian cancer, but a poll has found that some women would be more likely to change their diet than visit their GP.
Jeremy Corbyn met Jan Sarkocy in the 1980's leading a number of questions being asked about the Labour Leader in recent days.