Berlusconi Returns For Crunch Talks

BVO - Former Italian Prime Minister Silvio Berlusconi arrived back in Rome on Monday (September 30) ahead of talks with the lawmakers from his centre-right party who have shown growing unease over his shock decision to pull support from Prime Minister Enrico Letta's coalition.

Berlusconi, wearing dark sunglasses, was seen carrying his pet dog Dudu over his shoulder from the car into the house.

Berlusconi's decision to order the five ministers from his People of Freedom (PDL) party to resign from Letta's cabinet has plunged Italy into political chaos.It's also left the euro zone's third-largest economy without a functioning government.

Financial markets, which have been increasingly nervous about Italy after a week of rising political tensions, were expected to sell off government bonds and stocks on Monday, adding to the atmosphere of crisis.

Letta will go before parliament to seek support to continue in a confidence vote, probably on Wednesday, leaving two days of manoeuvring among the parties, starting with a meeting between Berlusconi and PDL parliamentarians on Monday.