Analysts are widely tipping Ben Bernanke to announce QE3 at Jackson Hole tomorrow and this has played its part in the week's mini rally, but concerns remain for banking stocks.

Despite the expectations of QE3 a further round of quantitative easing in the US, fears of a double dip recession and the seizing up of the UK and eurozone wholesale markets continue. The Fed has already carried out two rounds of quantitative easing and is again considering buying US debt to inject money into the financial system.