FTSE:5,835.89 (–112.60) Mid-250:11,795.67 (–196.54) Small Cap:3,223.03 (–46.79)
THE LONDON market slipped to its lowest level since the end of March after fresh fears over the euro zone debt crisis rattled investor confidence.
The FTSE 100 index fell by 112.6 points to 5,835.9 after world markets were spooked by a credit rating downgrade for Italy and renewed speculation that Greece will have to restructure its debts.
Mining was one of the hardest hit sectors in London after a strengthening in the US dollar made commodities more expensive for investors with other currencies. Stocks under pressure included Anglo American, which declined 4 per cent or 121p to 2830.5p, while Chilean mining firm Antofagasta eased 47p to 1,160p.
Commodities trader Glencore dropped to 514p during the latest session for conditional dealings, having made its grey market debut at 540p on Thursday.
New York-listed crude oil was below the $97 a barrel mark, triggering a difficult day for the likes of Royal Dutch Shell, which dropped 51p to 2,099p, a fall of 2 per cent.
In a session when only two top-flight stocks made it on to the FTSE risers board, supermarket Morrisons was 2 per cent lower, down 10p to 298.3p, after it was reported to be preparing a £1.5 billion bid for food retailer Iceland.
The move would nearly triple the number of stores in the Morrisons estate and boost the chain’s presence in southeast England.
Other fallers included plumbing and building supplies firm Wolseley after Deutsche Bank cut the stock to hold and said it was pessimistic about prospects in the new build market. Shares were 82p lower at 1949p, a drop of 4 per cent.
Travel firms were also lower after fears that an ash cloud from an Icelandic volcano would cause disruption.
BA owner International Consolidated Airlines Group fell 12.6p to 235p, while Thomson owner TUI Travel was off 7.6p at 229.8p. EasyJet also dropped 17.6p to 345.1p as investors considered the possibility of disruption to the industry.
The biggest Footsie risers were Capita up 11p to 722p, and Next ahead 23p to 2249p.
The biggest Footsie fallers were Wood Group down 37p to 625p, International Consolidated Airlines Group off 12.6p to 235p, Man Group down 11.1p at 238.3p, and Anglo American off 121p at 2830.5p. – (PA)
