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FTSE hits three-year low amid global stock market rout
FTSE 100 falls further into the red after yesterday's heavy falls, as stock market rout shows no sign of slowing.
Update: The FTSE 100 has fallen to its lowest level in three years, as hopes of a rebound following yesterday's dramatic falls evaporated.
The UK blue-chip index fell 88 points, or 1.6%, to 5,601, after a foray into positive territory in the morning's trading fell away.
The FTSE 100 is now trading at levels not seen since the end of 2012, after yesterday's heavy falls plunged the index back into bear market territory again.
Eurozone markets have registered even steeper falls, with the French CAC 40 falling 2.5%, the German DAX 30 down 1.9%, Spain's Ibex losing 3% and Italy's FTSE MIB shedding 3.1%.
Miners fell to the bottom of the index, giving up some of their gains from a strong four-day rally. Antofagasta (ANTO) fell 8.8% to 413.3p, Anglo American (AAL) was down 7.8% at 346.6p, Glencore (GLEN) dropped 7.6% to 95p, BHP Billiton (BLT) traded 6.1% lower at 664.2p and Rio Tinto (RIO) lost 5.7% to trade at £17.36.
Banks also added to their losses. Barclays (BARC) fell 5.1% to 155.7p, Standard Chartered (STAN) dropped 4.9% to 406.4p, Lloyds (LLOY) was down 3.7% at 57.2p and Royal Bank of Scotland (RBS) was down 3.2% at 223.3p.
FTSE steadies after rout
(8:49) The FTSE 100 has steadied after yesterday's global stock market rout.
The UK blue-chip index rose six points to 5,694 amid the fallout from yesterday's heavy falls. In a punishing Monday session the FTSE 100 lost more than 150 points and plunged back into bear market territory. That was followed by panic on Asian markets overnight, where Japan's Nikkei index fell more than 5%.
'If investors were hoping for a quiet week away from concerns about China with Chinese markets closed for Chinese New Year, they got a very rude awakening yesterday as stock markets sold off hard, and there was no respite in Asia markets either despite a late rebound off the lows in the US,' said Michael Hewson, chief market analyst at CMC Markets UK.
Miners were among the fallers, giving up some of the gains made during a strong four-day rally. Anglo American (AAL) fell 6.7% to 352.4p, Antofagasta (ANTO) dropped 4.7% to 427.8p, Rio Tinto (RIO) lost 4.6% to trade at £17.59, BHP Billiton (BLT) traded 4% lower at 679.6p and Glencore (GLEN) dipped 4.2% to 98.5p.
Among those posting gains were some of the financial stocks worst hit by yesterday's sell-off. Legal & General (LGEN) rose 3.8% to 210.8p as the insurer released details of its bond portfolio to allay market fears, while Hargreaves Lansdown (HRGV) rose 1.3%.
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Look up the shares
- Anglo American PLC (AAL.L)
- Antofagasta PLC (ANTO.L)
- Rio Tinto PLC (RIO.L)
- BHP Billiton PLC (BLT.L)
- Glencore PLC (GLEN.L)
- Legal & General Group PLC (LGEN.L)
- Hargreaves Lansdown PLC (HRGV.L)
- Barclays PLC (BARC.L)
- Royal Bank of Scotland Group PLC (RBS.L)
- HSBC Holdings PLC (HSBA.L)
- Standard Chartered PLC (STAN.L)
- Lloyds Banking Group PLC (LLOY.L)
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- Overnight Markets: Wall Street down amid growth worries
- Investment Trust Watch: mining rally going 'cheap'
- FTSE tumbles 4% into bear market as oil rout reignites
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