Welcome to our new website! Let us know what you think..

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Fiscal cliff fears kill FTSE's Christmas spirit

Fiscal cliff fears kill FTSE's Christmas spirit

Blue chips were trading well in the red in the last full day before Christmas as concerns about the US fiscal cliff returned.

The concern was sparked by news the Republicans are to abandon a vote on an alternative plan to avoid the fiscal cliff as party members rebelled against the prospect of raising taxes for millionaires. Under the plans Republican leader John Boehner was hoping to win concessions from president Barack Obama on the fiscal cliff.

At 10.57am the FTSE 100 had lost 50 points, or 0.83% to stand at 5,908.

Banks were among those hit hardest by worries about the deadlock with BarclaysLloyds and RBS losing 2.75%, 2.6% and 2.58% respectively.

Other big fallers including Prudential, which lost 1.84% and mining duo Vedanta Resources and Eurasian Natural Resources, which lost 1.7% and 1.2% and respectively.

Elsewhere Aviva gained 0.55% to 381.9p after it netted £1 billion from the disposal of its US business.

Leave a comment
Citywire TV
Play Gervais Williams: the real reason to worry about Quindell

Gervais Williams: the real reason to worry about Quindell

Citywire AA-rated manager Gervais Williams has argued that sentiment is the true danger to Quindell.

Play AA-rated Lofthouse: 'maverick' tobacco settlements won't stop M&A

AA-rated Lofthouse: 'maverick' tobacco settlements won't stop M&A

Henderson International Income trust manager Ben Lofthouse shares his thoughts on recent developments in the tobacco sector in this video.

1 Play Renewable energy: what I found on my solar farm trip

Renewable energy: what I found on my solar farm trip

Renewable energy is attracting a lot of investor interest, so I headed to the UK's largest solar farm to find out more.

Your Business: Cover Star Club

Profile: Quilter Cheviot boss Baines sees more consolidation ahead

Profile: Quilter Cheviot boss Baines sees more consolidation ahead

Nineteen months on from the merger of Quilter Cheviot chief executive Martin Baines says the deal is now paying dividends.

Wealth Manager on Twitter