Sub-prime worries spark FTSE 100 dive

Published by Rebecca Atkinson on 16 January 2008.
Last updated on 25 January 2008

Dice on stock listing

The FTSE 100 has fallen below the 6,000 point mark for the first time since August 2007 after sub-prime worries on Wall Street sparked a share sell-off.

Last night, US stocks dropped to a nine-month low partly brought on by weak retail sales and the news of Citigroup's $9.83 billion loss in the fourth quarter of 2007.

This saw the FTSE 100 falling to 5,964.40 points in the early hours of trading, from a close of 6025.80 on 15 January. Yesterday's close was at its lowest level since the credit crunch hit the stock market in mid-August.

Some of the biggest falls were from London Stock Exchange Group and Cable & Wireless.

Northern Rock shares also took a dive following the lender’s meeting and vote with shareholders yesterday and Gordon Brown’s admission that nationalisation is an option if a private sale cannot be agreed.

The FTSE 250 also dived this morning from a close of 10,031.60 points on 15 January to 6,672.70 the next morning.

 

 

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