Economics / Markets

UK share prices reacted badly to the Bank of England's 1% rate cut and the FTSE100 witnessed a sharp drop following the announcement.

The FTSE was threatening to slip below 4,000 on Wednesday as consumer confidence slumped.

Beleaguered fund manager New Star's share price has plummeted again this morning as investors are left reeling from another dire 24-hours for global stock markets.

Despite the gloom, most advisers expect double-digit growth from FTSE 100 in six months' time, according to a survey carried out by Rowan & Co.

Early gains for troubled building supplies giant Wolseley helped the FTSE to an impressive total on Thursday morning.

The recession will be deeper and longer than the government is expecting, according to Threadneedle's Leigh Harrison.

The FTSE is currently marginally down 30.73 points (0.74%) to 4140.52 despite an early rally from mining stocks.

BHP Billiton's decision to drop its bid for Rio Tinto has sent FTSE 100 stocks sliding down 86.98 points (1.66%) to 4083.98, despite yesterdays biggest-ever percentage rise.

The FTSE100 was closing in on a staggering 9% climb on Monday after Alistair Darling delivered his Pre-Budget Report (PBR).

Citigroup's share price has plummeted over 20% again this morning, bringing the beleaguered banking giant's declines to 55% in just over two days trading.