Economics / Markets

Current stock market conditions are comparable to those of Q1 2000, at the tail end of the TMT (Technology, Media, Telecoms) boom, according to PSigma's Bill Mott.

Consumer borrowing soared by £22.4bn in the first quarter of 2008, up £13bn on the same period in 2007, according to Research commissioned by Unbiased.co.uk.

The FTSE100 has given up most of its strong opening gains this morning, with financials and miners among the early strugglers.

The FTSE is slipping further into the red on Friday as it continues to slip into a 'bear' market.

The 'NICE' (non-inflationary, continuous expansion) global economy has been replaced by a 'VILE' period (volatile inflation and lower earnings), according to HSBC Private Bank.

The FTSE100 is on the edge of entering its own ‘bear market' this morning, less than two days after the Dow Jones IA retreated under bear territory.

The European Central Bank (ECB) has hiked interest rates by 25 basis points to 4.25pc.

The Dow Jones Industrial Average officially entered a ‘bear market' on Wednesday after a fresh oil record led to a further fall for US blue-chips stocks.

In London, stocks suffered as house builder shares plummeted and major retailers made gloomy sales predictions, with the FTSE 100 losing 53.6 points (0.98%) to 5,426.3.

The UK economy is set for two years of sluggish growth, with expansion of 1.7pc expected this year and just 1.3pc in 2009, according to the centre for economics and business research (cebr).