Economics / Markets

Stocks either shone or copped a battering today as the FTSE 100 slid lower despite a solid start on Wall Street. The index closed for the Easter holidays down 50.40 points (0.91%) to 5495.20.

THE MPC voted 7-2 to keep interest rates unchanged at 5.25pc this month, according to the minutes of the meeting.

A sluggish day on the FTSE yesterday has slinked over to Thursday with the index dropping 44p, or 0.79%, in early trading.

The FTSE recovered slightly after a miserable start, closing down 60.2 points, or 1.07%, to 5,545.6.

UK inflation accelerated to a nine month high in February, with the CPI measure rising by 0.3 percentage points to 2.5pc.

News of a Fed rate cut in the US has failed to buoy the FTSE in early trading on Wednesday, the index dropping 51.9 points, or 0.93%, to 5553.9.

In London, markets recovered from yesterday's turmoil, with the FTSE 100 adding 191.4 points (3.54%) to 5,605.8.

In London, markets rebounded from heavy losses on Monday, prompted by news that Bear Stearns had been bought for a cut down price, and the FTSE 100 added 106.6 points (1.97%) to 5,521.

The FTSE has slumped 137.8 points, or 2.45%, to 5493.9 as credit crisis fears deepen on news that JPMorgan Chase has bought US investment bank Bear Stearns for $2 a share.

News that giant investment bank Bear Stearns is to receive emergency funding from JP Morgan Chase and the New York Federal Reserve has hit markets hard at the end of the week.