Economics / Markets

EMERGING economies will not be immune to the economic slowdown in the developed world, the International Monetary Fund (IMF) has warned.

The FTSE fell 53.1 points, or 0.9%, to 5856.9p as Vedanta Resources led the losers. The metals miner fell 82 points, or 4.06%, to 1940p.

In London, shares made a major recovery after the Bank of England announced lower than expected inflation figures, and the FTSE 100 added 181.9 points (3.19%) to 5,889.6.

In London, markets climbed upon opening but began to sink by mid-morning after gains in the US and the FTSE 100 was up 7.7 points (0.13%) to 5,715.4.

The FTSE fell 71.6 points, or 1.24%, to 5712.4p this afternoon as Resolution dropped on news of a delay to its takeover by Pearl.

CHINA will be able to weather the effects of a global economic slowdown as the domestic economy remains well-supported and company balance sheets are healthy, according to Philip Ehrmann, manager of the Jupiter China and Jupiter Asian funds.

The FTSE fell 3.8 points, or 0.07%, this morning to 5780.2p as homebuilders Taylor Wimpey and Persimmon dropped.

Once again the miners have bailed out London markets, with the sector's international giants driving the FTSE 100 into positive territory in afternoon trading. The index closed the week 59.90 points (1.05%) ahead to 5784.

News of a base rate cut has failed to prevent a mini freefall on the FTSE 100 today, the index slipping 151.3p, or 2.58%, to 5,724.1

A cautious opening on the day the Bank of England is expected to cut interest rates has has seen the FTSE 100 slide 38.4 points, or 0.65%, to 5,837.