The FTSE 100 managed to close up a fraction on Tuesday, following yesterday's dismal fall to a 5½ ye...
The FTSE 100 managed to close up a fraction on Tuesday, following yesterday's dismal fall to a 5½ year low, as many of the big names rallied saled back up again.
Vodafone and Aviva, the life insurance group, managed to pull the FTSE 100 up 27.4 points or 0.7% to 4021.9, having earlier in the day lost 3.4%, as Vodafone climbed 6.1% to 91.5p and Aviva gained 9.9% to 412p.
GlaxoSmithKline may have contributed most of the losses as its rival Novartis has begun selling a cheaper version of Glaxo's $2 billion-a-year antibiotic in the US, impacting future earnings.
But yesterday's surprise decline, P&O Princess Cruises saw its value rise again today on the back of strong optimism its merger with Carnival Corporation will now win European regulatory approval.
Alan Greenspan's comments on the US economy should have been seen as favourable, given that he predicts a return to "healthy" growth, but both the Dow Jones and S&P500 lost ground again as his own concern is investor concerns over corporate executives' misdeeds will continue to supercede economic growth.
The Dow Jones fell 63.76 points or 0.7% to 8578.03 and the Standard & Poor's 500 Index dropped 5.08 points or 0.6% to 912.73 while the Nasdaq jumped 16.20 points or 1.3% to 1400.12.
Nextel, listed on the Nasdaq, was one of the firms which today published positive second quarter earnings, along with Merrill Lynch, General Motors and Johnson & Johnson, as all managed to exceed forecasts.
The Federal Reserve also raised its estimate for growth to 3.5% to 3.75% this year, faster than the 2.5% to 3% growth central bankers had forecast in February.
What made financial headlines over the weekend?
To promote 'long-term investment'
Switching 'hard and expensive'
Smaller funds still packing a punch