FTSE falls on bleak economic forecast

The FTSE100 dropped 44.52 points (1.04%) within minutes to hit 4,250.68 as financial and mining stocks dragged the index down. Mining giant Xstrata lost 14.04% with shares trading at 535.5p while Kazakhmys dipped 6.1% to 227.25p. Despite reporting a 3% rise in both global and UK sales, Legal & General's shares fell 6.24% to 63.1p. The insurer saw strong growth in its annuities and SIPP business, but unit linked bonds sales plummeted and individual protection sales were hit by the decline in mortgage lending. The troubled Lloyds Banking Group lost 6.14% to 94.7p, while private equity ...