Homebuilder slump sparks FTSE slide

Homebuilders were pounded today after Dresdner Kleinwort downgraded Taylor Wimpey and Persimmon to a ‘sell’. Taylor Wimpey dropped 7.72% to 166.20, while Persimmon lost 4.66% to 705.50 Alliance & Leicester was over 10% at one stage but rallied to close ‘just’ 6.82 % lower, to 492. Rexam might have copped a full-year profit hit, but forecasts it will bounce back in 2008 led the consumer packaging company to climb 4.8% to 442.25. Kazakhmys jumped 2.76% to 1488 on high copper prices – while Barclays closed 2.73% higher to 490. In New York, higher than anticipated US inflation figures h...