FTSE sinks to new depths

The blue chip index had dropped more than 218 points, or 4.3%, to 4,869.63 by 3.40pm as the RBS Group, in particular, took a heavy hit. News the group’s ABN Amro takeover partner, Fortis, will have to sell its stake in ABN as a result of its Government-led takeover helped pull the firm’s share price down more than 20% to 164.1p. It is followed by ICAP, down 76.5p to 302p and Man Group, down 59.5p to 314.25p, but HBOS, Lloyds and Barclays are all down also. Investor sentiment in the US remained surprisingly low at the start of play on Monday despite an agreed £700bn bail-out of the strugg...