Bad day for drugs and oil see FTSE end week under 4,700

The FTSE 100 index eventually closed down 38.4 points or 0.81% to 4,696.8 after Cairn Energy announced its exploration of Rajasthan will now generate lower reserves than initially estimated – down to around one-fifth of predicted reserves - along with the threat of a royalty tax worth $3 a barrel by the Indian government. This dragged Cairn’s share value down a whopping 247p or 18% to £11.15. European drugs firm AstraZeneca also lost 170p or 8.2% to £18.86 after announcing its Iressa lung cancer drug didn't help patients as hoped, when trialled in its study, pulling rival firm GlaxoSmith...