Bear Stearn hedge funds wiped out - papers 2 August

The bankruptcy filings headlined a raft of horrendous news for the $1.5trn (£740bn) global hedge fund industry and fanned fears of a profound global market correction that could reverberate into sectors far beyond America's sub-prime mortgage market, where the problems began. For the second time in a week, the FTSE 100 index suffered a major one-day fall, shedding 110 points, or 1.7% of its value. Last week, the benchmark index had its biggest one-day drop in four years. HOUSE PRICES ROSE at a faster pace in July than June, the Halifax says this morning, but the underlying pace of growt...