FTSE steadies after Euro bank fears
Markets showed signs of stabilising today after big losses yesterday in the wake of renewed fears about the health of the European banking sector.
The turmoil was triggered by concerns over the state of Portgual’s Banco Espirito Santo, which saw its shares suspended by the country’s regulator.
The FTSE 100 Index was 15 points higher at 6686.8 today, having fallen for four sessions in a row and lost about 3% since Monday morning.
Banking stocks in London made moderate gains during a quieter session for investors today, with Barclays up 0.7p to 208.7p and Royal Bank of Scotland ahead 2.45p to 317.35p.
Among airline stocks, which have suffered big losses in recent days, British Airways owner International Airlines Group climbed 2% or 6.3p to 338p.
The biggest riser in the top flight was Imperial Tobacco after the maker of Lambert & Butler and JPS said it was in talks to buy some assets and brands from merger partners Reynolds and Lorillard.
The stock jumped 3% or 92p to 2751p.
The fallers board was dominated by mining stocks as the banking troubles continued to persuade investors to steer clear of risk-driven stocks. Randgold Resources was the biggest faller, off 3% or 157.5p to 5072.5p.
