FTSE 100 loses yesterday's gains and more
Wednesday, 18 Jun 2008 17:12
Investments: Value of property stocks cut further as FTSE 100 slides
The FTSE 100 closed down 1.79 per cent, at 5756.90, losing yesterday's gains, as lethargy descended over the London market.
London suffered following falls in New York, with property stocks taking the brunt of the negative sentiment.
Redrow was down 17.66 per cent, Bellway fell 10.56 per cent and Barratt Developments slipped 10.50 per cent.
Travis Perkins fell 8.87 per cent, Bovis was down 8.35 per cent and Persimmon fell 7.63 per cent.
Inside the FTSE 100, the LSE group, Next, Enterprise Inns and Marks & Spenser all fell over five per cent.
On the up side, Smith & Nephew rose 2.94 per cent, GlaxoSmithKline climbed 2.13 per cent, Compass Group fell 1.44 per cent and AstraZeneca was down 1.24 per cent.
Over the Atlantic both the Dow Jones and Nasdaq have continued their decline, down 0.67 per cent and 0.87 per cent respectively since opening.
Tim Hughes, head of sales trading at IG Index, said: "All this means that the FTSE 100 is almost back to the levels we were trading at a week ago.
"Back then, the 5,700 area did prove to be pivotal for the market and set up a short but impressive rally through 5,900. This 5,700 area is going to be the crunch point for the index during Thursday’s trading with some viewing a break below here as the sign that the trap door has been opened once again, signalling a possible return to 5,600 – not seen since the end of March."