Poor start to trading in US exacts a toll on markets in Europe

The FTSE 100 sank as already shaky European indices were pulled further into the mire by a poor start to US trading.

In London, mining, oil, house- building, travel and transport stocks were broadly in the red, although banks lifted slightly on speculation that they ma y soon restart dividend payouts.

London’s top flight closed 68.27 points lower at 5,792.01 at the end of trading.

The Dow Jones tumbled by more than 650 points as it fell below 27,700 for the first time in a month as the health crisis weighed on traders.

Europe’s other major markets closed deeper into the red as the Spanish government’s decision to place the country into a state of emergency hit sentiment across the Continent.

The German Dax fell 3.64%, while the French Cac moved 1.87% lower.

Sterling slipped against the US dollar as the greenback continued to be a safe haven for riskshy traders. The pound fell by 0.25% versus the US dollar at 1.301 and was up 0.07% against the euro at 1.101.

The price of oil sank to a three-week low as travel restrictions and the broad air of negativity hit the energy markets. Brent crude fell 2.67 % to $40.48.

The biggest risers on the FTSE 100 were Pearson, up 15.2p at 527.6p; AstraZeneca, up 134p at 8,077p; BT Group, up 1.5p at 106.05p; and Avast, up 6.1p at 501.5p.

T he big gest fallers were IAG, down 8.3p at 1 0 0 .7 p ; Rolls-Royce, down 17.6p at 226.1p; Sage Group, down 43.2p at 650.8p; and Whitbread, down 142p at 2,244p.

London’s top flight fell 68.27 points to 5,792.01.