Bear Stearns Drags Ftse ; Britain

Summary


News of a cash crisis at US investment bank Bear Stearns sent the FTSE 100 Index into reverse in a dramatic end to the trading week.

The latest victim of the credit crunch sparked a sell-off in US markets as Bear Stearns said "market chatter" hit liquidity and forced it to seek funding from JP Morgan Chase and the US Federal Reserve.

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Extract


Bear Stearns Drags Ftse ; Britain

The London market followed Wall Street, unwinding earlier gains, to close one per cent down, or 60.7 points, at 5631.7.

Banks littered the...

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