The FTSE 100 slid to its lowest close for a year today, with anxious investors scurrying to sell off stock due to geopolitical and Eurozone worries.
The index of blue-chip shares was down eight per cent on the bell, a 50.39 point drop to 6,431, the lowest level since 10 October last year.
Chancellor George Osborne warned today that the British economy was not “immune” from the slowdown in the Eurozone. Earlier this week the International Monetary Fund slashed its growth forecast for Germany, whose exports plunged in August.
The eurozone risks slipping back into crisis, and Britain cannot be immune from that – it’s already having an impact on our manufacturing and exports.
The British Chambers of Commerce (BCC) supported this view in a survey published today. It argued that weak exports, exasperated by the Eurozone slowdown, was having halting recovery.
Kingfisher PLC, owner of B&Q, was the biggest faller of the day, dropping fiver per cent. Shares in Vodafone also fell 3.4 per cent.