London’s FTSE 100 plunged 9.4% to 5,324.57 points in afternoon dealings on Thursday, leaving the blue chip benchmark on course to register the third biggest one day fall in its history.
Equity markets slumped around the globe, spurred by fears over the coronavirus pandemic and with US president Donald Trump’s 30-day European travel ban also spooking investors.
The markets also swooned after the European Central Bank (ECB) approved fresh stimulus measures to combat the coronavirus shock, yet disappointed investors by stopping short of a rate cut.
FTSE IN FREEFALL
Prior to today’s carnage, the FTSE 100’s worst falls were recorded on 19 October 1987 (-10.8%) and 20 October 1987 (-12.2%) during the Black Monday Crash, and then on 10 October 2008 (-8.8%) as the global financial crisis unfolded.
Among the large cap casualties today are the likes of Prudential (PRU), pounded 17.1% lower to 880.6p, Barclays (BARC), down 17% to 97.9p, with British Gas-owner Centrica (CAN) 17% cheaper at 44p.
SECOND LINERS SINK
Thursday proved nothing short of a bloodbath on the FTSE 250, the index of so-called ‘second liners’ sliding 9.6% lower to 15,674.95, while international markets cratered.
America’s Dow Jones was down 7.62% to 21,757.38 and the S&P 500 skidded 6.71% south to 2557.39.
In Europe, France’s Cac 40, Germany’s Dax and Spain’s IBEX 35 dipped 10.16%, 9.65% and 11.25% lower respectively.
Even gold, the precious metal regarded as a safe haven and store of value, cheapened 3.3% to $1,582 an ounce as panicked investors sold assets across the board.
