Leading shares are on course for their biggest one day points fall since June, as investors decide to take money off the table ahead of US GDP figures tomorrow.
Financials and miners - the usual suspects in other words - are leading the market lower. Prudential is down 52.5p at 558p after quarterly results showed a disappointing performance from the UK.
The two government controlled banks continue to be weaker, in anticipation of their much awaited cash calls and, more pertinently, on continuing concerns abouit what assets they will have to sell to gain EU regulatory approval for the state aid they have received. Lloyds Banking Group is 2.84p lower at 81p while Royal Bank of Scotland is off 0.905p at 39.9p.
Metal prices have fallen after an unexpected fall in US new home sales cast doubts on recovery hopes. As mentioned, the US GDP figures are out tomorrow and there had been optimism the country could be heading out of recession.
So Xstrata has lost 90p to 883.5p while Lonmin is 130p lower at £15.21 and Kazakhmys is down 97p at £11.27.
Overall the FTSE 100 has fallen 118.18 points to 5082.79, not helped by an opening decline on Wall Street.
