The fall in the FTSE 100 has intensified this afternoon after a negative opening on Wall Street.
The blue-chip index – which even before today had lost more than 200 points in four days – fell as low as 3938.12, down 96 points on last night's close.
It is now down 55.18 points at 3978.95.
Financial stocks are figuring in the list of major fallers.
Legal and General's funding announcement yesterday seems to have failed to calm investors' nerves.
After a modest bounce yesterday, the shares have fallen around 10% today to 40.7p.
L&G tried to reassure the market yesterday revealing it had more than doubled its credit default reserves.
Other insurance group are ailing, with Prudential down 8% at 257p.
Beleaguered bank Royal Bank of Scotland is the FTSE's biggest loser, down 13% at 18p.
