Well, Wall Street has not ridden to the rescue. With poor US new home figures just released, the Dow Jones industrial average is now nearly 90 points lower. As a result the FTSE 100 is at its day's low at 5712.4, down 156.6 points.
New home sales fell 4.7% in December to 604,000 compared with expectations of 640,000, providing more signs the US could be heading into recession. The chances of a 50 basis point rate cut by the US Federal Reserve on Wednesday seem to be growing.
Back in the UK, housebuilders have joined the miners among the leading fallers, with Persimmon 50p lower at 776p and Taylor Wimpey 10.8 points lower at 182.6p. Dealers do not expect the Bank of England to act as dramatically as the Fed when it meets to discuss UK interest rates next week.
Among the banks - already unsettled of course by the SocGen problems - Alliance & Leicester lost 16p to 720p after Dresdner Kleinwort cut its rating from hold to sell.
