European Indexes Lower

More credit-market worries weighed on market sentiment


The FTSE 100 slips further at mid-session Tuesday, weighed down by financials as credit woes resurface. A fall in Asian equities and indications of a lower open on Wall Street weigh on the blue-chip index. The broker downgrades of banks in Europe and the US add to the bad news. Further, BARCLAYS (-1.72%) has been left with several hundred million dollars worth of exposure to failed debt vehicles created by its investment banking arm that ran into trouble as a result of turmoil in the credit markets, the FT writes. Barclays denies the report. WTI is flat at US$72.17 a barrel, taking down energy stocks. Miners give up early gains. RIO TINTO (-0.51%) receives US antitrust nod for its Alcan buy. In other news, CADBURY SCHWEPPES (-0.79%) says has received nod for its buy of Intergum from the Turkish Competition Board. The group led by private equity firm TPG, which includes BRITISH AIRWAYS (+1.04%), is preparing to cut its offer for Iberia amid concerns about both the cost and the prospect of falling air fares, The Sunday Telegraph reported. Among results, WOOD GROUP (+7.65%) reports a 64% rise in first half pretax profit. BUNZL (-0.44%) posts an 8% rise in first half pretax profit, but the £89.1 million figure comes below forecast. AVIS EUROPE (unch) narrows its first half underlying pre-tax loss.

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