Investors move into safe havens

THE markets reacted as anticipated yesterday as uncertainty over the duration and, to a lesser extent, the outcome of the war on Iraq hit equities and the dollar, pushing gold, oil and the euro up.

The intensity of the Iraqi opposition to American and British forces as they plough on regardless to Baghdad has hit confidence and pushed investors money away from stocks and into safe havens like gold.

By the end of trading discerning investors began to pick up shares in companies they believe will be least effected by the war.