European markets affected by funding crisis in Ireland

EUROPEAN markets hit their worst point in six weeks as Ireland’s application for financial help did nothing to calm markets fears that its problems will pull Portugal and Spain down with it and cause serious problems for the euro.

As a result, stockmarkets ended at their lowest levels in six weeks.

In Dublin, banks took the brunt of the losses. Investors now fear that AIB will be completely nationalised and their holdings, however meagre, will be wiped out for good.