Footsie reverses yesterday's gains

The FTSE 100 Index is down 31.1 points at 5338.7 - reversing yesterday's gains.

Oil firms weighed on the market, with Enterprise Oil down 22½p at 454½p, oil and gas exploration firm BG off 10p at 262¾p, BP down 6p at 522½p and Shell off 6½p at 475½p.

Banks are also exerting putting downwards pressure, with HBOS off 22½p at 830½p, HSBC down 14½p at 876p and Northern Rock 9p lower at 606p.

However, among the risers is South African Breweries, up 9p at 462p. The group has placed 56.2 million new shares at 445p, which will raise around £250m - to finance its £378m acquisition of a brewer in Honduras.

TJ Hughes has shed 10% or 14p at 120p after updating investors on takeover talks.

It said a possible 95p-per-share offer, led by retail entrepreneur Chris Gorman, was "in no way" a fair value for the business.

Virtual Internet's shares have surged nearly 30%, 6½p to 30p, after revealing it had received a takeover approach.

EasyJet is ahead after reporting a jump in passengers on this time last year, despite the industry-wide slump in travel and tourism, flying up 11p at 499½p.

British Airways is off 6p at 222p. Earlier this week it reported a 17.8% fall in passenger numbers.