FTSE fails to hold early gains

Blue-chip shares endured a turbulent end to trading today as the London market failed to hold on to early gains.

Trading had initially been buoyant following yesterday’s bloodbath, with the FTSE 100 Index of leading shares racing ahead more than 80 points by lunchtime.

But the gains proved short-lived and the market began to fall back after a weak start on Wall Street.

And with just over 30 minutes to go before the end of trading, the FTSE 100 was adrift 16.6 points at 4213.4.

The dip puts London in danger of closing below levels reached yesterday, when the top flight slumped 190 points and hit five-year lows.

But, in a tense time for traders and investors, the market had come back from an earlier 59-point skid mid-afternoon.