Wall St drags down sentiment

The FTSE 100 Index has fallen a further 48.2 points at 4036.7.

The London market took its lead from Wall, which fell heavily last night after Federal Reserve chairman Alan Greenspan's update on the US economy.

Media stocks are some of the morning's heaviest fallers, with Pearson losing 26p at 614p, Daily Mail & General Trust down 21½p at 522½p and Reuters falling 8½p at 255½p.

But defensive stocks are also under pressure, with HBOS off 18p at 680p and Lloyds TSB down 13p at 536p.

But BAA has gained 1½p at 531½p after reporting a surge in August passenger numbers.

Among smaller stocks, Orange has risen 9p at 332p after raising financial targets for the year on strong interim profits.

Favourable post-interim press comment has lifted P&O deferred 6p to 210p, while sector consolidation hopes boosted Capital Radio 3½p to 475p.

A 'buy' recommendation in today's Investors Chronicle saw Enterprise Inns move up 2½p to 540½p, while yesterday's upbeat trading statement provided fresh support for Luminar, 2½p firmer at 725.

easyJet perked up 5p to 249p after the group's founder and chairman Stelios Haji-Ioannou said he is confident that full-year results to September 2002 will be in line with market expectations.

HP Bulmer - hard-hit of late by news of exceptional losses - rebounded 4 to 229 on speculation that the Bulmer family, which sits on 41% of the equity, may seek a distribution joint venture, possibly with a brewer such as Scottish & Newcastle.