FTSE halts decline

Investors earned some respite from plunging share prices today after the downward spiral of London’s FTSE 100 Index came to a halt.

The Footsie rose 57.9 points to 3344.9 after one of the market’s worst ever sessions yesterday.

Much of the upturn was down to a stronger close for Wall Street markets last night, although brave investors may also have been lured by cheap stocks.

However, analysts warned little had changed in the overall mood of the City and that further falls could still be on the way.

Continued uncertainty over Iraq drove the FTSE 100 Index to its lowest point since June 1995 last night – a fall which was mirrored across Europe.

Insurers and banks bore the brunt of yesterday’s nosedive but were all in positive territory today.

They included Royal & Sun Alliance, which rose 5%, while Royal Bank of Scotland lifted 4% and Prudential gained 3%.

Only four blue chip stocks were in negative territory and included Canary Wharf, which added to yesterday’s 22% decline with a 3% drop.