FTSE struggles after Wall Street disappointment

The FTSE 100 Index has made a negative start to the week, falling 13.6 points to 4353.4 in the first hour of business.

Traders reacted to a disappointing session on Wall Street on Friday.

The fall in London came despite a strong start for telecoms group Cable & Wireless, which topped the risers board after its announcement of an exit route for its US businesses.

As part of an agreement with potential purchaser Gores Technology, C&W will place the division into Chapter 11 bankruptcy protection. Shares rose almost 7% or 8.5p to 137.75p.

Media stocks were heading in the opposite direction with Reuters down 4.75p at 245p, advertising group WPP off 10p at 599.5p and Granada 1.75p lower at 127.25p.

And there was little movement from shares in Alliance & Leicester and Royal Bank of Scotland - despite forecasts from the pair of profits in line with expectations. A&L stood unchanged at 875p while RBS slipped 17p to 1625p.

Among companies reporting results, outsourcing specialist MITIE rose half a penny to 128p after it announced a 14% rise in both half-year turnover and profits - to £316.3m (€449.7m) and £17.6m (€25m) respectively.