A volatile Wall Street advanced today for the second day in a row, as investors found renewed confidence in a report that Bank of America is close to buying struggling mortgage lender Countrywide Financial.

Wall Street plunged in another erratic session today as investors worried that the slumping US economy may not only cripple mortgage lenders like Countrywide Financial, but also create problems for other companies like AT&T. The Dow Jones industrials fell nearly 240 points.

US stocks rose sharply today, led by strong gains among the blue chips and mortgage lender Countrywide Financial Corp., which said it had lined up added financing.

Wall Street ended a mildly erratic day slightly lower today after anxiety about widening credit problems offset investor optimism about a $2bn capital infusion into troubled mortgage lender Countrywide Financial Corp.

Wall Street ended a mildly erratic day slightly lower today after anxiety about widening credit problems offset investor optimism about a $2bn (€1.47bn) capital infusion into troubled mortgage lender Countrywide Financial Corp.

The London market stormed ahead to finish the week at its highest level for nearly six-and-a-half years, closing 46 points up at 6462.4 on Friday.

London shares saw a sharp downturn during afternoon trading after lower-than-expected US retail sales figures led to a tumble in the US markets at the start of the day’s trade.

A major deal in the housebuilding sector ensured the second-tier FTSE 250 Index stole a march on its top flight counterpart today.

The UK’s largest estate agency chain today confirmed it had received a preliminary takeover approach from an unnamed suitor.

THE chairman of property firm Countrywide will write to shareholders this week defending a £940m takeover deal from investor criticism.

The FTSE 100 Index slid into the red today weighed down by under-pressure oil stocks and inflationary fears returning to haunt investors.

Gambling stocks pulled out of their nosedive today as investors came to terms with the dramatic charges laid against a sports betting company on Monday.

The London market finished the week in lacklustre mood today after a fall for insurers Aviva and Prudential offset strong gains from Corus.

The prospect of a major push into the United States by Norwich Union owner Aviva drew a negative response from traders in London today.

Negative sentiment on Wall Street spilled across the Atlantic today as the London markets gave up early gains to plunge into the red.

BUYERS continued to have the upperhand in Britain’s property market in August as homeowners further lowered their asking prices to achieve a sale, and agents’ books remained full, a survey showed yesterday.

The London market reached a new three-year high today as the soaring price of crude delighted investors in oil majors.

Higher oil prices and the weaker dollar conspired to push markets in London and New York lower today.

Britain’s largest estate agency business today said it was currently losing money after a further “marked deterioration” in the housing market.

Shares in UK housebuilders plummeted today after evidence of a cooling in the housing market led estate agency group Countrywide to issue a profits warning.

A string of corporate updates was guiding investors today as the London market picked up momentum following yesterday’s losses.

British estate agency group Countrywide provided firm evidence of a cooling in the UK's housing market today after arranging 25% fewer sales in July than a year ago.

BRITISH insurer and real-estate company Countrywide Assured Group plc said first-half profit fell 39% as house sales dropped. The company said it sees earnings improving and its shares rose as much as 8.6%.

The FTSE 100 Index is up 52.8 at 4417.6 at mid-morning.