A gatecrasher to Barclays' £3bn (€3.37bn) deal to sell fund management business iShares could net the bank another £500m (€562.7m), it was reported today.

Stocks slumped for a second straight day today as investors, already on edge about the worsening economy, were further rattled by a report that Washington’s plans to help banks may have hit a snag.

Surging gold and energy prices dragged stocks lower today as inflation fears curbed Wall Street’s enthusiasm over solid first-quarter earnings from financial services firm Citigroup Inc.

Investors turned to profit-taking today, leaving stocks mixed after nearly two weeks of solid gains. Another drop in oil prices limited the market’s losses.

A late-session buying spurt gave US stocks a moderate lift today.

Share prices continued lower in midsession trade, as a weak employment report for November dashed hopes that an economic rebound is underway and offset a higher-than-expected US consumer confidence figure for December, dealers said.