RAMSEY CROOKALL

9th September

Evening Report

The FTSE 100 index fell 2.55% today, while most other European markets posted heavier falls.

Bank stocks were the main fallers, mirroring losses across the continent as sovereign debt worries hammered the sector. Shares in Barclays PLC dropped 7.9% and Royal Bank of Scotland Group PLC dropped fell 7.6%.

Admiral fell after saying it could see "a small proportion" of its profits put at risk under the government's plans to ban the payment of referral fees to insurers.

Multi-metal mining colossus Rio Tinto closed lower after saying that it is to invest $310m to assure a sustainable water supply for its iron ore operations in Pilbara, Western Australia.

Tullow Oil rose higher after a joint venture it operates made an oil discovery at its Zeadyus exploration well, 150km offshore French Guiana. Tullow owns 27.5% of the licence. North Petroleum and Wessex Exploration, which own 50% each of the joint venture with a 2.5% interest in the licence, also rose. Tullow Oil closed up 14.5%.

THE FTSE 100 closed                            Down        125       @     5214

THE DOW JONES at 16:40                         Down        225       @     11295                       NASDAQ COM at 16:40                           Down        31        @     2497               Commodities Spot Gold $/Oz           $1855 Brent Crude Oil          $112.48 September Delivery   

Exchange Rates GBP – USD           1.5884 GBP - EURO          1.162