Monday 22nd October 2007
Following stock market slumps around the world, fears were rife that the London Stock Exchange (LSE) could face a repeat of Black Monday, reports Associated Press.
The newswire reveals that Americas Dow Jones Industrial Average fell by 367 points at the end of last week on the 20th anniversary of Black Monday.
On that day in 1987, economic conditions led the UK stock market to fall by 31 per cent overall, according to Halifax Financial Services.
And activity around the globe sparked fears that this could be set to occur again this week, as much of the worldwide trading occurred after the LSE had closed for the weekend.
French newswire Agence France-Presse (AFP) explains that poor corporate earnings, combined with concerns remaining from the credit squeeze, led investors in the US to become "jittery".
The Dow Jones fell by 2.64 per cent on Friday, AFP reports, with Tokyo ending the day down 2.24 per cent.
Share prices in Seoul dropped by 4.8 percentage points but recovered slightly to end the day 3.4 per cent down, while Hong Kong fared better with a 2.5 per cent slump.
The FTSE 100 was down by 1.3 per cent on Monday morning to 6,444.40, a drop of 83.52 points in early trading, figures from the LSE show.
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