The FTSE 100 has seen its third consecutive day of falls as concerns about global growth come to the fore.
The blue-chip index was down by 1.18% at 7,012.2 with energy, financials and miners among the worst performing sectors.
“All three driven by economic activity, which shows you how investors are thinking,” said Russ Mould, investment director at AJ Bell.
“International Consolidated Airlines was the biggest faller on the FTSE 100. The fact that EasyJet is raising more money to help to capitalise on growth opportunities would suggest that some of IAG’s peers are getting their ducks in a row to accelerate their recovery, whereas the British Airways owner is still plagued by high debts.”
“The ECB will be in focus later today as it is expected to update on any plans to taper bond purchases. The US Federal Reserve is unlikely to be in a rush to start easing its economic support measures following the very disappointing August jobs numbers, but will Europe finally be one step up on this point?” Mould added.
FTSE 100 Top Movers
Antofagasta (0.93%), Taylor Wimpey (0.78%) and Evraz (0.54%) are leading the way on the FTSE 100 during the morning session on Thursday.
Down at the other end, IAG (-3.61%), Prudential (-3.05%) and Melrose Industries (-3.05%), have made the most substantial losses.
EasyJet
EasyJet has confirmed it rejected a takeover offer as it set out plans to raise £1.2bn from investors in an effort to cope with a more sustained downturn in the airline industry.
The firm said the all-share approach undervalued the business, adding that the potential bidder is no longer interested in a deal.
Instead, via a rights issue, EasyJet will seek to improve its balance sheet and also seek out growth opportunities that could occur over the next few years as it expects the European airline industry to make a recovery.
