- Title: UNITED KINGDOM: FTSE falls in gloomy mood on euro crisis
- Date: 20th September 2011
- Summary: LONDON, ENGLAND, UNITED KINGDOM (SEPTEMBER 19, 2011) (REUTERS) CANARY WHARF WORKERS ARRIVING AT WORK IN CENTRAL PLAZA WORKERS COMING OUT OF TUBE STATION CANARY WHARF STATION SIGN MORE OF WORKERS WALKING IN PLAZA NEWS TICKER ON SIDE OF BUILDING NEWS TICKER READING "MOODY'S CUTS FRENCH BANKS AS EURO CRISIS DEEPENS" NEWS SCREEN WITH HEADLINE "FTSE SEEN FALLING" VARIOUS OF HOWARD WHEELDON, SENIOR STRATEGIST, BGC PARTNERS AT HIS DESK LOOKING AT COMPUTER SCREENS SCREEN SHOWING FTSE-100 CLOSE OF FTSE-1OO FIGURE (SOUNDBITE) (English) HOWARD WHEELDON, SENIOR STRATEGIST, BGC PARTNERS, SAYING: "I'm afraid there's no euphoria to be seen at all. We are down yet again, having had a reasonably better week last week. But I am afraid Poland has seen any positive sentiment removed, basically because nothing happened that markets can get their teeth into, in terms of a belief that the euro crisis is going to move in a positive direction." VARIOUS OF TRADERS AT THEIR DESKS FINANCIAL DATA ON COMPUTER SCREEN (SOUNDBITE) (English) HOWARD WHEELDON, SENIOR STRATEGIST, BGC PARTNERS, SAYING: "Markets are of course impatient, but markets I think have a right to be impatient, because they are not seeing positive actions from the politicians. It's all very well European politicians trying to hold the euro together, but when it stares you in the face that that policy just isn't going to work, then you have to come up with a plan B. It's the plan B that markets want and desperately need." VARIOUS OF TRADERS (SOUNDBITE) (English) HOWARD WHEELDON, SENIOR STRATEGIST, BGC PARTNERS, SAYING: "We've probably already accepted that there will be a default. Greece doesn't actually have to leave the euro, the euro has to split in two. I think the weaker and the stronger have to go into two separate halves. We have to remember that it is in the interest of the bigger countries, Germany in particular, to see the euro thrive." TRADERS AT THEIR DESKS
- Embargoed: 4th October 2011 22:38
- Keywords:
- Location: United Kingdom
- Country: United Kingdom
- Topics: Business,Economy
- Reuters ID: LVADSNG0KQIXOYDH0T9C9GDKM33B
- Aspect Ratio: 4:3
- Story Text: Britain's FTSE 100 share index fell on Monday (September 19) morning after finance ministers failed to make headway on the euro zone debt crisis at weekend meetings, even as hopes ran high that the U.S. Federal Reserve will announce further monetary-easing moves this week.
By 0816 GMT, the FTSE 100 was down 93.22 points, or 1.7 percent, at 5,275.19, having gained 0.6 percent on Friday.
Banking stocks, much of the weight behind Friday's FTSE 100 advance on optimism Europe would get a grip on the region's debt crisis, were the hardest hit.
In meetings on Friday (September 16) and Saturday (September 17) in the Polish city of Wroclaw, EU finance ministers broke no new ground in dealing with the euro zone debt crisis.
"I'm afraid there's no euphoria to be seen at all. We are down yet again, having had a reasonably better week last week. But I am afraid Poland has seen any positive sentiment removed, basically because nothing happened that markets can get their teeth into, in terms of a belief that the euro crisis is going to move in a positive direction," said Senior Strategist at BGC Partners, Howard Wheeldon.
After a four-day rally by the FTSE 100 last week, news of a regional election defeat for German Chancellor Angela Merkel and the cancellation of a visit by Greek Prime Minister George Papandreou to the United States to chair an emergency meeting added to the renewed sense of unease.
Wheeldon said markets are impatient for politicians to present a "Plan B" on how to deal with what he said will be an inevitable Greek default.
"We've probably already accepted that there will be a default. Greece doesn't actually have to leave the euro, the euro has to split in two. I think the weaker and the stronger have to go into two separate halves. We have to remember that it is in the interest of the bigger countries, Germany in particular, to see the euro thrive," he said.
Markets were also keenly awaiting a two-day U.S. Federal Reserve policy meeting on Tuesday (September 20) and Wednesday (September 21) that may hint at further measures to bolster the world's biggest economy, after a string of disappointing economic data. - Copyright Holder: REUTERS
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