FTSE plunges 2.2% on global fears; BP sell-off

The FTSE continues to fall in early trading, weighed down by fears over the global economic recovery and a massive sell-off in BP shares.

At 10.08 am BST, the index was down 2.23% or 115.95 points to 5,072.48 as slowing Chinese factory output fuelled pessimism over global economic recovery. The European Central Bank also added to the gloom as it warned eurozone lenders face another wave of potential writedowns. BP sank 12.42% to 433.35p after its latest failure to control its oil spill in the Gulf of Mexico. Royal Dutch Shell was also a big loser, its A shares down 2.03% to £17.86, while the B shares dropped 1.91% to £17.18. Prudential was the day's biggest winner on news its attempts to renegotiate the AIA deal has...