Markets under pressure as Bankia dives 25%

The FTSE 100 has dropped more than 1% as the Spanish banking crisis intensified, with shares in bailed out Bankia shedding 25% today alone.

The bank has seen its share price fall 50% since the start of the month, Spain having announced part-nationalisation plans last week. Investors now fear further bad news after the lender said it was delaying the release of its first quarter results. Bankia has also been dogged by rumours depositors have withdrawn €1bn euros from savings accounts, though the Spain government has denied the claims, according to the BBC. Shares in Bankia, which was formed from the merger of seven troubled regional savings banks in December 2010, are down to €1.29, losing 26.54% today. London's FTSE wa...