FTSE dips after overnight losses

UK shares edged lower this morning as concerns over the economic recovery in the US, and yesterday's move by the country to curb tax avoidance via M&A deals, continue to weigh on investor sentiment.

The FTSE 100 index was down 0.3% by 11am at 6,661, having closed down 1.4% on Tuesday at 6,676, its biggest one-day loss since early March. The index was sent reeling yesterday by a tax crackdown from the US authorities which may jeopardise takeovers of European businesses by US firms. In particular, the pharma sector was a big loser, prices having been buoyed by M&A activity this year. Today, losses were more broad, with a variety of businesses - including insurers and energy giant Centrica - all weaker. Struggling supermarket Tesco is also continuing its slide, having revealed...