British shares have slid further, extending the previous day’s deep losses, as economic and political instability rages on around the world.
On Wednesday, the FTSE 100 index of the most valuable companies listed in London recorded its biggest one-day fall since before the EU referendum in June 2016, losing 3.2 per cent. Traders, already on tenterhooks, were unsettled by a ruling that the US can impose tariffs on a range of European goods, as well as concerns over Boris Johnson ’s final Brexit plan.
There was no let-up in the jitters on Thursday, with news overnight that the US will slap 25 per cent tariffs on French wine, Italian cheese and single-malt Scotch whisky. A closely watched measure of the UK’s vast service sector also showed the first contraction in output since March .
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But the most dramatic plunge of the day so far followed news that the US service sector is now at its weakest since August 2016, intensifying fears for the world’s largest economy.
By 3.48pm, the FTSE 100 was 1 per cent lower on the day, paring most of the sharp losses after the US release.
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UK news in pictures
1/50 17 April 2020
A taped-up bench in the hamlet of Diglea, Greater Manchester
AFP/Getty
2/50 16 April 2020
A woman wearing a protective face mask and gloves walks past graffiti in Bow, as the spread of the coronavirus disease (COVID-19) continues, London, Britain, April 16, 2020
Reuters
3/50 15 April 2020
A burned down mobile phone mast in London.According to reports, at least 20 mobile phone masts across Britain are believed to have been vandalised and government and telecom sources are increasingly concerned about the impact of conspiracy theories linking coronavirus to 5G networks
EPA
4/50 14 April 2020
The new Nightingale Hospital in Washington, Tyne and Wear, being fitted out
PA
5/50 13 April 2020
Walkers enjoy the bluebells in Wanstead Park in London
PA
6/50 12 April 2020
A woman prays at the closed doors of Westminster Cathedral ahead of the Easter morning mass, London, as the UK continues in lockdown to help curb the spread of the coronavirus. Churches across the country have been continuing to broadcast services digitally in the lead-up to Easter, with more than 1,000 livestreams taking place on a regular basis
PA
7/50 11 April 2020
A man jogs on an empty beach in Scarborough as the UK continues in lockdown to help curb the spread of the coronavirus
PA
8/50 10 April 2020
Military personnel testing people at a coronavirus test centre in the car park of Chessington World of Adventures
Reuters
9/50 9 April 2020
Posters drawn by children displayed in support of the NHS in a building near St Thomas' Hospital in London
Getty
10/50 8 April 2020
A street cleaner in front of Coronavirus messaging on Picadilly Circus in London
Getty
11/50 7 April 2020
A jogger on the Millennium Bridge in London, as the UK continues in lockdown to help curb the spread of the coronavirus
PA
12/50 6 April 2020
A Royal Signals soldier practices during training held by the British Army. They are preparing them to support the Welsh Ambulance Service NHS Trust in the battle against coronavirus
Ministry of Defence/Reuters
13/50 5 April 2020
A police officer advises a woman to go home after spotting her enjoying the sun in Primrose Hill, London
AP
14/50 4 March 2020
New Leader of the Labour Party Keir Starmer speaks on the announcement of his victory in the leadership race of the Labour Party
AFP via Getty
15/50 3 April 2020
Health Secretary Matt Hancock and NHS staff stand on marks on the ground, put in place to ensure social distancing guidelines are adhered to, at the opening of the NHS Nightingale Hospital at the ExCel centre in London, a temporary hospital with 4000 beds which has been set up for the treatment of Covid-19 patients. PA Photo. Picture date: Friday April 3, 2020. Split into more than 80 wards containing 42 beds each, the facility will be used to treat Covid-19 patients who have been transferred from other intensive care units across London.
PA
16/50 2 April 2020
A child at Westlands Primary School paints a poster in support of the NHS in Newcastle-under-Lyme
Reuters
17/50 1 April 2020
Staff wearing PPE of gloves and face masks, as a preactionary measure against Covid-19, disinfect an ambulance after it arrived with a patient at St Thomas' Hospital in north London
AFP via Getty
18/50 31 March 2020
Llandudno Pier remains closed and deserted of tourists during the pandemic lockdown in Wales
Getty
19/50 30 March 2020
Waves break against the pier at Tynemouth, on the North East coast
PA
20/50 29 March 2020
Waves crash over a car on the seafront during windy conditions in Broadstairs, Kent
PA
21/50 28 March 2020
Derbyshire Police dye the "blue lagoon" in Harpur Hill, Buxton black, as gatherings there are "dangerous" and are "in contravention of the current instruction of the UK Government"
PA
22/50 27 March 2020
A road sign advising drivers to 'stay home protect NHS saves lives' is visible on the M80 near Banknock as the UK continues in lockdown to help curb the spread of the coronavirus
PA
23/50 26 March 2020
A postman wears a mask and gloves to deliver letters in Broadstairs, Kent, after Prime Minister Boris Johnson has put the UK in lockdown to help curb the spread of the coronavirus. PA Photo. Picture date: Thursday March 26, 2020. The UK's coronavirus death toll reached 463 on Wednesday.
PA
24/50 25 March 2020
Members of the public out exercising on Brighton beach at sunset
Getty
25/50 24 March 2020
Military vehicles cross Westminster Bridge after members of the 101 Logistic Brigade delivered a consignment of medical masks to St Thomas' hospital
Getty
26/50 23 March 2020
Commuters travel on the London underground during the Coronavirus pandemic
Getty
27/50 22 March 2020
People walk on the seafront after recent incidents of members of the public ignoring government advice on social distancing on in Hove
Getty
28/50 21 March 2020
A general view of an empty Trafalgar Square in London. There have as of now been 3,983 diagnosed coronavirus cases in the UK and 177 deaths
Getty
29/50 20 March 2020
Swans swim on the banks of the River Severn in Worcester
PA
30/50 19 March 2020
A piece of art by the artist, known as the Rebel Bear has appeared on a wall on Bank Street in Glasgow. The new addition to Glasgow's street art is capturing the global Coronavirus crisis. The piece features a woman and a man pulling back to give each other a kiss
PA
31/50 18 March 2020
Students tend to Spring Lambs at Moreton Morrell College in Warwickshire
PA
32/50 17 March 2020
Caerphilly Castle in South Wales joins Tourism Ireland's Global Greenings campaign to mark St Patrick's Day
PA
33/50 16 March 2020
Shoppers form long queues ahead of the opening of a Costco wholesale store in Chingford
Getty
34/50 15 March 2020
Players sing songs in the changing room after their game of football at Hackney Marshes in London
Reuters
35/50 14 March 2020
Empty shelves in the laundry aisle of an Asda store in London
PA
36/50 13 March 2020
Runners and riders compete in the JCB Triumph Hurdle during day four of the Cheltenham Festival at Cheltenham Racecourse. Thousands of people attended where Gold Cup day amid great uncertainty as sports events up and down the United Kingdom are postponed and cancelled due to the Coronavirus outbreak
PA Images via Reuters Connect
37/50 12 March 2020
A worker makes her way along rows of daffodils, removing any rogue varieties, at Taylors Bulbs in Holbeach, Lincolnshire. The fourth generation family company plant over 35 million bulbs every year, and have held The Royal Warrant as Bulb Growers to Her Majesty The Queen since 1985
PA
38/50 11 March 2020
Chancellor of the Exchequer Rishi Sunak poses for pictures with the Budget Box outside 11 Downing Street ahead of Britain's first post-Brexit budget
AFP/Getty
39/50 10 March 2020
A Tate Modern gallery assistant interacts with the 'Silver Clouds' installation, at a press view of major new Andy Warhol exhibition at Tate Modern, which features classic pop art pieces and works never shown before in the UK
PA
40/50 9 March 2020
The Sub Dean and Canon Paster of Southwark, Canon Michael Rawson, left, blesses the statue of Santa Barbara and workers on one of the sites of the Thames Tideway Tunnel in London. Santa Barbara is the patron saint of tunnellers and by tradition a statue and shrine to her is placed at tunnel portals and the entrance to long tunnel headings to keep workers safe while underground. The 16 mile-long Thames Tideway Tunnel will prevent tens of millions of tonnes of sewage and rainwater run-off entering the river every year
PA
41/50 8 March 2020
An Afghan Hound dog is prepared for show at the Birmingham National Exhibition Centre (NEC) during the final day of the Crufts Dog Show
PA
42/50 7 March 2020
People taking part in the Million Women Rise march through central London, to demand an end to male violence against women and girls in all its forms
PA
43/50 6 March 2020
Crew members take a selfie beside the cab of The Flying Scotswoman, the LNER Edinburgh to London rail service which has an all-female crew to celebrate International Women's Day, before it departs Edinburgh Waverley station
PA
44/50 5 March 2020
A poodle arrives for the first day of Crufts 2020 in Birmingham
Jason Skarratt/Flick.digital
45/50 4 March 2020
An Emergency Department Nurse during a demonstration of the Coronavirus pod and Covid-19 virus testing procedures set-up beside the Emergency Department of Antrim Area Hospital in Northern Ireland
PA
46/50 3 March 2020
A pedestrian wears a protective facemask while taking a bus in Westminster, London, on the day that Health Secretary Matt Hancock said that the number of people diagnosed with coronavirus in the UK has risen to 51
PA
47/50 2 March 2020
An artist at Madame Tussauds in London fits the museum's waxwork of Prime Minister Boris Johnson with a baby carrier, following the recent announcement that he is expecting a baby with partner Carrie Symonds
PA
48/50 1 March 2020
A man dressed as Dewi Sant leads the St David's day parade in Cardiff, where hundreds of people march through the city in celebration of the patron saint of Wales. Dewi Sant (Saint David in English) was the Welsh bishop of Mynyw (now St Davids) during the 6th century
PA
49/50 29 February 2020
A home flooded after the River Aire burst its banks in East Cowick, East Yorkshire
Getty
50/50 28 February 2020
Swedish climate activist Greta Thunberg takes part in a "Youth Strike 4 Climate" protest march in Bristol, south west England. "Activism works, so I ask you to act," she said
AFP/Getty
1/50 17 April 2020
A taped-up bench in the hamlet of Diglea, Greater Manchester
AFP/Getty
2/50 16 April 2020
A woman wearing a protective face mask and gloves walks past graffiti in Bow, as the spread of the coronavirus disease (COVID-19) continues, London, Britain, April 16, 2020
Reuters
3/50 15 April 2020
A burned down mobile phone mast in London.According to reports, at least 20 mobile phone masts across Britain are believed to have been vandalised and government and telecom sources are increasingly concerned about the impact of conspiracy theories linking coronavirus to 5G networks
EPA
4/50 14 April 2020
The new Nightingale Hospital in Washington, Tyne and Wear, being fitted out
PA
5/50 13 April 2020
Walkers enjoy the bluebells in Wanstead Park in London
PA
6/50 12 April 2020
A woman prays at the closed doors of Westminster Cathedral ahead of the Easter morning mass, London, as the UK continues in lockdown to help curb the spread of the coronavirus. Churches across the country have been continuing to broadcast services digitally in the lead-up to Easter, with more than 1,000 livestreams taking place on a regular basis
PA
7/50 11 April 2020
A man jogs on an empty beach in Scarborough as the UK continues in lockdown to help curb the spread of the coronavirus
PA
8/50 10 April 2020
Military personnel testing people at a coronavirus test centre in the car park of Chessington World of Adventures
Reuters
9/50 9 April 2020
Posters drawn by children displayed in support of the NHS in a building near St Thomas' Hospital in London
Getty
10/50 8 April 2020
A street cleaner in front of Coronavirus messaging on Picadilly Circus in London
Getty
11/50 7 April 2020
A jogger on the Millennium Bridge in London, as the UK continues in lockdown to help curb the spread of the coronavirus
PA
12/50 6 April 2020
A Royal Signals soldier practices during training held by the British Army. They are preparing them to support the Welsh Ambulance Service NHS Trust in the battle against coronavirus
Ministry of Defence/Reuters
13/50 5 April 2020
A police officer advises a woman to go home after spotting her enjoying the sun in Primrose Hill, London
AP
14/50 4 March 2020
New Leader of the Labour Party Keir Starmer speaks on the announcement of his victory in the leadership race of the Labour Party
AFP via Getty
15/50 3 April 2020
Health Secretary Matt Hancock and NHS staff stand on marks on the ground, put in place to ensure social distancing guidelines are adhered to, at the opening of the NHS Nightingale Hospital at the ExCel centre in London, a temporary hospital with 4000 beds which has been set up for the treatment of Covid-19 patients. PA Photo. Picture date: Friday April 3, 2020. Split into more than 80 wards containing 42 beds each, the facility will be used to treat Covid-19 patients who have been transferred from other intensive care units across London.
PA
16/50 2 April 2020
A child at Westlands Primary School paints a poster in support of the NHS in Newcastle-under-Lyme
Reuters
17/50 1 April 2020
Staff wearing PPE of gloves and face masks, as a preactionary measure against Covid-19, disinfect an ambulance after it arrived with a patient at St Thomas' Hospital in north London
AFP via Getty
18/50 31 March 2020
Llandudno Pier remains closed and deserted of tourists during the pandemic lockdown in Wales
Getty
19/50 30 March 2020
Waves break against the pier at Tynemouth, on the North East coast
PA
20/50 29 March 2020
Waves crash over a car on the seafront during windy conditions in Broadstairs, Kent
PA
21/50 28 March 2020
Derbyshire Police dye the "blue lagoon" in Harpur Hill, Buxton black, as gatherings there are "dangerous" and are "in contravention of the current instruction of the UK Government"
PA
22/50 27 March 2020
A road sign advising drivers to 'stay home protect NHS saves lives' is visible on the M80 near Banknock as the UK continues in lockdown to help curb the spread of the coronavirus
PA
23/50 26 March 2020
A postman wears a mask and gloves to deliver letters in Broadstairs, Kent, after Prime Minister Boris Johnson has put the UK in lockdown to help curb the spread of the coronavirus. PA Photo. Picture date: Thursday March 26, 2020. The UK's coronavirus death toll reached 463 on Wednesday.
PA
24/50 25 March 2020
Members of the public out exercising on Brighton beach at sunset
Getty
25/50 24 March 2020
Military vehicles cross Westminster Bridge after members of the 101 Logistic Brigade delivered a consignment of medical masks to St Thomas' hospital
Getty
26/50 23 March 2020
Commuters travel on the London underground during the Coronavirus pandemic
Getty
27/50 22 March 2020
People walk on the seafront after recent incidents of members of the public ignoring government advice on social distancing on in Hove
Getty
28/50 21 March 2020
A general view of an empty Trafalgar Square in London. There have as of now been 3,983 diagnosed coronavirus cases in the UK and 177 deaths
Getty
29/50 20 March 2020
Swans swim on the banks of the River Severn in Worcester
PA
30/50 19 March 2020
A piece of art by the artist, known as the Rebel Bear has appeared on a wall on Bank Street in Glasgow. The new addition to Glasgow's street art is capturing the global Coronavirus crisis. The piece features a woman and a man pulling back to give each other a kiss
PA
31/50 18 March 2020
Students tend to Spring Lambs at Moreton Morrell College in Warwickshire
PA
32/50 17 March 2020
Caerphilly Castle in South Wales joins Tourism Ireland's Global Greenings campaign to mark St Patrick's Day
PA
33/50 16 March 2020
Shoppers form long queues ahead of the opening of a Costco wholesale store in Chingford
Getty
34/50 15 March 2020
Players sing songs in the changing room after their game of football at Hackney Marshes in London
Reuters
35/50 14 March 2020
Empty shelves in the laundry aisle of an Asda store in London
PA
36/50 13 March 2020
Runners and riders compete in the JCB Triumph Hurdle during day four of the Cheltenham Festival at Cheltenham Racecourse. Thousands of people attended where Gold Cup day amid great uncertainty as sports events up and down the United Kingdom are postponed and cancelled due to the Coronavirus outbreak
PA Images via Reuters Connect
37/50 12 March 2020
A worker makes her way along rows of daffodils, removing any rogue varieties, at Taylors Bulbs in Holbeach, Lincolnshire. The fourth generation family company plant over 35 million bulbs every year, and have held The Royal Warrant as Bulb Growers to Her Majesty The Queen since 1985
PA
38/50 11 March 2020
Chancellor of the Exchequer Rishi Sunak poses for pictures with the Budget Box outside 11 Downing Street ahead of Britain's first post-Brexit budget
AFP/Getty
39/50 10 March 2020
A Tate Modern gallery assistant interacts with the 'Silver Clouds' installation, at a press view of major new Andy Warhol exhibition at Tate Modern, which features classic pop art pieces and works never shown before in the UK
PA
40/50 9 March 2020
The Sub Dean and Canon Paster of Southwark, Canon Michael Rawson, left, blesses the statue of Santa Barbara and workers on one of the sites of the Thames Tideway Tunnel in London. Santa Barbara is the patron saint of tunnellers and by tradition a statue and shrine to her is placed at tunnel portals and the entrance to long tunnel headings to keep workers safe while underground. The 16 mile-long Thames Tideway Tunnel will prevent tens of millions of tonnes of sewage and rainwater run-off entering the river every year
PA
41/50 8 March 2020
An Afghan Hound dog is prepared for show at the Birmingham National Exhibition Centre (NEC) during the final day of the Crufts Dog Show
PA
42/50 7 March 2020
People taking part in the Million Women Rise march through central London, to demand an end to male violence against women and girls in all its forms
PA
43/50 6 March 2020
Crew members take a selfie beside the cab of The Flying Scotswoman, the LNER Edinburgh to London rail service which has an all-female crew to celebrate International Women's Day, before it departs Edinburgh Waverley station
PA
44/50 5 March 2020
A poodle arrives for the first day of Crufts 2020 in Birmingham
Jason Skarratt/Flick.digital
45/50 4 March 2020
An Emergency Department Nurse during a demonstration of the Coronavirus pod and Covid-19 virus testing procedures set-up beside the Emergency Department of Antrim Area Hospital in Northern Ireland
PA
46/50 3 March 2020
A pedestrian wears a protective facemask while taking a bus in Westminster, London, on the day that Health Secretary Matt Hancock said that the number of people diagnosed with coronavirus in the UK has risen to 51
PA
47/50 2 March 2020
An artist at Madame Tussauds in London fits the museum's waxwork of Prime Minister Boris Johnson with a baby carrier, following the recent announcement that he is expecting a baby with partner Carrie Symonds
PA
48/50 1 March 2020
A man dressed as Dewi Sant leads the St David's day parade in Cardiff, where hundreds of people march through the city in celebration of the patron saint of Wales. Dewi Sant (Saint David in English) was the Welsh bishop of Mynyw (now St Davids) during the 6th century
PA
49/50 29 February 2020
A home flooded after the River Aire burst its banks in East Cowick, East Yorkshire
Getty
50/50 28 February 2020
Swedish climate activist Greta Thunberg takes part in a "Youth Strike 4 Climate" protest march in Bristol, south west England. "Activism works, so I ask you to act," she said
AFP/Getty
“The slowdown in manufacturing is spreading to services. We flagged that this print would be critical to market sentiment today and it’s clear that any optimism has been snuffed out,” said Neil Wilson, chief market analyst for Markets.com.
Commenting on the markets’ mood earlier, he said: “Investor confidence has crumbled off the back off a couple of weak US data prints, whilst impeachment talk and geopolitical troubles from Hong Kong to North Korea are not helping.
“European investors also battling the real prospect of a no-deal Brexit and worries about a new tariff war with the US.”
The European Parliament has said it would veto Mr Johnson’s latest Brexit proposals, warning that they are not “even remotely” acceptable as a solution to the Irish border problem.
In the US, a release on Tuesday revealed the worst downturn in manufacturing since 2009 in September.
Helal Miah, investment research analyst at The Share Centre, attributed the slump at US factories mainly to Donald Trump ’s trade war with China.
“Car manufacturers are struggling with tariffs on imported steel, an unintended consequence of his America First policy; US farmers are struggling to find buyers for their produce as China looks elsewhere,” he said.
“At the same time, US semi-conductor manufacturers struggle to fill the demand vacated by Huawei who have made strides to replace US intellectual property in 5G technologies.”
The broader FTSE 250 index was also down, standing 1 per cent lower on the day.
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