European markets slide on fears for Portugal

Fresh fears of eurozone debt contagion has hit global markets today, with the largest European indices suffering large losses.

Resource stocks lead the declines for the FTSE 100, with the index dropping 1.31% to 5.624.35. European markets are also sharply lower, with Paris' CAC 40 down 1.62% and the German DAX down 1.22%. Investor focus has now moved to Portugal, with reports suggesting the European Union is urging the country to seek a bailout. A report in the Financial Times Deutschland quoted a German finance minister as saying a rescue package for Portugal would help prevent the sovereign debt crisis spreading to Spain. Portugal has vehemently denied the report. The anxiety has sent government bond ...