FTSE 100

The FTSE suffered a sharp drop in afternoon trading to close more than 3% in the red as concerns over EU debt and another Greece bomb attack rattled markets.

The FTSE was 0.9% or 50.47 points lower in early trading at 5383.26 amid fears Europe's austerity measures will slow the global recovery.

The FTSE 100 rose 28.9 points to 5412.1 in midday trading.

The FTSE opened more than 30 points up on Thursday as investors were buoyed by Spanish plans to tackle its budget crisis, a host of strong trading updates and a rally on Wall St.

The FTSE edged higher while sterling fell from a 10-month high on the first day of the UK's new coalition Government.

The FTSE is down 2% at 5278.76 points as traders continue taking profits, paring back the benchmark's extraordinary 5.2% jump yesterday.

BNP Paribas subsidiary Harewood Solutions is launching an income fund which aims to pay 8% annually, but offer considerably less volatility than the FTSE 100.

Profit taking saw the FTSE 100 fall 1.3% to 5316.22 points this morning, negating some of its 5.2% rise on Monday.

Investec Structured Products has raised £3.8m for its first VCT launch. The venture capital trust, which is run in partnership with Calculus Capital, will invest in a combination of structured products and venture capital investments.

The FTSE 100 plunged 1.71% or 89.76 points to 5171.23 this morning as shares were hit by the prospect of a hung parliament in the UK and worries over the Greek debt crisis.