American Express ends FTSE rally

The three day recovery in bank stocks and sell off in commodities came to an end today as American Express figures in the US last night showed far worse profit fall than expected. This, combined with far lower than expected revenue from Vodafone and a gloomy trading statement from Enterprise Inns sent the FTSE 100 down 83.7 at 5320 by 11.30am. Vodafone fell nearly 15 per cent and Enterprise Inns was down 14 per cent after it said it had had to bail out some of its tenants with cuts in their rates that cost it £3.5 million in the first half and more in the second. It also highlighted plummeting sales of beer in its pubs, but failed to quantify the fall. Carphone Warehouse fell 7 per cent in sympathy with Vodafone. RBS was down 5 per cent after the American Express figures. The oil price continued to rise on fears that Tropical... [read full story]