Global shares drop for fourth day on Spain debt fears

<p>- Concerns over Spain’s debt problems has seen the value of global shares drop for the fourth consecutive day. Pressure has once again been applied […]</p>

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- Concerns over Spain’s debt problems has seen the value of global shares drop for the fourth consecutive day. Pressure has once again been applied for a bailout agreement to be reached after Standard and Poor’s downgraded Spain last night.

- By 9.30am, the major indices had gained ground as central bank policy makers kept borrowing costs at record lows. The FTSE was up 10 points at 5792 , the DAX up 23 points at 7235 and the Dow up 12 points at 13358.

In yesterday’s session, banks were the strongest performers across the board as the FSA eased capital rules for banks, whilst ARM holdings and Vedanta were the FTSE’s biggest fallers. They were closely followed by BAE Systems, down 2% after the proposed merger with EADS fell through, as France and Germany could not come to an agreement with the British government over their stake in the business.

- Today, BurBerry was up 8% after Morgan Stanley recommended investors buy its shares, and insurer Direct Line, which began limited trading on the LSE this morning, rose from 175p, to 183p within the first few minutes.

- We are awaiting two key economic figures for the US later at 1.30pm. Firstly Trade Balance data will be released, followed by Unemployment Claims.

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