London's equity market tries to fight back after it's recent worrying setback, and wad momentarily helped by a series of corporate moves. Burt it could not resist the downside pressures imposed by a distressed looking Wall Street. Consequently, all the main FTSE indices finished deeply in t red and market observers were increasingly adopting the view that FTSE 100 would drop below the psychologically important 6,00 mark, if not tomorrow then probably in the short term.

The fundamental reasons behind the market's latest recent setback remained the same as in recent sessions - the real fear that interest rates may have to rise again both in Britain and the US.

The tale of woes in the market was momentarily lifted just before midday when the news of BT's global alliance with AT&T in mobile phones saw a sudden upsurge in BT shares.