European stock markets suffered heavy losses this evening following an announcement that US authorities had charged top investment bank Goldman Sachs with fraud linked to the US sub-prime mortgage meltdown.
London's FTSE fell 1.4% to close at 5,745, led by its big mining stocks. In Paris the CAC gave up 1.9% to finish at 3,987, while the Frankfurt DAX lost 1.8% to 6,181.
But Dublin's ISEQ index ended only four points (0.1%) lower at 3,338, with Independent jumping 5.2% to just over 14 cent after news that businessman Denis O'Brien has increased his stake in the company. Bank of Ireland ended down 0.6% at €1.71, giving up earlier gains sparked by news of plans to sell off some assets, while AIB dropped 6.8% to €1.50.
Irish airline stocks were mixed as severe disruption to their schedules continued due to the clouds of volcanic ash drifting over northern Europe. Aer Lingus recovered 2.7% to 75 cent but Ryanair was down 2.5% at €3.89.
On Wall Street, markets also fell sharply on the Goldman Sachs news, with the Dow Jones down 1.3% to 11,002 and the Nasdaq also 1.3% lower at 2,484. Goldman Sachs sank 12% just after the news, while other bank shares dropped. Earlier, Tokyo's Nikkei index lost 1.5% to close at 11,102 weighed down by exporters as a stronger yen reduced their earnings prospects. The Hang Seng index in Hong Kong finished 1.3% weaker at 21,865.
