Stock markets moved lower this evening as some of the euphoria from the US government's weekend takeover of mortgage giants Fannie Mae and Freddie Mac faded and fresh fears about the US bank sector emerged.

In London, the FTSE ended down 31 points (0.6%) at 5,416, led by heavyweight energy and mining stocks as oil prices fell. In Paris, the CAC lost 1% to 4,293 and in Frankfurt the DAX shed 0.5% to 6,233.

In Dublin, the ISEQ closed down 10 points at 4,559, with pharmaceutical company Elan losing 26 cent to €8.77 and bookmaker Paddy Power dropping 52 to €13.50. But Ryanair added 16 cent to €2.80 as oil prices fell towards $101 a barrel.

US stock markets swung lower as shares in investment bank Lehman Brothers plunged on fears it would not be able to raise new capital. The Dow Jones was down 76 points at 11,435 and the Nasdaq fell 14 to 2.215. After yesterday's strong gains, Japanese share prices closed down 1.77% as investors took profits. Tokyo's Nikkei 225 index lost 224 points to end at 12,401.