Meanwhile, a downturn in manufacturing activity across the euro zone eased in November, according to a survey which suggested that while the bloc’s factories still face a harsh winter, it may not be as bad as initially feared.Credit Suisse dipped 4.4 per cent to hit a fresh record low.
The FTSE 100 finished the day down 14.56 points, or 0.19 per cent, at 7,558.49. Sterling was buoyed by a knock to the dollar following the Fed chairman’s comments, which impacted currency-sensitive stocks such as Shell and BP. In company news, City broker Peel Hunt saw shares slide as half-year profits crashed to just £100,000 due to a dearth of deals and flotations on the London market and as economic woes hammered investor confidence.
US manufacturing activity shrank for the first time in 2.5 years in November as higher borrowing costs weighed on demand for goods, and proved to be a trigger for investors to book profits following a rally in the previous session.