FTSE Shares That Plunged This Week


LONDON -- What a week the FTSE 100 has had! In line with most of the world's stock markets, the index of top U.K. stocks plunged on Thursday on news that the Federal Reserve is likely to start winding down its quantitative-easing policy later this year. The index crashed 189 points on the day of the announcement and slipped a further 43 points on Friday to end the week at 6,116, down 3%.

It was pretty much carnage across the whole of the index over the week. Here are four notable fallers.

Britain's banks were also hit by a report from the Prudential Regulatory Authority, which revealed a shortfall of 27.1 billion pounds in capital funding requirements across the sector. Barclays, short by 3 billion pounds, was hard hit, with its share price losing 13 pence (4.4%) on the day of the announcement, and 16 pence (5.4%) over the week, to end at 282 pence. Barclays says it is confident it can exceed the required 7% Tier 1 ratio by the end of the year.

Anglo American
The hard-hit mining sector was again punished, as any let-up on economic stimulus is likely to hit demand for commodities. One of the biggest fallers this week was Anglo American, whose price dropped by a further 74 pence (5.2%) to 1,352 pence over the week. After a steady slide since the start of the year, shares in the diversified miner have now slumped by more than 30% over the past 12 months. Still, forecasts put Anglo American at a P/E of just 10, so could there be a recovery bargain there?

Designer fashion firm Burberry had another poor week, with its price falling 80 pence (5.8%) to close at 1,290 pence. Having soared over the past five years with sales to the Asia Pacific region, particularly China, growing strongly, the stock has faltered of late as economic growth in the People's Republic starts to slow. Overall, the Burberry price has had an erratic year, and it is just in negative territory over the past 12 months while the FTSE 100 has gained 12%.

Security company G4S is our fourth loser this week, sliding 9.8 pence (4.1%) to a 52-week closing low of 232 pence. The firm famously ran into problems over its London Olympics security contract, and in more recent drama at the end of May, CEO Nick Buckles stepped down to be replaced by Ashley Almanza. The G4S price is now down 26% from the year-high of 315 pence set on April 23.

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Alan Oscroft has no position in any stocks mentioned. The Motley Fool recommends Burberry Group. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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