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Comment (EUROPEAN stock exchanges suffered sharp falls today on fresh fears for the health of the banking sector sparked by a report from Goldman Sachs.
The US investment bank said in a note it had lowered its 2008-2010 forecasts for more than 40 European banks, warning that some of them may have to raise between €60 billion ($98.25bn) and €90bn to shore up finances in the face of a nearly year-long credit crisis.
In London the FTSE 100 shed 1.16 per cent to close at 5412.80 points, while in Paris the CAC 40 fell 1.80 per cent to 4266. The Frankfurt Dax lost 1.28 per cent to finish at 6272.21.
The Euro Stoxx 50 index of leading eurozone companies closed 1.67 per cent in negative territory at 3275.20.
Wall Street was closed for the Independence Day holiday.
In London banks were also hurt by news that TPG, a US investment fund, had decided against taking a stake in Bradford and Bingley after Moody's lowered its recommendation on the...
