UK Market Down On China Worries

(RTTNews) - The UK market was in negative territory on Monday, as investors continued to be disheartened by fears of a slowdown in China. Earlier this month, China devalued yuan by the most in two decades to cushion its exports, rattling markets globally, and the negative sentiment has continued.

On a day of very little economic news, data showed that the U.K. economy is expected to grow at a faster pace this year as household spending and productivity growth pick up. The Confederation of British Industry forecast 2.6 percent growth this year, up from the prior estimate of 2.4 percent. Similarly, the outlook for 2016 was raised to 2.8 percent from 2.5 percent.

The Euro Stoxx 50 index of eurozone bluechip stocks declined 2.79 percent, while the Stoxx Europe 50 index, which includes some major U.K. companies, dropped 3.29 percent.

The FTSE 100 index declined 2.6 percent.

Standard Chartered dropped 3.8 percent. Schroders and CRH fell 3.6 percent and 3.4 percent, respectively.

Brewer SABMiller fell 3.4 percent and insurer Old Mutual was down 3.2 percent.

Other markets in the region also declined.

The Asian stocks got a dismal start to the week as concerns over slowing growth in China spurred panic selling across the region, prompting many to term it "Black Monday."

In the U.S., futures point to a lower open on Wall Street. In the previous session, the Dow plunged 3.1 percent to enter into correction territory, while the tech-heavy Nasdaq tumbled 3.5 percent and the S&P 500 shed 3.2 percent.

Crude for October delivery dropped $1.64 to $38.81 per barrel, while December gold declined $5.6 to $1154.0 a troy ounce.