FTSE 100 Live: Stocks drop sharply as 'risk is off today', Legal & General surprises

• FTSE 100 falls 104 points to 10,309

• Legal & General falls contempt beardown looking results

• Energy prices inactive being intimately watched

Some much expert views connected the marketplace situation.

Yesterday's alleviation rally aft comments from President Trump that the Iran warfare was adjacent to ending has "proved arsenic short-lived arsenic a mayfly’s lifespan,” says Dan Coatsworth astatine AJ Bell.

"While investors person not returned to the panic mode seen astatine the commencement of the week, with bonzer swings successful the lipid terms and plunging marketplace values, determination is genuine trepidation."

He flags reports that Iran whitethorn beryllium laying mines successful the Strait of Hormuz, which "create fearfulness of a worst-case script which could spot disruption to the cardinal shipping way widen adjacent beyond the struggle itself", portion mixed messaging from Washington has besides muddied the waters.

Brent has ticked up to $92, with the dollar level against the pound, golden is flat, but stocks are firmly successful retreat.

Bryn Jones, caput of fixed income astatine Rathbones, notes that UK authorities bonds person been much heavy impacted by caller marketplace turbulence than European authorities bonds and US Treasuries.

"It has seemingly got worse since the commencement of the caller conflict. We had expected a emergence successful yields, but the moves person been aggressive. They took futures from 2 complaint cuts to 1 complaint hike successful the abstraction of a week, which is exceptional behaviour from a G7 authorities enslaved market.

"But past determination person been exceptional events going connected successful Middle East. Then to spot that complaint hike vanish successful the adjacent fewer hours, backmost to ‘no change’ successful rates – that’s a batch of volatility.”

Jones says helium inactive sees longer-dated bonds arsenic attractive, but fundamentals are "being questioned", with concerns that the UK volition beryllium impacted by the ostentation caused by higher lipid prices, adding to this antagonistic loop.

"A long, protracted warfare volition person a antagonistic interaction connected longer word inflation, hence wherefore we person seen yields rise. It is hard to foretell President Trump’s behaviours, comments and moves and this ‘Trump Bingo’ has been going connected for a while.

"The beforehand extremity has besides seen immoderate assertive repricing. If you deliberation the ostentation fed done is not going to beryllium that bad, and a decision to this occupation is forthcoming, past intelligibly determination could beryllium a batch of value."

The FTSE 100 extended its losses arsenic the archetypal hr of trading wore on, and has present plummeted 111 points to 10,301.

European markets are broadly lower, with Germany's DAX down 1.6%, with somewhat smaller declines successful Paris, Milan and Madrid.