"Political developments in Europe are weighing on indices"
- Rupert Osborne, a futures dealer at IG Index
U.K. stocks declined sharply on Monday after manufacturing in the single currency bloc contracted by more than expected in April.
The benchmark FTSE 100 Index lost 1.85%, or 106.58 points, to 5,665.57. The FTSE All-Share Index fell 1.89%, or 56.62 points, to 2,944.06.
"Political developments in Europe are weighing on indices," Rupert Osborne, a futures dealer at IG Index in London, wrote.
"Some resistance in the Netherlands coalition to agree on austerity measures has added to the week's negative start. Manufacturing data out of China is playing its part."
"The flash PMI signaled a faster rate of economic contraction in the eurozone during April, extending what appears to be a double-dip recession into a third consecutive quarter," said Chris Williamson, chief economist at survey-compiler Markit.
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