Disappointing figures from two of the world's biggest mining groups weighed on the London market today as blue chips also suffered amid ongoing fears over America's economy-boosting drive.
The FTSE 100 Index fell another 60.1 points to 6405.6 after steep overnight falls in Asia as investors braced themselves for more signs of US Federal Reserve's plans to taper quantitative easing (QE) ahead of the minutes of the central bank's July interest meeting tomorrow and its annual conference on Thursday.
The top tier was hit further by steep falls among miners after commodities giant Glencore Xstrata revealed a 7.7 billion US dollar (£4.9 billion) writedown and 9% profits drop in its maiden set of results since its record-breaking merger in May.
BHP Billiton added to the gloom after it posted a worse-than-feared 15% fall in half-year profits.
Glencore's shares fell 3% or 10.1p to 291.8p, while BHP dropped 60p to 1896p.
There was better news from York-based housebuilder Persimmon as it reported a 40% leap in half-year underlying earnings and pledged to step-up new home construction.
Boosted by the Government's Help to Buy scheme, Persimmon said forward orders were now 21% ahead of a year earlier.
Shares in the recent FTSE 100 entrant rose 9p to 1176p.