(MENAFN- ProactiveInvestors)London's blue-chips were mostly deeply in the red after China's currency devaluation. The FTSE 100 Index shed 72 points or 1.06% at 6665 after the Chinese government allowed its currency to fall to three-year lows against the dollar this morning with an overall 2% decline in value. It represented a 'one-off depreciation' designed to combat the news from the start of the week that exports had faced their biggest fall in four months. The move sent shock waves through global markets as dealers pondered its possible impact on prospects for a US interest rate rise. Bearing the brunt of the pain were commodity plays such as Vedanta Glencore BHP Billiton Anglo American and Antofagasta but fashion chain Burberry (LON:BRBY) which counts China as a major market also took a fall shedding 4.4%. At least there was some cheer in Europe where Athens made progress in talks to secure its third bailout ahead of a ratification vote on Wednesday and potential approval by Eurozone finance ministers at the end of the week. On the corporate front bookmaker Ladbrokes (LON:LAD) slipped 2p to 108p as it reported lower profits but vowed to press ahead with changes including its planned merger with Gala Coral. Retailer Card Factory (LON:CARD) fell 8.9p to 358p despite an upbeat trading update. Support services group Serco (LON:SRP) declined 1.5p to 124p after reporting a better-than-expected first half. Just Retirement Group (LON:JRG) backtracked 5.5% to 187.8p as it announced plans to merge with Partnership Assurance in a £668.5mln deal. Also in the insurance and pensions sector the Prudential (LON:PRU) climbed 70p to 1577p making it the Footsie's top performer on news of higher profits despite controversial changes in UK pension rules. Also on the rise was Oracle Coalfields (LON:ORCP) as its coal price petition for the Thar thermal power project in Pakistan was admitted. The shares shot up 18.9% to 1.58p. Sector peer Hargreaves Services (LON:HSP) heated up 11% to 355.75p to 364.75p as the coal supplier and transport group outlined plans to move into renewable power and biomass to guard against falling coal prices. PCG Entertainments (LON:PCGE) returned from suspension at 4.375p after it finally completed a 'transformational' acquisition. The AIM firm this morning announced it was acquiring the profitable software distributor Center Point Development in a share-based deal starting at just under $10mln. PCG's shares were suspended at 5.25p way back in mid-February. North River Resources (LON:NRRP) was another faller as it said it is unlikely to survive if investors fail to back a US$4mln finance package from major shareholder Greenstone. Shares plunged 14.6% to 0.24p.
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