Market update: Profit-taking leaves markets lower

On Tuesday the Dow Jones closed flat while the S&P 500 finished the trading day down 0.2%. Defensive sectors, led by telecoms and healthcare, were among the risers, while those sectors more closely tied to the global economy cooled. Shares in fast-food chain, Yum! Brands, closed 1.3% higher after revealing that business in China picked up in February. Meanwhile, Google slipped 0.9% after agreeing to pay $7m in a settlement with 38 US states for violating privacy rights.

In early morning trading the FTSE 100 has opened down 0.6% while the FTSE Eurofirst 300 is down 0.2%. Prudential rose 3% after the insurer reported a 25% increase in annual operating profit and lifted its dividend 16%. Shares in G4S fell 2.9% after its annual numbers met forecasts. The company reported a 6% rise in annual profit, excluding the contribution of its contracts from the London 2012 Olympic Games.