By Tara Cunningham
10:08AM GMT 07 Jan 2016
• Chinese stock market plunges more than 7pc
• Automatic suspension of trading kicks in again
• Comes as China accelerates the depreciation of the yuan
• Follows Monday's suspension, which rocked global markets
• Oil drops to $32 a barrel
• More than £46bn wiped off Britain's leading companies
10:07
Is it game over for China?
Many analysts are not confident about the state of the Chinese economy after it guided the yuan lower and Shanghai shares plunged 7pc.
After just half an hour of trading, Chinese stock trading was suspended for a second time this week.
As global shares tumbled for a sixth day in a row and oil prices continued to slide, Joshua Mahony, of IG, warned: "no one knows where this rout will stop and as of yet, the Chinese regulators have yet to show they can instil confidence in any way other than to install draconian measures that limit the function."
"For many in the City, there was a feeling that the show was over before it begun."
09:51
Another disastrous close: Hong Kong stocks plummet
Hong Kong stocks closed this morning at 20,333 - a hefty one day fall of 3.1pc - after China accelerated the depreciation of the yuan - sending shock waves through global financial markets.
Dominic Rossi, of Fidelity International, said: “Global equity markets are now battling the third wave of deflation since 2008.
"The epicentre is not within the developed world nor the financial system but, this time, within the developing world and the global manufacturing sector, where capital allocation has been poor and where overcapacity is rife."
Sterling has eased back ever so slightly after slipping to a five-and-a-half year low earlier this morning.
GBP is currently at $1.4580.
09:26
And so the carnage continues - £46bn down and counting
Things are escalating quickly across financial markets this morning.
Since 8am, the FTSE 100 has fallen 182.9 points, or 3pc, to 5,891.14.
Britain's biggest companies have now lost more than £46bn in morning trade. In 2015, some £80bn was wiped off the index.
European bourses are also nursing hefty losses. The German DAX is now 3.6pc in the red, while the CAC in Paris and the Spanish IBEX are down 3.2pc and 2.9pc respectively.
Recession will be bad, but not as bad as Europe says think tank: A worker on IG Index's trading floor holds his head in his hands as markets tumble
Chaos on trading floors across the world this morning as major financial markets fall sharply.
Sterling sinks to five-and-a-half year low
The pound fell to its weakest level since June 2010 just after 9am this morning.
Sterling dropped 0.4pc to $1.4561 and 0.8pc to 74.26 pence per euro.
UK miners slump to lowest level in 12 years, as copper nears seven-year lows
The FTSE 350 mining index tumbled to its lowest level since June 2004.
Anglo American is the biggest faller this morning down 9.7pc to 244.3p. Glencore is not far behind - falling 6.5pc to 80p. Antofagasta and BHP Billition have slipped by around 6pc in early trade.
The move downwards comes as copper plunged to near seven-year lows this morning amid chaos in Chinese stock markets. The market mayhem has fuelled concerns demand from the world's biggest metals consumer is waning. Three-month copper on the London Metal Exchange fell by 2.5pcto $4,503 a tonne.
FTSE dips below 6,000 mark - £36bn wiped off index in 30 minutes
The FTSE 100 has fallen below 6,000 for the first time since mid-December. In the first half hour of trading, the blue chip index slumped 141.7 points, or 2.34pc, to 5,930.33.
In a mere 30 minutes more than £36bn has been wiped off the value of Britain's leading companies.
With market mayhem in China, sliding oil prices and geopolitical tensions at the fore, Andy McLevey, of Interactive Investor, said: "Investors are scurrying to the sidelines and even these current levels may not be enough to tempt many back short term as the uncertainty continues."