The FTSE 100 was set to slip back today after posting big gains in yesterday’s bumper session.

Global trends were the reason for the shift in sentiment, with China’s banking regulator voicing concerns over bubbles in foreign markets just after New York posted its strongest daily gains in nearly nine months.

Asian shares fell sharply, with the Chinese stock index reversing initial gains to plunge more than 1% and Hong Kong’s Hang Seng falling similar amounts.

Given those kinds of falls, expectations for the FTSE 100 were relatively bullish. Traders using the IG platform were calling the market down just 24.3 points at 6554.9 - a creditable performance after Monday’s 105 point rise.

Guo Shuqing, chairman of the China Banking and Insurance Regulatory Commission, said this morning: “I’m worried the bubble problem in foreign financial markets will one day go pop.”

He warned of his concerns that market gains in the US and Europe had been fuelled by super low interest rates and QE which had “seriously diverged” from the real economy.

Frankly, markets have been worrying about the same thing for the past couple of months, but for Guo, this meant inflows of foreign investment into China, which is currently strong, could suddenly fall back if bubbles begin to burst, destabilising his country’s economy.

Wall Street posted some outlandish gains on Monday, with a 2.4% surge on the S&P 500 and a 3% rally on the Nasdaq, triggered by the same fall in government debt yields - interest rates, in normal parlance - as boosted the UK yesterday.

Rishi Sunak, the UK Chancellor, is doing his best to keep London markets optimistic, with the Financial Times saying he will announce in tomorrow’s Budget long-expected rules to liberalise the listing rules for UK stocks.

The idea is to make London more attractive for technology company founders by allowing such freedoms as the ability to float dual-listed shares allowing them to retain more management control to prevent corporate takeovers.

London has lost significant ground to the US, Asia and Amsterdam when it comes to tech listings and Spacs - special purpose acquisition vehicles used to raise money to buy companies.

The proposals will be published in the review by Lord Jonathan Hill, which will be released alongside the Budget tomorrow.