Egg stock slips back under pressure

NEWS Shares in UK online bank Egg dropped below its issue price for the second time this week amid fear of competition from high street banks. The shares dropped 8.3 per cent to 150p, ten pence less than its original flotation price. Prices dropped again on the news that Goldman Sachs, which handled the flotation, had stopped trading in an attempt to stabilise shares. But analysts are predicting the low cost model of the internet banks has run its course as bricks and mortar banks fight it out with the newcomers. On Monday HSBC cut home loan rates by one per cent sparking warnings of a mortgage price war.