UPDATE 2-London stocks battered for fourth day on virus fears, Fed outlook

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* British stocks track first week lower in four
* Travel and leisure stocks hammered
* U.S. COVID-19 cases now over 2 million -Reuters tally
* Fed's gloomy economic outlook dampens mood further
* FTSE 100 tumbles 4%, FTSE 250 slides 3.6%

(Updates prices to close, adds milestones)
By Shreyashi Sanyal and Shashank Nayar
June 11 (Reuters) - UK stocks slipped for the fourth
straight day on Thursday, with the FTSE 100 index marking its
longest losing streak in three months, hurt by fears of a new
wave of COVID-19 infections in the United States and a bleak
economic outlook by the Federal Reserve.
Total cases of the novel coronavirus in the United States
surpassed 2 million on Wednesday, while an expert said the
country may see 200,000 deaths at some point in September.
Furthering worries was the Fed's projection of a 6.5%
contraction in the U.S. economy in 2020, while signalling plans
of years of extraordinary support for an economy facing a long
road back from the COVID-19 pandemic. "The pessimistic outlook from the Fed was not unexpected,
but right now investors are looking at potential declines
further because markets are spooked by the possibility of a
second wave of coronavirus infections," said Joshua Mahoney,
markets analyst at IG Group.
The blue-chip FTSE 100 index .FTSE closed 4% lower. The
British mid-cap index .FTMC fell 3.6%, logging its worst day
in nearly two months.
British stocks are now set for their first weekly fall in
four, with hopes of a quicker economic revival fizzling out as
preexisting worries of the COVID-19 pandemic hammer risk
appetite.
"In the UK, we have gone from a position from market
optimism to a position where clearly, we are not going to see
that kind of drive anymore," Mahoney said.
Travel and leisure stocks took another beating on Thursday,
with Carnival's CCL.L 12% slide leading declines on the FTSE
100 index. EasyJet EZJ.L and Cineworld CINE.L also ended
lower.
Unilever UNA.AS ULVR.L proposed to ditch its dual
Anglo-Dutch legal structure and create a single company in
Britain to give it more flexibility for mergers and
acquisitions. UK-listed shares ULVR.L of the company fell 1%.