World Economy

FTSE 100 Slips From 14-Year High

FTSE 100 Slips From 14-Year HighFTSE 100 Slips From 14-Year High

Britain's top shares fell back today from recent 14-1/2 year highs as under-pressure metals prices took their toll on mining stocks, though shares in oil major BP managed a recovery.

Shares with exposure to Russia got a lift when Ukraine and pro-Russian rebels agreed a ceasefire, with BP, which owns 20 percent of Russia's largest oil producer Rosneft, the top blue-chip riser.

But a 1 percent drop from miners dragged on the UK benchmark as gold and iron ore prices came under pressure.

Precious metal miners Fresnillo and Randgold Resources were the worst off, down 4.6 percent and 4.1 percent respectively.

The FTSE 100 closed down 22.87 points, or 0.3 percent, at 6,855.10 points, falling back from a 14-1/2 year high of 6,904.86 points reached on Thursday when the European Central Bank surprised markets by cutting interest rates.

The index is up 5 percent since early August, partly in anticipation of the ECB's largesse. But it is yet to sustain a move above 6,900 points – a key hurdle on the path towards record highs.

"The inability to hold above 6,900 is the worrying sign in the short term but I wouldn't call the end of this upward move just yet," Chris Beauchamp, a strategist at IG, said.

A weak US jobs report reassured investors the Federal Reserve would not speed up plans to hike interest rates, with non-farm payrolls having grown by 142,000 last month, far below the 225,000 increase forecast by analysts in a Reuters poll.

While this saw the UK benchmark slightly pare back its losses, it remained in negative territory.