A slew of lacklustre manufacturing data left London's blue-chip share index lower today, putting paid to an initial rally which had sent it above the 7,000 mark in early trading.
The FTSE 100 Index began the session positively, following Asian markets higher after a weak Chinese reading prompted hopes of more stimulus measures for the world's second biggest economy.
But sluggish manufacturing data from the UK and Europe proved a drag on sentiment leaving the index down 30.9 points at 6953.6.
Monthly figures for May showed Germany at a three-month low with a reading for French manufacturing, though at a 12-month high, still in contraction. Frankfurt's Dax was slightly ahead, as was the Cac 40 in Paris. The Dow Jones Industrial Average in New York also edged up in early trading.
In Britain the sector managed a slight uptick after April's seven-month low but the lacklustre performance threw into doubt hopes for a rebound for overall UK growth in the second quarter after a slowdown to 0.3 per cent at the start of 2015.
The pound fell a cent against the US dollar to 1.52 while it was flat against the euro at 1.39.
Among the FTSE 100 climbers was state-backed Lloyds Banking Group, adding one per cent after Chancellor George Osborne announced the extension of a trading plan to sell down the taxpayer stake in the bailed-out lender by a further six months.
The Treasury has already raised £3.5 billion by disposing of six per cent of the group, taking its share to below 19 per cent, since the plan was launched at the end of last year, and it has now been extended until the end of December. Lloyds rose 0.9p to 88.7p.
AstraZeneca enjoyed an early rally after analyst optimism over the latest news on its drugs pipeline, but later slipped back closing down 6p to 4366.5p.
Commodities firms were lower in the wake of the weak Chinese data, with Fresnillo off 5p to 754.5p, Anglo American down 23p to 1003p and Glencore shedding 6.2p to 281.75p.
A strong climber on the FTSE 250 was semiconductor firm Imagination Technologies, with shares in the Hertfordshire-based group up almost seven per cent on chatter that it could be a takeover target. The stock climbed 14.5p to 233.7p.
Meanwhile outside the top 350 firms, Real Good Food surged on a well-received trading update revealing that it expected to report net sales of £104 million and underlying earnings of £5.3 million for the year to the end of March.
With the cake decoration, ingredients and bakery group also saying that trading in the early weeks of the new financial new year had "continued in a positive fashion", shares rose nine per cent, or 4p, to 47.5p.
The biggest risers in the FTSE 100 Index were Ashtead up 31p at 1151p, Dixons Carphone up 9.3p at 484.7p, International Airlines Group up 6.5p at 560.5p and British Land up 10p at 872p.
The biggest fallers in the FTSE 100 Index were Weir Group down 68p at 1956p, Anglo American down 23p at 1003p, Imperial Tobacco down 64p at 3306p and Standard Chartered down 17.5p at 1028.5p.
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