FTSE ends lower

By Michael Taylor

LONDON (Reuters) - The leading share index ended lower during a choppy session on Thursday as corporate updates offered a mixed picture, while higher crude prices helped buoy oil companies but raised inflation concerns.

The benchmark index was little affected by the Bank of England's holding interest rates at 5 percent for the fourth straight month.

The FTSE 100 lost 8.6 points or 0.2 percent at 5,477.5 after gaining 0.6 percent in the previous session. The bluechip index is now down 15.2 percent for the year to date.

"No change was by far the market consensus, despite the minutes from the previous meeting showing a three-way split," said Martin Slaney, head of derivatives at GFT Global Markets, referring to the Bank's decision.

"The reality is that despite a clearly slowing economy, the twin evil of rising inflation simply rules out any possibility of a majority decision in favour of a cut or a hike in rates for now."

Oil and gas producers were the top gainer by sector, helped by crude prices that rose toward $120 a barrel as supply concerns returned to centre stage.

BP, Royal Dutch Shell, gas producer BG Group, Cairn Energy and Tullow Oil added between 0.5 and 3.4 percent.

British Airways dipped 4.9 percent however, as traders pointed to the rising energy costs.