FTSE falls on U.S. data and miners

By Michael Taylor

LONDON (Reuters) - The benchmark share index extended losses to fall by more than 1 percent on Friday as U.S. jobs data weighed, while mining stocks tracked metal prices lower and British Energy BGY.L slipped after a takeover blow.

The FTSE 100 .FTSE ended down 57.2 points, or 1.1 percent, at 5,354.7 and is 17 percent lower for the year to date.

Across the Atlantic, U.S. shares fell to weigh on UK sentiment following GM's (GM.N) big loss, which added to worries about consumer spending, and U.S. employment data.

The U.S. unemployment rate hit 5.7 percent in July, its highest in four years but below analysts' expectations, as employers cut 51,000 non-farm jobs.

Also, U.S. construction spending fell a steeper-than-expected 0.4 percent in June as private home building touched its lowest rate in nearly seven years, a Commerce Department report showed.

Miners were the biggest drag on the index, falling along with weaker metal prices. BHP Billiton (BLT.L), Rio Tinto (RIO.L), Xstrata (XTA.L), Lonmin (LMI.L), Antofagasta (ANTO.L) and Anglo American (AAL.L) were down between 3.8 and 5.5 percent.

Energy stocks also suffered as crude prices traded at about $126 a barrel and heightened inflation concerns. BP (BP.L), Royal Dutch Shell (RDSa.L), BG Group (BG.L) and Cairn Energy (CNE.L) shed 0.1 to 3.1 percent.

"The non-farm payrolls were good and it was all looking rather rosy at 2:30 p.m.," said Mark Priest, a senior trader at TradIndex. "Then oil started to bounce and knocked everything...we've seen a good two or three weeks of falling oil but soon as we see a rally in oil, everyone seems to panic."