Commodities drag FTSE lower

By Simon Falush

LONDON (Reuters) - The top share index fell 0.6 percent on Tuesday as geopolitical risks impacted commodity stocks, but losses were limited by surprisingly strong U.S. consumer sentiment data.

The FTSE 100 lost 34.9 points to 5,470.7, but recovered from the day's low of 5,369.3, as the U.S. Conference Board reported better-than-expected consumer confidence numbers.

This boosted stocks globally, though the FTSE stayed in the red as stocks factored in declines in other benchmark indices from Monday, which was a stock market holiday in the UK. The index had rallied 2.5 percent on Friday.

"There was a good showing on the back of ... (the) U.S. data which partially offset falls in the resources sectors," said Gareth Evans, UK equity strategist at UBS.

Energy stocks were the top-weighted loser on the index, benefiting little from a recovery in crude prices to $117 a barrel. BP, Royal Dutch Shell, gas producer BG Group, Cairn Energy and Tullow Oil shed 0.4 to 3.0 percent.

Miners also fell, suffering as copper futures traded lower on concerns about global demand. Stocks in the sector linked to the Commonwealth of Independent States fell after Russia recognised the breakaway regions of South Ossetia and Abkhazia as independent states.

London-listed Ukrainian iron ore producer Ferrexpo was the FTSE's biggest loser falling 8.8 percent, while Kazakhmys fell 3.5 percent and Eurasian Natural Resources shed 3.1 percent.

Other miners also lost ground, with Xstrata, Anglo American, Vedanta Resources and Antofagasta off between 0.8 and 2.6 percent.