Weak commods drag FTSE

By Simon Falush

LONDON (Reuters) - Weaker crude and metal prices sent energy stocks and miners sliding, dragging the top share index down 1 percent to its lowest close in more than two months Monday.

The FTSE 100 index ended down 41.37 points at 4,194.91, its weakest close since April 29, though strength in defensive stocks prevented a sharper decline.

Miners, hit by softer metal prices, were the main drag on the index.

Lonmin was the heaviest top-flight faller, down 8.5 percent, while Xstrata, Kazakhmys Anglo American and BHP Billiton shed 5 to 7.5 percent.

Rio Tinto shed 7 percent after it agreed to sell its Americas food-packaging assets for $1.2 billion (740 million pounds) to packaging group Bemis, raising more much-needed cash for the indebted miner.

The fall on London's blue-chip market mirrored weakness in Europe, Asia and on Wall Street as weak jobs data Thursday cast a long shadow over the investment outlook.

The FTSE 100 index has surged more than 21 percent since hitting a six-year trough in March, though it is still down 5.4 percent for the year.

"The payrolls data was a sign that expectations were running ahead of reality, and it was a catalyst for a return to negative sentiment, which has continued through to today," said Peter Dixon, economist at Commerzbank.