LONDON: British top equity index traded lower on Wednesday, with the market's earlier gains fizzling out as oil prices fell, while shares in ITV and Intertek also declined.
The blue-chip FTSE 100 index initially opened higher but then gradually lost ground and was down 0.4 percent at 6,130.40 points by the middle of the trading session.
The FTSE is down by around two percent since the start of 2016, and 14 percent below an April 2015 record high. Television and media group ITV fell 3.4 percent, as the company's cautious outlook about its advertising revenue offset more positive factors such as higher earnings and a special dividend payout.
"It would appear that a drop in viewing numbers on its main ITV channel has raised concerns that despite rising advertising revenues, the company is losing market share," said CMC Markets UK chief market analyst Michael Hewson.
Intertek, which carries out tests to ensure the safety of products, also fell 4.3 percent as its annual results underwhelmed some investors while Goldman Sachs cut its price target on the stock.
Traders added that a fall in the price of oil was also weighing on the FTSE 100, along with data showing that the Markit/CIPS UK Construction Purchasing Managers' Index (PMI) unexpectedly dipped to a 10-month low in February.
Oil prices fell after an industry report showed a rise in US crude stockpiles to a new record level, with shares in BP and Royal Dutch Shell both down.
"A weaker than forecast construction PMI has not helped, neither has the sustained slip in oil prices," said Spreadex analyst Connor Campbell.
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