Britain's FTSE 100 closed lower on Monday, as tensions between the United States and China over the origins of the coronavirus outbreak outweighed support from drugmakers and oil firms.
After falling nearly 1% at one point, the internationally-focussed FTSE 100 ended down 0.2% as a drop in the pound boosted some exporters. Midcap stocks fell 1.2%.
UK shares still outperformed continental European counterparts, which took a bigger hit on a return to trading after the May 1 holiday.
After US President Donald Trump revived tariff threats against China last week, Secretary of State Mike Pompeo said on Sunday there was "a significant amount of evidence" the virus emerged from a laboratory in the central Chinese city of Wuhan.
An editorial in China's Global Times said he was "bluffing".
"Investors are concerned about what that is going to mean for the US-China relationship, the trade deals they've already got in place, and what that means for the wider economy," said Connor Campbell, financial analyst at SpreadEx in London.
Aero-engine maker Rolls Royce was among the biggest decliners, falling 6.9% on news it is considering cutting up to 15% of its workforce as customers slash production and airlines park planes due to a halt in global travel.
Travel and leisure stocks also fell, with shares in easyJet, British Airways-owner IAG and Intercontinental Hotels Group falling between 4.2% and 7.2%.
Broadcaster ITV declined 4.1% as it cancelled popular dating show Love Island because of the pandemic and said there would not be a new series until 2021.
Oil majors Royal Dutch Shell and BP recovered from last week's slump, gaining 2.7% and 0.6% respectively even as oil prices were mixed.
The wider pharmaceuticals and biotechnology index gained 2.5%, with Hikma jumping 5.9%.
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