Weak oil price drags down FTSE 100

The London market was rooted in the red as blue-chip stocks continued to suffer in response to the weak oil price.

The FTSE 100 Index closed down 15.16 points to 7,424.13 despite Brent crude crawling back above $45 a barrel after a fall in the dollar.

The greenback sank against a range of currencies after traders questioned the strength of the US economy after updates on the nation’s services and manufacturing sectors came in shy of expectations.

Brent crude was up 1% to $45.68 a barrel, with oil major Royal Dutch Shell B dropping 1p to 2,096.5p and mining giant Antofagasta falling 2.5p to 772p.

Germany’s Dax fell 0.4% and the Cac 40 in France slipped 0.3% despite economic activity in the eurozone touching a sixyear high in the second quarter.

In UK stocks, ITV raced ahead after being handed a broker upgrade from JP Morgan to overweight from neutral.

Shares in the broadcaster climbed more than 3%, or 5.9p to 182.8p.

BAE Systems slipped 14.5p to 650p after being downgraded by JP Morgan to neutral from overweight.

Shares in ITV rose by more than 3%.