Positive US data fails to lift London market

More positive signs from the US failed to lift London’s leading shares index today as fears over the eurozone and a credit agency warning to banks rattled investors.

The FTSE 100 Index closed 6.8 points lower at 5885.4 despite gains on US markets after the Commerce department said builders started work on 1.5% more homes in January than in December in another sign that the world’s largest economy was on the mend.