LONDON, May 22: Britain’s FTSE 100 share index was dragged lower by heavyweight oil and banking stocks on Wednesday, with the market fearful of a clash between India and Pakistan and fresh attacks on the United States.

Standard Chartered dropped nearly three per cent amid worries over its exposure in India. Tech names such as Logica, Sage and ARM Holdings suffered as investors deserted them for defensive plays.

The FTSE 100’s leading share index, fell for the fifth session, closing 45.3 points or 0.9 per cent lower at 5,151.9, at its weakest for two weeks.

Volume was brisk at 2.1 billion shares. Losers outnumbered gainers by three to one among the biggest 100 stocks.

Oil stocks were the main drag on the FTSE after crude prices fell late on Tuesday, wiping

13 points from the index, sparked by figures showing a rise in supplies. BP was down 2.1 per cent and Shell lost 0.7 per cent.

Banks took a further 11 points from the market.

DOLLAR SURGES: The dollar surged against the yen on Wednesday after the Bank of Japan stepped into currency markets to sell yen for dollars in a bid to halt the recent rise of the Japanese currency.