Broker downgrades knock FTSE 100 off six-month high

A brace of broker downgrades released today has knocked London’s leading share index off its six-month high.

The FTSE 100 was down 0.85% or 49 points to 5,733 at 12.15pm as investors turned more risk averse following Royal Bank of Scotland's move to downgrade financial services groups Hargreaves Lansdown and Ashmore.

Analysts cut Hargreaves Lansdown's rating from 'hold' to 'sell' and switched Ashmore from a 'buy' recommendation to a 'hold'.

The downgrades promoted investors to sell out of the stocks, with Hargreaves Lansdown down 2.98% to 433p and Ashmore posting a decline of 3.46% to 351p.

Financials also came under pressure, resulting in Lloyds, RBS, and Barclays all posting declines in excess of 4%.

Elsewhere in Europe, the French Cac was down 1.19% to 3,298 and the German Dax slipped into the red, losing 1.15% to 6,362.