The FTSE 100 share index dropped 1.2 per cent on Monday following poor performances by banks, miners and housebuilders.

The FTSE 100 dropped 70.8 points down to 5,629.1.

Miners all saw their values drop with Antofagasta, Vedanta Resources and Rio Tinto all dropping between 6-8 per cent each.

Rising oil prices helped to edge up BP and Royal Dutch Shell who rose 1 and 0.5 per cent respectively.

HSBC saw its shares go up 1.5 per cent following reports that it would be attempting to raise its stake in China's Bank of Communications.

HSBC however, along with Alliance & Leicester, proved to be the exception rather than the rule with all other banks dropping in value.

Standard Chartered went down two per cent, whilst insurer Friends Provident went up 0.8 per cent after reports of a possible bid for the company by JC Flowers.

Housebuilders also had a bad day, with Taylor Wimpey, Persimmon, Barratt Developments and Compass Group all dropping 4-7 per cent each. Bovis Homes was hit particularly hard, dropping 12.4 per cent.

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