Banks drag on FTSE as Dubai fears remain

Shortly after 1pm, the index had fallen 21.22 points, or 0.4%, to 5,290.95. Tuesday saw the FTSE lift 2.3% in its biggest one-day gain since August amid hopes of a return to confidence in the Gulf state. Blue-chip companies led today's dip with RBS down 2.19 points, or 6.38%, to 32.08p and Lloyds down 2.09p to just over 52p. RBS also suffered after reports the Treasury had demanded control over the bank's bonuses. A cautious note from Credit Suisse on the health of UK banking also added to the sector's woes. Energy stocks declined after a 1% slide in the price of crude oil f...