Soaring oil prices sent the FTSE 100 Index falling

London's blue-chips shed more than 1% after soaring oil prices and losses for heavyweight sectors undermined trading.

Banks and mining stocks featured on the fallers board as the FTSE 100 Index closed 66.1 points lower at 6204.7, with a tough start on Wall Street adding to the pressure.

Market nerves were frayed by oil prices reaching yet another new record above 126 dollars a barrel, while trade figures added to concerns over the US economy - sending the Dow Jones Industrial Average 1% lower early on.

In London, Carphone Warehouse was the session's worst performer, down more than 7% as investors expressed disappointment with Thursday's announcement of a £1.1 billion deal with US consumer electronics group Best Buy.

A sell recommendation from Citigroup in the wake of the retailer's plans to create a European consumer electronics empire sealed the group's share prices woes, with the firm dropping 21p to 268p.

Banks joined Carphone Warehouse on the back foot as the Footsie mirrored falls for Europe's major indices and shipped some of the steady gains seen over the past days.

With oil trading at fresh records meanwhile, British Airways was a casualty. The airline dropped 10.25p to 228.25p as investors braced themselves for more fuel hikes.

In the second tier, entertainment retailer HMV went into reverse after initial gains following an upbeat trading statement. Shares were down nearly 6%, or 8.5p, at 140.75p.

The four biggest Footsie risers were Experian, up 14.25p to 421.25p, Whitbread ahead 23p to 1395p, Eurasian Natural Resources up 19p to 1307p and Unilever ahead 23p at 1775p.

The biggest Footsie fallers were Carphone Warehouse, down 21p to 268p, Kazakhmys off 128p at 1786p, Sage down 12.75p at 213.75p and Persimmon, which was 35.5p lower at 604.5p.