Britain's top shares edged lower on Monday, with the benchmark FTSE 100 index struggling to break through fresh five-year highs as investors temper long-term bullishness with short-term caution.
The FTSE 100 was down by 0.2%, or 13.90 points lower, at 6,314.36 points by 0813 GMT, in what is expected to be a quiet session with little macro economic and corporate data for investors to chew on and the U.S. equity market closed for the President's day holiday.
Analysts at Nomura warned in a note that sentiment towards global equity markets had become even more extended last week with its systematic mutual flow indicator reaching two standard deviations for the first time since May 2006.
"We would regard such extreme bullish levels of sentiment to act as a contrarian signal of equity market weakness over a short-term horizon," it wrote.
Miner Anglo American was among the top fallers, down 0.7% as investment banks began revising their earnings estimates for the company downwards following results on Friday.
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