Last checked at 
* FTSE 100 down 0.4%, FTSE 250 down 0.3%
* Miners, HSBC slip as trade uncertainty prevails
* British Airways owner falls after cutting forecast
(Adds news items, analyst comment, updates share prices)
By Shashwat Awasthi
Nov 8 (Reuters) - Falls for mining stocks and a 2% drop in
British Airways owner IAG led London's FTSE 100 lower
on Friday, as doubts about a U.S.-China trade deal halted a
five-day winning streak for European markets.
The main index was down 0.3%, with miners
and Asia-focused bank HSBC lower, while
IAG was down the most in more than a month after
cutting its capacity growth and profit forecast.
The FTSE 250, up more than 1% to a three-week high
on Thursday after two Bank of England policymakers unexpectedly
voted for lower interest rates, shed 0.4%.
Positive trade signals this week, including a report that an
agreement between China and the United States to roll back
tariffs as part of a "phase one" trade deal was all but done,
had spurred a fresh round of bets on shares.
Some of that optimism faded after sources familiar with the
talks said the plan faced opposition on multiple fronts but the
FTSE was still on track to bag more than 1% in gains this week.
Analysts said signs that both countries had moved towards a
resolution were helping the market avoid steep losses.
"Despite the lack of detail and a concrete timeline for even
signing an interim trade deal, progress does at least appear to
be being made," OANDA analyst Jeffrey Halley said.
A 12% surge for Warhammer-owner Games Workshop
following upbeat forecasts, helped keep the mid-cap index on
course for its best week in four.
However, in a sign that worries over Brexit had far from
receded, data from Halifax showed British house prices rose at
their slowest annual pace in 6-1/2 years last month which led
housebuilders lower.
Blue-chips Persimmon, Barratt and Berkeley
eased more than 1% each.
Lloyd's insurer Beazley advanced 5.4% after it said
year-to-date returns on investment had surged as falling U.S.
yields boosted gains in its fixed income portfolio.
That followed a dive in shares of bigger rival Hiscox on
Thursday, the latest sign of concerns over a jump in catastrophe
claims due to hurricanes and other natural disasters.
"In the context of widespread concerns about U.S. casualty,
the reminder that Beazley began opening their loss estimates at
a higher level in 2018 is reassuring," Jefferies analysts wrote.
(Reporting by Shashwat Awasthi and Muvija M in Bengaluru;
editing by Patrick Graham)
