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* Blue-chip FTSE 100 index falls 0.1 pct
* Smith & Nephew, Shell among top losers
* Rolls-Royce jumps on positive outlook
By Atul Prakash
LONDON, July 28 (Reuters) - Britain's top share index dippedon Thursday after hitting a one-year high in the previoussession, with Smith & Nephew and Royal Dutch Shell falling afterpoorly received trading updates.
The blue-chip FTSE 100 index fell 0.1 percent to6,742.22 points.
The mid-cap index rose 0.4 percent, helped by a 13percent jump in Sports Direct after it announced a planto buy back shares, and a 7 percent rise in Just Eat to arecord high after it upgraded full-year guidance.
The FTSE 100, whose international companies are less exposedto any weakness in the domestic economy arising from Brexit, isup 6.5 percent since the Brexit vote, while thedomestically-focused mid-cap index trades just above itspre-Brexit level.
"The FTSE 100 is seeing some weakness as earnings from someheavyweight companies have disappointed. Given the recent runhigher..., it would not be surprising to see a further pullbackin the next sessions," said Jawaid Afsar, senior trader atSecurequity.
But he said further upside could be on the cards, with 6,900a target in the next few weeks.
Shares in Smith & Nephew fell 4 percent, the topdecliner in the FTSE 100 index, after Europe's biggest maker ofartificial knees and hips said it continued to struggle withweak demand for its products in China.
Royal Dutch Shell fell 3.7 percent after reportinga more than 70 percent fall in quarterly profit, well belowanalyst estimates.
Lloyds, which plans to accelerate a cost cuttingplan, fell 3 percent on concerns about its dividend.
"Lloyds still has a robust capital position ... However,lower capital generation impinges on the bank's ability toreturn cash to shareholders," Said Laith Khalaf, senior analystat Hargreaves Lansdown.
"Lloyds has increased its interim dividend significantly,but if the Brexit axe is to fall anywhere it's likely to be onthe special dividend at the end of the year."
The blue-chip FTSE index was underpinned by a sharp rally inshares of some companies following updates.
Engineering firm Rolls-Royce surged more than 13percent after reaffirming profit would improve in the secondhalf of the year. It also said its turnaround plan would delivercost cuts at the top end of a guided range.
Miner Anglo American was up 5.8 percent after sayingits net debt had fallen and that a cost-cutting and asset-salestrategy was on track. (Reporting by Atul Prakash; editing by John Stonestreet)
