UPDATE 2-FTSE 100 ends flat as banks, consumer discretionary stocks weigh

(For a Reuters live blog on U.S., UK and European stock
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* Banks biggest drag on FTSE 100

* Stay-at-home order ends, outdoor sports restart

* FTSE 100 down 0.08%, FTSE 250 off 0.2%
(Updates to close)

By Shivani Kumaresan and Amal S

March 29 (Reuters) - London's FTSE 100 ended flat on Monday,
as weakness in banks and consumer discretionary stocks
outweighed gains in defensive sectors, although further easing
of lockdown measures in England paved the way for a pickup in
economic activity.

The blue-chip FTSE 100 index ended down 0.08%, with
bank stocks including HSBC Holdings, Barclays
and Prudential Financial Inc falling between 1% and
1.8%.

Consumer discretionary stocks, including Flutter
Entertainment, Compass Group, Entain PLC
and Persimmon plc were among the top decliners.

Meanwhile, defensive plays including consumer staples,
healthcare and utilities were among the top advancers.

"An easing of restrictions in England failed to act as a
catalyst for the FTSE 100," said Russ Mould, director at AJ Bell
investment.

"With both Credit Suisse and Nomura warning of a hit in the
fallout from the saga, investors have been reminded of the
interconnectedness of the global financial system and how this
creates a risk of contagion when something goes wrong."

Nomura and Credit Suisse both flagged significant losses
following transactions with an unnamed U.S. client, although
both announcements came after Archegos Capital Management roiled
financial markets on Friday with a number of significant block
trades.

A raft of global stimulus has helped the FTSE 100 recover
more than 37% from a coronavirus-driven crash last year, but a
recent rise in COVID-19 cases across Europe has dampened
investor sentiment.

Prime Minister Boris Johnson urged Britons to be cautious as
a stay-at-home order and some other lockdown measures ended,
citing rising cases in other parts of Europe and the threat
posed by new variants of the virus.

The domestically focused mid-cap FTSE 250 index
slipped 0.2%, dragged down by industrials stocks.

Online car seller Cazoo Holdings Ltd said it had agreed to
go public in New York through a merger with AJAX I Acquisition
Corp, a blank-check acquisition company led by
billionaire U.S. investor Dan Och.
(Reporting by Shivani Kumaresan and Amal S in Bengaluru;
Editing by Subhranshu Sahu and Bernadette Baum)