FTSE falls on weaker miners, struggling banks

* FTSE 100 drops 0.1 pct, hovers near 5-month lows

* Miners slip tracking weaker metals prices

* ECB rate decision, U.S. jobs data awaited

By Atul Prakash

LONDON, July 3 (Reuters) - Britain's blue-chip share index fell to its lowest in over five months on Thursday, weighed down by mining stocks, which fell as metal prices softened, and by embattled banks.

By 0840 GMT, the commodity-heavy FTSE 100 .FTSE was down 5.8 points, or 0.1 percent, at 5,420.5, after losing nearly 1 percent in the previous session.

Record-high crude oil prices continued to deepen inflation concerns and threatened to drag on global economic growth, analysts said, adding investors remained cautious towards investing heavily in equities.

"It's just really bad sentiment at the moment, which is driving the market lower. There is a bit of nervousness over the data that is due out today," said Angus Campbell, head of sales at Capital Spreads.  Continued...