FTSE ends lower, weighed down by commodity shares

* FTSE 100 falls 0.6 pct * Commodity stocks fall on weaker metal prices

* Liberty International surges on stake build

By Simon Falush

LONDON, Aug 26 (Reuters) - Britain's top share index fell 0.6 percent on Tuesday as geopolitical risks impacted commodity stocks, but losses were limited by surprisingly strong U.S. consumer sentiment data.

The FTSE 100 .FTSE lost 34.9 points to 5,470.7, but recovered from the day's low of 5,369.3, as the U.S. Conference Board reported better-than-expected consumer confidence numbers.

This boosted stocks globally, though the FTSE stayed in the red as stocks factored in declines in other benchmark indices from Monday, which was a stock market holiday in the UK. The UK index had rallied 2.5 percent on Friday.

"There was a good showing on the back of ... (the) U.S. data which partially offset falls in the resources sectors," said Gareth Evans, UK equity strategist at UBS.

Energy stocks were the top-weighted loser on the index, benefiting little from a recovery in crude prices CLc1 to $117 a barrel. BP (BP.L: Quote, Profile, Research, Stock Buzz), Royal Dutch Shell (RDSa.L: Quote, Profile, Research, Stock Buzz), gas producer BG Group (BG.L: Quote, Profile, Research, Stock Buzz), Cairn Energy (CNE.L: Quote, Profile, Research, Stock Buzz) and Tullow Oil (TLW.L: Quote, Profile, Research, Stock Buzz) shed 0.4 to 3.0 percent.

Miners also fell, suffering as copper futures traded lower on concerns about global demand. Stocks in the sector linked to the Commonwealth of Independent States fell after Russia recognised the breakaway regions of South Ossetia and Abkhazia as independent states.

London-listed Ukrainian iron ore producer Ferrexpo (FXPO.L: Quote, Profile, Research, Stock Buzz) was the FTSE's biggest loser falling 8.8 percent, while Kazakhmys (KAZ.L: Quote, Profile, Research, Stock Buzz) fell 3.5 percent and Eurasian Natural Resources (ENRC.L: Quote, Profile, Research, Stock Buzz) shed 3.1 percent.

Other miners also lost ground, with Xstrata (XTA.L: Quote, Profile, Research, Stock Buzz), Anglo American (AAL.L: Quote, Profile, Research, Stock Buzz), Vedanta Resources (VED.L: Quote, Profile, Research, Stock Buzz) and Antofagasta (ANTO.L: Quote, Profile, Research, Stock Buzz) off between 0.8 and 2.6 percent.

Rio Tinto (RIO.L: Quote, Profile, Research, Stock Buzz) reported a 55 percent rise in first-half earnings, boosted by its takeover of Alcan last year and record iron ore production feeding Chinese demand. [ID:nSYD184137]

Rio shares were down 0.6 percent.

London Stock Exchange (LSE.L: Quote, Profile, Research, Stock Buzz) sank 2.7 percent, making it among the top losers on the FTSE 100, hit by increased competition in the sector and general negative sentiment in the finance industry.

BANKS PARE LOSSES  Continued...