Defence stocks fall as BAE Systems drag
Bank of Georgia tops FTSE 250 on higher HY profit
Precious metal miners shed as gold dips
FTSE 100 down 0.3, FTSE 250 off 0.6

Aug 17 Reuters UK stocks extended declines on Thursday, dragged by losses in defence stocks, while global sentiment turned cautious after minutes from the U.S. Federal Reserve39;s July meeting were perceived to be hawkish.

The bluechip FTSE 100 was down 0.3, hovering around onemonth lows and set for a fifth consecutive day of losses. Domesticallyfocussed FTSE 250 dropped 0.6.

BAE Systems was the biggest loser on FTSE 100, falling over 4 after the Britain39;s biggest defence company said it agreed to buy Ball Corp39;s aerospace business for about 5.55 billion in cash.

The aerospace and defence sector index dropped 2.8, leading sectoral losses, while banks led gains with a 0.7 rise.

Bank of Georgia gained over 11.5, leading gains among midcaps, after the company reported higher halfyear profit.

The continued selloff in the FTSE 100 came as recent batch of economic data showed strong inflationary pressures, fanning worries that the Bank of England might keep rates elevated for longer.

Ultimately, whether we get a hike or a pause, it39;s less about how many more rate hikes are to come. It39;s more about how long rates are likely to stay at their current levels and that39;s the risk, said Michael Hewson, chief market analyst at CMC Markets.

Meanwhile, the Fed39;s July meeting minutes showed…