UK shares edge down with focus on company news, rate path

July 1(Reuters) - London's main stock indexes edged lower on Tuesday, with last week's relief rally driven by the Israel-Iran truce coming to an end, as investors assessed a mixed bag of company news.

The internationally oriented FTSE 100 .FTSE fell 0.2% by 1025 GMT, while the domestically focussed midcap index .FTMC slipped 0.1%. Midcap stocks ended June by logging their best quarter in over four years while the blue-chip index logged monthly losses.

Gains on Tuesday were led by precious metal stocks .FTNMX551030 that rose 2.1% with safe-haven gold edging up on a weaker dollar and U.S. tariff uncertainty.

Endeavour Mining EDV.L and Fresnillo FRES.L were among the top gainers on the blue-chip, adding 1.8% and 2.2%, respectively. Hochschild Mining gained 3.2% on the midcap index.

Meanwhile, losses were led by the household goods and home construction .FTNMX402020 index, which was down 1.6%.

Barratt Redrow BTRW.L, Taylor Wimpey TW.L and Bellway BWY.L all slipped over 2%.

Bank of England Governor Andrew Bailey stressed on Britain's softening labour market and pointed to rising uncertainity in global economy hurting economic growth and investment intentions.

Traders are currently pricing in a 76% chance of a rate cut from the BoE in August.

Meanwhile, S&P's manufacturing PMI data showed that the sector improved for the third month in a row, but remained below the growth threshold as businesses increased prices to offset higher labour costs.

In individual stocks, food retailer Sainsbury's SBRY.L shares slid 1.3% despite reporting a higher-than-expected rise in quarterly sales.

Standard Chartered Bank STAN.L shares fell 2.7% after liquidators for Malaysia's sovereign wealth fund 1MDB sued the bank in Singapore alleging fraud that led to more than $2.7 billion in losses more than 10 years ago.

Packaging automation firm Mpac Group MPAC.L shares slumped 25% after the company warned of lower-than-expected annual results due to U.S. tariffs weighing on orders.

In company news, Britain's competition watchdog cleared Aviva's AV.L 3.7-billion-pound ($5.08 billion) takeover of smaller rival Direct Line DLGD.L that will create the UK's largest home and motor insurer.

Shares of Direct Line were marginally up.

For related prices, Reuters users may click on -  UK stock report     .L     FTSE index:         0#.FTS6  techMARK 100 index: .FTT1X         FTSE futures:     0#FFI:  Gilt futures:       0#FLG:         Smallcap index:    .FTSC  FTSE 250 index:     .FTMC          FTSE 350 index:    .FTLC  Market digest:      .AD.L          Top 10 by vol:     .AV.L  Top price gainers:  .NG.L          Top % gainers:     .PG.L  Top price losers:   .NL.L          Top % losers:      .PL.L 
     For related news, click on - UK hot stocks:      HOT and GB     Wall Street:          .N Gilts report:       GB/            Euro bond report GVD/EUR Pan European stock report: .EU Tokyo stocks:       .T             HK stocks:           .HK Sterling report:    GBP/           Dollar report:      USD/
     For company prices, click on - Company directory:  UKEQ          By sector:          FTAX 
     For pan-European market data, click on - European Equities speed guide................ EUR/EQUITY  FTSE Eurotop 300 index........................... .FTEU3  DJ STOXX index................................... .STOXX  Top 10 STOXX sectors........................ .PGL.STOXXS  Top 10 EUROSTOXX sectors................... .PGL.STOXXES  Top 10 Eurotop 300 sectors.................. .PGL.FTEU3S  Top 25 European pct gainers.................... .PG.PEUR  Top 25 European pct losers..................... .PL.PEUR