London markets stabilise amid global jitters over Fed autonomy

• FTSE 100 flat, FTSE 250 down 0.1%
• Hochschild drops after cutting Brazil gold output forecast
• JD Sports Fashion up on signs of improving US sales

Aug 27 (Reuters) - London stocks were flat on Wednesday, stabilising a day after flaring concerns around the U.S. Federal Reserve's independence hit risk assets worldwide.

The blue-chip FTSE 100 .FTSE held steady at 9269.3 points by 1009 GMT, coming off a 0.6% fall on Tuesday after U.S. President Donald Trump said he was firing Federal Reserve Governor Lisa Cook.

Cook's lawyer responded that the Fed governor will file a lawsuit to prevent Trump from firing her.

Tuesday's fall snapped a five-day winning streak for the index.

UK's blue-chip index hit a record high last week, when global markets got a lift after Fed Chair Jerome Powell signalled a possible interest rate cut at the Fed's September meeting.

Personal goods .FTNMX402040 led gains among the major FTSE sub-sectors on Wednesday with a 1.3% increase, followed by a 1.1% gain in utilities .FTUB6510.

Heavyweight banks .FTNMX301010 were down 1%, falling for the second straight day, while top pharmaceutical companies .FTNMX201030 rose 0.7%.

The FTSE 250 midcap index .FTMC, which sits more than 11% away from its all-time high in September 2021, inched 0.1% down.

Hochschild Mining HOCM.L slumped 15.9% to the bottom of the midcap index after the miner slashed full-year production forecast for its Mara Rosa mine by more than half.

Among other moving stocks, JD Sports Fashion JD.L gained 2.1% after the sportswear retailer showed signs of stabilisation in its key U.S. market after a sharp decline in the previous quarter.

Insurer Prudential PRU.L unveiled a $1.1 billion share buyback plan and signalled higher dividends over the next two years after posting a 12% rise in first-half new business profit. Its shares, however, were down 0.9%, shedding initial gains.