* FTSE 100 down 0.4 pct
* FTSE 250 down 1.1 pct
* Fresnillo outperforms main index
* Inmarsat gains on buyout deal
* Wood Group slips after Jefferies' rating action (Adds news items, analyst comment, updates to closing prices)By Shashwat Awasthi and Pushkala AripakaMarch 25 (Reuters) - Britain's FTSE 100 slipped as fears ofa recession in the United States triggered a sell-off in globalmarkets, while the mid-cap index was battered by uncertaintyover the next steps in Brexit.The FTSE 100 fell 0.4 percent and thedomestically-focussed FTSE 250 shed 1.1 percent to hitits lowest since Feb. 12.Last week's cautious remarks from the U.S. Federal Reserveand weak manufacturing data from Germany and the United States
once again raised concerns about the world economy, makingstocks, generally considered riskier assets, less appealing.Prime Minister Theresa May battled to keep control ofBritain's exit from the European Union on Monday as some in herparty called on her to quit and parliament plotted to wrest theBrexit process away from her government. Nearly three years since the 2016 EU membership referendum,it is still unclear how, when or if Brexit will take place.CityIndex analyst Ken Odeluga said Monday's sell-offsuggested a deliberate strategy among large investors to reduceBritish mid-cap stocks."The motivation for such a strategy is that it would beremiss for any investor to overlook the worsening near-termprospects with regard to high-sterling revenue earners giventhat Brexit scenarios remain in active, live flux," Odelugasaid.Stocks fell across the board. Sterling gained on reports ofa possible third vote to try and get May's twice-defeated Brexitdeal through, and along with a weaker dollar, dragged downinternationally exposed components.However, losses on the main bourse were somewhat containedas a survey showed German business morale improved unexpectedlyin March and after former U.S. Fed chair Janet Yellen said theU.S. Treasury yield curve may signal the need to cut interestrates at some point, but it does not signal a recession.Fresnillo outperformed the FTSE 100 with a 2percent gain as safe-haven assets such as gold were in demand.Stocks on the mid-cap index were also pummelled, butInmarsat jumped 9.6 percent to its highest since earlySeptember, after a private equity-led consortium agreed to buythe satellite operator for about $3.4 billion. Oilfield and engineering services provider Wood Group skidded 7.6 percent after Jefferies cut its rating and flaggedupcoming dividend risk."Company-specific news may drive immediate sellingdecisions, but the over-arching environment forpolitically-sensitive assets has a deepening negative bias.That's partly because objective no-deal risk persists, andparadoxically, it may even have increased," Odeluga said. (Reporting by Shashwat Awasthi and Pushkala Aripaka inBengaluru; editing by Larry King and Andrew Heavens)