Barclays shrugs off downgrade to end higher
Positive momentum from robust US economic data lifted Asian markets overnight and appeared
to spill over into European trade this morning. Gains in risk assets came despite additional news
that Barclays was included in a list of 6 of the largest global banks whose ratings were cut by Fitch.
Barclays saw its rating reduced from AA- to A with the agency citing sensitivities to difficulties in
financial markets as a sector wide issue. Barclays shares closed up 0.6% today, shrugging off the
news to close at 171.5p.
US inflation, as measured by the consumer price index, was unchanged in November largely as
reduced energy costs offset increases in food. Core data, i.e. excluding volatile food and energy
costs, was up 0.2% over the month.
On a stock specific level a rebound in commodity prices saw the miners top the FTSE leader board,
with the likes of Antofagasta and Kazakhmys up by more than 3%.
The FTSE 100 lost ground towards the end of the trading day, eventually finishing down 0.25% at
5387, a level that represents a 2.3% loss for the week. London fared considerably better than its
European peers, with the CAC and DAX looking at weekly losses closer to 5%.
This was posted in Bdaily's Members' News section by John Dance .
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