LONDON (ShareCast) - Shares in Barclays were under heavy selling pressure after the banking group was found guilty of 'market manipulation' into interbank lending rates, prompting calls for the resignation of Chief Executive Officer Bob Diamond.

Several other banks, including HSBC, Royal Bank of Scotland (RBS) and Lloyds, are also facing an inquiry into rigged Libor manipulation, it has been reported.

Barclays was over 11% lower by late afternoon, while RBS, HSBC and Lloyds were also registering steep losses. Lloyds announced last night that it has agreed on the terms of the 632 branch-network sale, otherwise known as Project Verde, to the Co-op.

Polymetal was also suffering after a downgrade by UBS from 'buy' to 'neutral' due to the "recent strong share price performance and weaker silver prices".

Investors have sought the typically "safe-haven" stocks as concern mounts at the start of a two-day EU summit aimed at dealing with the debt crisis in the region. As such, Aggreko, United Utilities and Severn Trent were all bucking the generally downward trend to make small gains during the afternoon.


FTSE 100 - Risers
Aggreko (AGK) 1,994.00p +1.68%
United Utilities Group (UU.) 667.50p +1.29%
Resolution Ltd. (RSL) 192.00p +0.89%
ARM Holdings (ARM) 501.00p +0.72%
British Sky Broadcasting Group (BSY) 686.00p +0.66%
Severn Trent (SVT) 1,633.00p +0.62%
BT Group (BT.A) 206.50p +0.54%
AstraZeneca (AZN) 2,813.50p +0.52%
Reed Elsevier (REL) 498.60p +0.48%
Carnival (CCL) 2,161.00p +0.46%

FTSE 100 - Fallers
Barclays (BARC) 172.95p -11.78%
Royal Bank of Scotland Group (RBS) 208.80p -10.42%
Lloyds Banking Group (LLOY) 29.48p -5.38%
ICAP (IAP) 331.00p -4.20%
IMI (IMI) 779.50p -3.59%
HSBC Holdings (HSBA) 553.50p -3.40%
Evraz (EVR) 241.50p -2.97%
Polymetal International (POLY) 881.00p -2.92%
Reckitt Benckiser Group (RB.) 3,285.00p -2.72%
Burberry Group (BRBY) 1,295.00p -2.56%

NR

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