Investors put their cash in Barclays Bank…

London indices were largely flat over the course of the day, as equity moves were largely on a stock specific basis, and investors took stock ahead of the BOE meeting next week. This followed mixed overnight trade in Asia, and volatile moves in Brent crude, as it slipped further to an intraday low of $42.49/bbl.
Barclays(+6.14%) traded higher, despite reporting a fall in pretax profit for the first half of 2016 resulting from continued losses in its non-core division. The lender recorded pretax profit at £2.06bn, down from the £2.6bn in the year prior. Core division profit increased 19% to £3.97bn, but losses in the non-core unit ballooned to £1.9bn from £745.0m.
Indivior(+10.72%) the FTSE 250 pharmaceutical company spun-off from Reckitt Benckiser, raised full-year guidance for 2016 on the basis that its core Suboxone Film treatment for opiod dependence remained resilient. A pretax profit of $172m was recorded in the first half of the year, down from $199m a year before, as a rise in revenue to $531m from $517m was offset by higher operating costs. Revenue guidance has now been lifted from the $945-975m range to $1-1.03bn range, with adjusted net income of $180m to $200m, up from previous guidance of $155-180m, at constant exchange rates.
Foxtons, the London focused real estate agent reported a pretax profit in the first half of 2016 of £10.5m,42% lower than the corresponding period last year. The firm laid the blame with Britain’s referendum over its European Union membership in June. Foxtons sold off to be 11.29% lower as the UK housing market cooled ahead of the referendum, as uncertainty prompted buyers to hold fire. This weakness was most evident in central London.
Across the pond, the latest economic data showed economic data sputtered this spring as cautious businesses largely offset more robust consumer spending. GDP grew at a seasonally adjusted rate of 1.2% in Q2, though this was well below the 2.6% consensus of economists surveyed by the Wall Street Journal. Since the recession ended seven years ago, the expansion has failed to gain the traction seen in past recoveries. The average annual growth rate during the current business cycle remains the weakest of any expansion since at least 1949.
At the close European indices were up as the FTSE 100 closed +0.05%, the Cac 40 +0.44% and the Dax 30 +0.61%.

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