Barclays slides on fullyear profit drop
CocaCola HBC extends gains
FTSE 100 down 0.1, FTSE 250 adds 0.2

Feb 15 Reuters UK39;s FTSE 100 benchmark index was subdued on Wednesday, as Barclays stocks tanked after reporting lower annual profit, although losses were limited due to a drop in the pound after data showed domestic inflation eased more than expected.

The bluechip FTSE 100 fell 0.1, hovering near a record high.

British lender Barclays slid 8.3 to the bottom of the FTSE 100 and was set to post its biggest drop in nearly a year after reporting a 14 slump in fullyear profit.

Barclays has bitterly disappointed the market with its fullyear numbers. Profits have been stunted partly because of a big increase in litigation costs relating to the overissuance of U.S. securities, said Sophie LundYates, lead equity analyst at Hargreaves Lansdown.

This costly mistake has been known about for some time, but these are now the hard consequences biting the bottom line.

The FTSE 350 banking index fell 1.9, on track for its biggest oneday drop in more than two months.

The pound edged lower after data showed British consumer price inflation fell more than expected in January and there were also drops in underlying measures of inflation that are being closely watched by the Bank of England.

Message from this data point is that inflation seems to be on a downtrend, which is ultimately what the Bank of England wants to achieve, said Julien Lafargue, chief market strategist at…