BBC News
watch One-Minute World News
Last Updated: Friday, 2 November 2007, 16:16 GMT
Barclays shares hit 30-month low
Barclays Bank sign

Shares in Barclays Bank have fallen to two-and-a-half-year lows amid continuing speculation about funding problems linked to the credit crunch.

The shares fell by 8% to 524.5p at one point but later recovered, closing down 5.9%, or 34 pence, at 537.5p.

Rumours about Barclays first emerged in August when technical problems twice forced the bank to borrow overnight funds from the Bank of England.

Barclays declined to comment but has always denied having funding problems.

In a move designed to allay market fears the bank's head of global retail and commercial banking, Frits Seegers, bought Barclays shares worth almost 700,000 ($1.5m) on Friday.

"There are concerns about writedowns and everything else, but the comments Barclays have made to date suggest that is not an issue, as does the fact they are still buying back their own shares," said Ian Poulter at Landsbanki Financials.



SEE ALSO
City set to lose 350 finance jobs
10 Oct 07 |  Cambridgeshire
Barclays abandons ABN Amro offer
05 Oct 07 |  Business
ABN says Barclays bid is too low
20 Sep 07 |  Business
Barclays needs central bank loan
31 Aug 07 |  Business
Emergency bank loan creates fears
23 Aug 07 |  Business
Barclays profits increase sharply
02 Aug 07 |  Business

RELATED INTERNET LINKS
The BBC is not responsible for the content of external internet sites



FEATURES, VIEWS, ANALYSIS
Has China's housing bubble burst?
How the world's oldest clove tree defied an empire
Why Royal Ballet principal Sergei Polunin quit

PRODUCTS & SERVICES

Americas Africa Europe Middle East South Asia Asia Pacific