FTSE 100 movers: Barclays and RBS rise after BoE unveils softer-than-expected requirements for leverage ratios

Banking stocks, already bolstered by stronger-than-expected quarterly results from RBS, received another big lift on Friday afternoon as the Bank of England unveiled softer-than-expected requirements for leverage ratios.

The leverage ratio, a key gauge of a bank's ability to cushion itself against losses, measures the proportion of the bank's lending that is funded by equity. It had been provisionally set at 3% under Basel's global rules but the Bank of England was widely expected to unveil stricter requirements.

Barclays, which had been most at risk from the rule with the lowest leverage ratio among its peer group at just 3.5%, surged in response to the news, while RBS was hot on its heels.

Anglo-Spanish airline conglomerate IAG was also in demand as it reported a 30% jump in third-quarter operating profits on the back of falling fuel costs and lifted its guidance for full-year growth. It now expects full-year adjusted operating profits to grow €550m-600m over last year, compared with an earlier target for €500m growth.

Direct Line said it remains on track to hit its full-year targets but noted "highly competitive" markets as gross written premiums fell 5% in the third quarter. The stock dropped firmly into the red after a positive start.

Gold stocks tracked the metal's price lower, with Randgold and Fresnillo both registering heaving losses on Friday afternoon.

Standard Chartered continued to decline amid recent reports US prosecutors have re-opened their investigations into whether the lender withheld information into the possible violation of the sanctions regime imposed on Iran.

FTSE 100 - Risers
Barclays (BARC) 241.95p +8.72%
Royal Bank of Scotland Group (RBS) 386.70p +5.86%
International Consolidated Airlines Group SA (CDI) (IAG) 409.90p +4.91%
St James's Place (STJ) 743.00p +4.28%
ARM Holdings (ARM) 872.00p +4.00%
Rolls-Royce Holdings (RR.) 842.00p +3.25%
Friends Life Group Limited (FLG) 323.00p +2.93%
Schroders (SDR) 2,395.00p +2.75%
Hargreaves Lansdown (HL.) 993.00p +2.74%
easyJet (EZJ) 1,500.00p +2.74%

FTSE 100 - Fallers
Randgold Resources Ltd. (RRS) 3,664.00p -3.04%
Fresnillo (FRES) 696.00p -2.86%
Direct Line Insurance Group (DLG) 274.70p -2.42%
Standard Chartered (STAN) 930.90p -1.35%
BHP Billiton (BLT) 1,604.00p -0.71%
Intertek Group (ITRK) 2,718.00p -0.55%
Morrison (Wm) Supermarkets (MRW) 154.80p -0.51%
Capita (CPI) 1,096.00p -0.45%
BT Group (BT.A) 366.40p -0.41%
TUI Travel (TT.) 399.30p -0.37%