FTSE leaps 1.2% on Barclays profits

Barclays jumped 8% in early trade after posting bumper annual profits, helping the FTSE to a 1.2% gain.

Shortly before 8.30am, the index was up more than 64 points, or 1.24%, to reach 5,231.49. Barclays recorded pre-tax profits of £11.6bn in 2009 - helped by a £6.3bn windfall on the disposal of Barclays Global Investors - and was up almost 22p, or 7.91%, at 296.8p. Sentiment spread to other banks, with RBS up more than 4% to 32.88p and Lloyds TSB up 3.12% to 48.26p. InterContinental Hotels was among the early losers, down 0.49% to 915.5p, while Tobacco groups were also under pressure. Imperial Tobacco fell 0.98% to £20.19 and British American Tobacco dipped 0.40% to £21.38. Meanw...