London close: Banks gain as US job data sparks rate hike hopes

British banks were in the money on Friday as positive job news across the Pond revived the prospect of a US rate hike in 2015.

Barclays rose 6.8p to 249.45p, Royal Bank of Scotland gained 10.7p to 403.5p, HSBC was 15.1p up at 643.1p and Lloyds Banking Group advanced 1.3p to 80.89p as traders said Federal Reserve interest rate activity would boost banks’ fixed income operations.

US non-farm payrolls were stronger than expected in November, rising by 321,000 against a consensus of
230,000. Private payrolls increased by 314,000 and government payrolls lifted 7,000.

Barclays analysts said in a note: “We continue to forecast the first policy rate hike from the Fed in June of next year.”

The upbeat data lifted the FTSE 100 Index by 63.64 points to 6742.84.

But oil stocks wobbled as the price of a barrel of US crude dropped to $66.8 and Brent crude dipped to $69.6.

Tullow Oil leaked 12.9p to 396p, Petrofac slipped 13.5p to 778p and BG Group deflated 15.7p to 907.5p.

Miners were also lower as a stronger dollar hit commodities, particularly the price of gold, which fell below the $1,200 mark.

Randgold Resources dimmed 123p to 4189p and silver miner Fresnillo backtracked 10p to 719.5p.

But the lower oil prices lifted airline and travel stocks, with BA and Iberia owner IAG ascending 20.2p
to 486.7p and cruise operator Carnival 75p more buoyant at 2805p.

Market Movers

techMARK 2,979.80 +1.22%

FTSE 100 6,742.84 +0.95%

FTSE 250 16,002.88 +1.02%

FTSE 100 - Risers

International Consolidated
Airlines Group SA (CDI) (IAG) 486.70p +4.33%

St James's Place (STJ)
821.50p +3.79%

IMI (IMI) 1,219.00p +3.31%

Meggitt (MGGT) 518.00p
+3.29%

GKN (GKN) 356.70p +3.24%

Kingfisher (KGF) 328.20p
+3.21%

Vodafone Group (VOD)
230.60p +3.11%

Barclays (BARC) 249.45p
+2.80%

Carnival (CCL) 2,805.00p
+2.75%

Royal Bank of Scotland
Group (RBS) 403.50p +2.72%

FTSE 100 - Fallers

Tullow Oil (TLW) 396.00p -3.15%

Randgold Resources Ltd. (RRS) 4,189.00p -2.85%

BHP Billiton (BLT) 1,474.00p -1.73%

Petrofac Ltd. (PFC) 778.00p -1.71%

BG Group (BG.) 907.50p -1.70%

Next (NXT) 6,655.00p -1.48%

Fresnillo (FRES) 719.50p -1.37%

Anglo American (AAL) 1,268.00p -1.21%

Rio Tinto (RIO) 2,898.00p -1.21%

Glencore (GLEN) 316.50p -1.00%

FTSE 250 - Risers

Supergroup (SGP) 922.00p +6.16%

Balfour Beatty (BBY) 195.60p +5.90%

AO World (AO.) 260.50p +5.00%

Howden Joinery Group (HWDN) 408.80p +4.63%

Booker Group (BOK) 149.00p +4.41%

Countrywide (CWD) 454.20p +4.17%

NMC Health (NMC) 488.60p +3.96%

Bodycote (BOY) 640.50p +3.81%

RPC Group (RPC) 611.00p +3.65%

Berkeley Group Holdings (The) (BKG) 2,596.00p +3.63%

FTSE 250 - Fallers

Bank of Georgia Holdings (BGEO) 2,065.00p -7.23%

EnQuest (ENQ) 43.86p -4.13%

Acacia Mining (ACA) 236.40p -3.55%

Lonmin (LMI) 178.10p -2.68%

Amec Foster Wheeler (AMFW) 874.50p -2.35%

Kaz Minerals (KAZ) 245.40p -1.88%

COLT Group SA (COLT) 134.80p -1.75%

BlackRock World Mining Trust (BRWM) 327.40p -1.74%

Premier Oil (PMO) 189.20p -1.66%

Vedanta Resources (VED) 678.50p -1.45%

FTSE TechMARK - Risers

Torotrak (TRK) 15.38p +9.82%

Filtronic (FTC) 27.00p +6.93%

Consort Medical (CSRT) 792.50p +2.92%

KCOM Group (KCOM) 88.50p +2.61%

RM (RM.) 155.75p +1.80%

Skyepharma (SKP) 370.00p +1.58%

SDL (SDL) 400.00p +1.27%

XP Power Ltd. (DI) (XPP) 1,430.00p +1.13%

CML Microsystems (CML) 370.00p +0.68%

E2V Technologies (E2V) 174.00p +0.58%

FTSE TechMARK - Fallers

Optos (OPTS) 220.00p -6.78%

Vectura Group (VEC) 129.50p -1.89%

Kofax Limited (DI) (KFX) 425.00p -1.45%

Oxford Biomedica (OXB) 5.22p -1.42%

Promethean World (PRW) 24.50p -1.01%

BATM Advanced Communications Ltd. (BVC) 15.38p -0.81%

Anite (AIE) 83.75p -0.30%

NCC Group (NCC) 203.00p -0.25%