TD Waterhouse customers cash in on Barclays' 20% share price rise

21 March 2009 / by Rachel Mason
The recent 20 per cent rise in Barclays' share price caused an investor selling spree at TD Waterhouse.

Customers of the execution only share dealing site made 25 per cent more sales than buys in Barclays this week as they tried to capitalise on its rising share price.

"It seems TD Waterhouse customers were looking to seize opportunities to make a profit this week as the number of sells marginally overtook the number of buys," said Angus Rigby, chief executive officer at TD Waterhouse.

"Bank trades have been led by Barclays and we have seen 25 per cent more sales in the banking giant than there were buys as customers looked to capitalise on its recent 20 per cent rise in share price," he said.

"This surge followed the bank's confirmation that it is in talks to sell its iShares fund management business."

Financial services shares made up most of the top ten buys and sells this week, which TD Waterhouse says could be to do with US Fed chairman Ben Bernanke's comments this week.

"In his first televised interview in 20 years he claimed that the first 'green shoots' of economic recovery have begun to sprout in the US," said Mr Rigby. "It has been widely predicted that America could be the first to recover and Bernanke went on to suggest that the US recession could end sometime this year.

"The positive comments buoyed the global markets and the FTSE 100 has enjoyed a good week. The financial services sector in particular claimed 90 per cent of our top ten trades this week, with the banks alone representing 69 per cent of that figure."

HSBC also experienced a slight rise in share price after recent volatility, causing it to make another appearance into the top ten buys and sells tables this week, while US bank Citigroup made a rare appearance.

"Our customers have shown that they are looking at the US as well as the UK for potential gains," explained Mr Rigby.

"After recording record lows, news that the bank has had profitable months in January and February may explain the returned confidence of some investors.

"Indeed, Citigroup shares jumped 22.7 per cent to close at $3.08 on Wednesday, proving that many of our customers had made a good call."

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