If nature abhors a vacuum, then so, too, does the world of finance. Which may explain the disquiet surrounding Barclays’ first-quarter statement yesterday, muses the FT. In response to a fragile balance sheet – and on a day when the Fed chairman implored the finance sector to be “proactive” in raising capital – why the U.K. bank decided to do nothing.

Barclays reckons it does not need the money although it insists all options remain open. Investors, however, were not so sure, pushing Barclays’ shares lower. The conclusion that a cash call is likely is understandable: an equity Tier 1 capital ratio of 5 per cent is one of the lowest in Europe. The UK retail banking environment is deteriorating and global asset management revenues are at the mercy of markets. Meanwhile, Barclays Capital, the investment bank that contributed a third of pre-tax income last year, would not be immune to the tougher conditions forecast by rivals.

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