Barclays braced for 'difficult and challenging' market

Banking giant Barclays today posted profits of £7.08bn (€9.4bn) for 2007, but revealed a £1.6bn (€2.1bn) hit from the credit crunch and warned of “at least” another six months of turmoil.

The group cautioned over an economic slowdown in the UK and US and said it was braced for further “difficult and challenging” market conditions amid the ongoing credit crisis.