FTSE spooked by Lloyds cash call reports

After reaching a 10-month high on Friday, the benchmark index shed 32.42 points, or 0.7%, to stand at 4,699.14 just past 9:30am. Banks led the losers, with Royal Bank of Scotland extending Friday's losses, down almost 7% to 43.78p, as investors digested half-year results showing the bank suffered rocketing impairment charges and included a bleak outlook from management. Lloyds Banking Group fell 4.41% to 97.50p, after newspaper reports suggested it could raise between £10bn and £15bn to either partially or fully withdraw from the Government's scheme to insure bad bank debts. The ba...