* FTSE 100 up 0.4 pct; hits 14-month closing high

* Heavyweight banks, miners, energy stocks gain

* HSBC climbs on dividend speculation

* BA up after agreeing to merger terms with Spain's Iberia

By David Brett

LONDON, Nov 13 (Reuters) - Britain's FTSE 100 .FTSE share index hit a 14-month closing high on Friday as gains in HSBC (HSBA.L: Quote, Profile, Research) and commodity stocks outpaced weaker defensives, with British Airways (BAY.L: Quote, Profile, Research) also up after agreeing to merger terms with Iberia.

The FTSE 100 ended up 19.88 points, or 0.4 percent, at 5,296.38 points -- the highest close since September 2008. The index is up 2.9 percent this week and has rebounded 53 percent since hitting a six-year trough in March.

Heavyweight bank HSBC, up 1.2 percent, added the most points to the index, with traders citing market talk that it may increase its dividend. The stock is up 8.5 percent this week, with investors cheered by strong results released on Tuesday.