Banks' strong performance helps to offset Iseq's decline

MARKET REPORT:THE IRISH Stock Exchange tracked its international counter parts into negative territory yesterday, but a strong performance from the banks helped to offset the fall.

In Dublin, dealers said that Irish shares largely followed their European peers, with the exception of the banks, which continued to benefit from the fact that investors no longer expect them to be privatised as the Government is attempting to take toxic loans off their books.

AIB traded as high as €1.35 during the day, before coming off that to close at €1.28, an increase of over 9 per cent.

Volumes were healthy, with over 11 million of the bank’s shares changing hands in Dublin yesterday.

Bank of Ireland had buyers at €1.02 before ending the day at 96.5 cents, an increase of 8.92 per cent.

In common with AIB, over 11 million of its shares were traded on the day in Dublin.

Elsewhere, CRH was weaker than in previous days and closed 1.54 per cent down at €16. Dealers said the slip was on the back of general sentiment towards the sector.

Just over 2.5 million of the building materials group’s shares were traded in Dublin yesterday.

One strong performer amongst the industrials yesterday was packaging group Smurfit Kappa, which added 5 cents or 3.43 per cent to close at €1.51.

Dealers said there was a good deal of buyer interest in the stock over most of the day, but said there was no particular reason for this.

Insulation and building systems specialist Kingspan also had a good day, which at one stage was up 9 per cent at €3.50 before closing level at €3.32.

Low-cost flyer Ryanair was weaker than in recent days yesterday. It closed 3.69 per cent down at €2.87.

Settlement date: April 14th