CRH increase of 5.1% drives modest gains on Iseq

DUBLIN REPORT: Iseq:3,143.72 (+77.11) Settlement date:September 11th

POSITIVE PERFORMANCES by the Iseq index were almost unheard of this time last year, but one year on from the fall of Lehmans, the Irish stock market has proven itself capable of racking up some modest gains. Yesterday, the Iseq climbed 2.1 per cent.

Building materials group CRH, the largest component stock on the index, was the main driver of gains, rising 5.1 per cent to close at €18.30.

Insulation provider Kingspanalso kept itself warm with a 3.5 per cent rise to €6.20, as it built on the publication of its half-year results, which were described by Davy Research as "encouraging".

The airlines sector across Europe was swept along in a tailwind of (almost) positive sentiment created by Air France, which gave a trading update indicating that its capacity reductions had “put a stop to the deterioration in unit revenues” and reporting that August passenger numbers had stabilised.

Aer Linguspromptly climbed 3.5 per cent to 58 cent on the back of Air France's more benign statement, Ryanair, the second biggest stock on the Iseq, attracted decent volume as it soared 2.7 per cent to €3.30. Very few Irish stocks finished in the red, although there was some profit-taking in Fyffes and its fruit distribution subsidiary Total Produce, which released what Goodbody Stockbrokers called a "solid" set of results for the first-half of 2009.

It fell 2.5 per cent to close at 38 cent, losing 1 cent during the session, while Fyffesalso shed 1 cent to close at 44 cent.

C&Cwas one of the busiest stocks, rising 2.1 per cent to €2.78, as its management continued to "do the rounds" of institutional investors to promote the earnings potential of its new acquisition, Scottish lager brand Tennents.

There were gains for Kerry, Greencore and Glanbia.