The markets had been braced for some dismal economic news from the United States but, as it transpired, the 0.4 per cent fall in GDP in the third quarter provided some cheer for investors, who had been waiting with some trepidation for a one per cent fall in GDP.
The better than expected figures did not exactly send shares into the stratosphere but it did provide some support and allowed most major Irish markets move modestly into the black. On the Irish market, financial shares got the most benefit but price movements were insignificant.
The heaviest trading was in second-line financial Anglo Irish Bank, where more than five million shares traded as the stock hit a high of €3.42 before closing five cents higher on €3.32. AIB was unchanged on €10.80, while Bank of Ireland drifted two cents lower to €9.85.
Among the industrials, there was sizeable trading in Independent after the confirmation of the APN bid for Wilson & Horton. Independent has said that the bid will be modestly earnings-boosting and the shares gained two cents to €1.77 in turnover of 3.2 million shares. CRH was seven cents firmer on €17.23 and Greencore gained nine cents to €2. 56, while Ryanair was 15 cents firmer on €10.20.
Technology and pharma shares were stronger as the Nasdaq firmed after the GDP figures were released. Elan, Iona, Parthus, Riverdeep and Smartforce were all higher in early trading. Top performer in London was AIM minnow Alltracel, which jumped 5p to 42 1/2p sterling.
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