Iseq slide tracks dip in values across Europe

DUBLIN REPORT: Iseq: 2,675.73 (–16.66) Settlement date: October 22ndIRISH SHARES lost ground yesterday on the back of general weakness in Europe.

Leading stocks such as CRH and Ryanair fell back and the banks delivered mixed returns.

Exploration group Petroneft provided the one real bright spark of the day. The company’s stock was up 10 per cent at 55 cent following news that a planned $43 million share placing had been over subscribed.

Dealers suggested that investors who could not subscribe for the full amount were anxious to make up some of the difference on the market.

Investors bought about 20 million of the company’s shares in total, but most of the trades were in London, where the company is listed on the AIM.

The news was not so positive elsewhere in the market. Building materials group, CRH, which accounts for about 30 per cent of the total index, shed 1 per cent to close at €11.75, having earlier dipped to €11.60.

Stockbroker Davy produced a research note yesterday suggesting that third quarter earnings for one of CRH’s peers, Holcim, will be weaker than expected.

The banks were a mixed bag with Bank of Ireland adding 0.5 per cent to close at 59 cent.

Its smaller rival, in market capitalisation terms, AIB, dipped 0.5 per cent to 40 cent.

Irish Life and Permanent shed 0.75 per cent to end the day at €1.59.

Among the larger stocks, drinks group CC was one of the bigger fallers of the day, dropping 2.74 per cent to €3.161.

Dealers noted that the stock was particularly volatile yesterday, and lost a lot of ground early in the day, but they said there was no real explanation for this.

Low-cost airline, Ryanair, also lost a bit of altitude, dipping 1.24 per cent to close at €4.052.