Sea of green on Irish Stock Exchange amid budget day boost

Global stocks rose on Tuesday, after Federal Reserve officials signalled that a recent yield surge could justify caution on interest rates.

Still, nervy investors are closely watching military clashes between Israel and the Palestinian Islamist group Hamas, after the latter’s surprise attack at the weekend.

In Dublin, the market was lifted by budget day optimism as well as news from a number of index heavyweights.

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It was a sea of green on the Irish Stock Exchange on Tuesday, as indications the US Federal Reserve may hold interest rates at its next meeting combined with easing oil prices and a budget that was broadly as expected to boost trading.

The ISEQ All Share finished up 3.52 per cent, at 8,454.43.

Insulation specialist Kingspan rose 3.95 per cent on Tuesday to €72.02, as the company made a €228.8 million offer for Nordic Waterproofing. Kingspan was already the largest shareholder in the company, owning more than 30 per cent.

Home builder Cairn Homes’ shares rose 3.65 per cent to €1.14. The company said on Tuesday its chief financial officer Shane Doherty is stepping down, a day after stockbroker Davy raised its price target for the firm on the back of strong interim results and increased profit estimates.

Competing home builder Glenveagh also saw gains, rising by 3.58 per cent to €0.99.

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Paddy Power parent Flutter Entertainment gained 5.68 per cent, closing at €158.25, while food company Kerry Group rose 2.04 per cent to €77.02.

It was a strong day for the banks, with AIB rising 3.44 per cent to €4.272 and Bank of Ireland up 3.88 per cent to €9.488. Permanent TSB shares remained static at €2.04.

There was little on the negative side, but largest losses included energy storage company Corre Energy, which fell 2.44 per cent to €3.20, and healthcare services company Uniphar, which lost 1.36 per cent to close at €2.17.

London

The UK’s benchmark FTSE 100 gained 1.81 per cent, closing at 7,628.10 and jumping to a one week high.

Dovish comments from Federal Reserve officials helped treasury yields ease and raised hopes that the Bank of England would not raise interest rates further.

Data showed UK grocery inflation eased to its lowest rate for 15 months heading into October, while another set of data showed consumers in the UK held off on non-essential spending last month.

Polling company YouGov jumped 23.91 per cent after it met earnings expectations with a 63 per cent surge in adjusted pretax full-year profit.

Electricals retailer Currys added 4.98 per cent on receiving several non-binding offers from potential buyers for its under-review Greek business, Kotsovolos.

Croda International was up 3.38 per cent as multiple brokerages raised their price target on the life sciences company.

Europe

The pan-European STOXX 600 was up 1.96 per cent, while the German DAX rose by 1.95 per cent, and the French CAC rose by 2.01 per cent.

Reflecting a sector-wide rise, Nordic entertainment company Viaplay Group AB gained 22.11 per cent, floating to the top of the STOXX 600 Index.

French mass-market retail group Casino Guichard Perrachon rose by 9.80 per cent and online food ordering company Just Eat Takeaway was up 8.04 per cent.

New York

Wall Street’s three main indexes advanced on Tuesday, as US treasury yields retreated following comments from Federal Reserve policymakers overnight.

The 10-year treasury yield came off a 16-year peak on Tuesday, as trading resumed in the US bond market after Columbus Day, also known as Indigenous Peoples’ Day.

Among stocks, PepsiCo rose after the company raised its annual profit forecast for a third time this year. Rival Coca-Cola also saw gains.

Truist Financial rose after a report said the bank is in talks to sell its insurance brokerage unit to private equity firm Stone Point for about $10 billion (€9.42 billion).

Rivian Automotive advanced after UBS upgraded the EV maker’s stock to “buy” from “neutral”.

Chip firms Skyworks Solutions and Qorvo dipped 1.9 per cent and 3 per cent, respectively, after Citigroup downgraded the stocks. – Additional reporting: Reuters, Bloomberg