Airline stocks up despite security upheaval

DUBLIN REPORT:Iseq: 3,058.83 (+69.55) Settlement date: December 31st

DUBLIN TRADERS described activity on the Irish bourse as “very quiet” yesterday as investors failed to awake from their Christmas slumber.

The Iseq rose 2.3 per cent to close at 3,059 On the first day of trading since the markets closed on Christmas Eve.

This was the highest close on the index for just over two months but is still some 400 points below the year’s high recorded in mid-September.

The airline stocks both climbed despite the upheaval endured by the industry over the festive period following the attempted Christmas day terrorist attack on a Detroit-bound flight in the US.

Aer Lingus rose 3.8 per cent, or two cent, to €0.60, while Ryanair climbed 0.6 per cent, or four cent, to €3.40, both on light volumes.

One trader noted a newspaper report yesterday claiming that Ryanair was likely to be planning a third bid for Aer Lingus, citing unidentified sources close to Ryanair chief executive Michael O’Leary.

Independent News Media was one of the busiest stocks on the market, posting the highest level of activity in terms of shares traded.

The company rose 2.4 per cent, or just under one cent, to €0.13.

Banking stocks suffered a mixed performance with Irish Life & Permanent climbing 2.4 per cent, or five cent, to €3.24, while Bank of Ireland and Allied Irish Bank both lost ground.

AIB closed 4.7 per cent, or six cent lower, at €1.28, while Bank of Ireland ended the day down 3.7 per cent, or 5 cent lower, at €1.38.

Building materials giant CRH, which dominates the Iseq with a 34 per cent weighting, closed 2.6 per cent, or 50 cent, higher at €19.70.

Packaging giant Smurfit Kappa finished the day 1.5 per cent or 10 cent lower at €6.35.