Dublin report: The Irish market closed up at a record again yesterday, although this time round, the main contributors were the banks, rather than the airlines.

In fact, Aer Lingus and Ryanair were two of the few losers on the day, as investors waited to see whether Ryanair chief executive Michael O'Leary will increase his bid for the rival airline.

Demand for Aer Lingus fell a little, although it was still well ahead of most other stocks on the exchange. As many as 4.6 million shares in the former State airline changed hands as the stock slipped two cent, or 0.7 per cent, to €2.96. Mr O'Leary's bid stands at €2.80 a share. Ryanair meanwhile closed down 15 cent, or 1.7 per cent, at €8.65.

Elsewhere, the sentiment was more positive, helping to lift the Iseq slightly to a record closing level of 8,348.53.

Interest was strong among the financials as a recurring rumour that US bank Citibank was interested in acquiring a western European bank reared its head again.

Anglo was the busiest of the banks, with more than 4.5 million shares changing hands as the stock added 30 cent, or 2.3 per cent, to end the day at €13.55.

AIB meanwhile closed up 48 cent, or 2.3 per cent, at €21.09 on 1.8 million shares, while Bank of Ireland gained five cent, or 0.3 per cent, to end the day at €15.25. Almost 2.4 million units traded.

Dealers also reported decent interest in C&C, with 2.6 million shares changing hands ahead of the drinks and snacks maker's interim results on Thursday. The shares ended the day up 16 cent, or 1.4 per cent, at €11.55.

Elsewhere, Glanbia put in a decent performance, though volumes were very light. The shares rose six cent, or 2.2 per cent, to end the day at €2.75.

Grafton was another company moving ahead, adding 13 cent, or 1.2 per cent, to close at €11.15.