DUBLIN REPORT: Iseq: 2,478.08 (+15.39) Settlement date: February 12thA LACK of international investors and the impending Government recapitalisation of AIBand Bank of Ireland, combined for "another unexciting day" on the Dublin market as one trader put it.

The overall index of Irish shares finished at 2,478.08, a gain of 15.39 or 0.63 per cent. The market opened weakly as talk of a possible new rescue package for US banks overshadowed proceedings. Share prices picked up once the US market opened on a strong note and talk of a bailout faded.

A strong forecast from Barclays also fed into the Irish market but traders noted that volumes in Irish banks continue to be light. Retail buyers are dominating the market so this is likely to continue until institutional investors return to the market.

Irish Life & Permanentbroke the €2 barrier yesterday and closed at €2.06, up 8.42 per cent on the day. It continues to outperform Bank of Ireland and AIB, traders noted, because its assurance business means it can remain profitable in the coming years but also help it offset its capital requirements.

AIB and Bank of Ireland did, however, end in positive territory. Bank of Ireland gained 4.48 per cent to close on €0.70, while AIB was up 0.86 per cent at €1.18.

Elsewhere, drinks group C&Cwas one of the main movers, with retail buyers bidding it up to €0.961 at the close, a gain of 11.1 per cent.

Although pharmaceutical firm Elanprovided a positive update on the progress of Tysabri, the MS drug it is developing with Biogen, market players said investors were now focused on its $1.5 billion fundraising plans. Elan was up 3.75 per cent on the day to €6.37. Traders are now looking expectantly to the imminent reporting season to give the market a lift. Elan reports results today while Smurfit Kappareports tomorrow.