Financial shares show the way in strong advance by the market

THE financial shares led the charge on the Dublin market, boosted by the continuing good results from the British clearers and First National's latest expansion in the British mortgage market. There was no huge level of turnover, but dealers expressed satisfaction that the market closed firm with bids for most of the leaders.

Demand for tile financials was broad based and AIB dealt up 6p to 353p while Bank of Ireland closed 7 1/2p on 453p from its overnight sterling level. The precarious industrial relations situation at Irish Life did not prevent the shares being pushed ahead 514p to 244 1/4p While Irish Permanent was 9p higher on 397p. Woodchester, closed up 2p on 182p while Anglo Irish added 1p to 62 1/2p.

First National's £51 million acquisition of The Mortgage Corporation was well received despite the Moody's warning of a possible downgrade. Despite protestations that the society has enough on its plate at present, most still expect an announcement on a conversion to plc status towards the end of the year.

The strength of the British market helped CRH to consolidate its recovery after the recent weakness and the share closed up 12 1/2p on 598p, while Smurfit benefitted on a better performance by JS Corp and dealt up 4p to 167p.

Among second liners, Crean gained 3p to 198p, Independent was 2p firmer on 292p, Fitzwilton 2p to 53p while Tullow was Gilts drifted lower in thin trading with eyes still focused on domestic interest rates and any actions by the Central Bank. A half point hike in rates is expected by the market