Financial stocks drift after UBS setback

Market Report:Most of the leading stocks drifted in Dublin yesterday, led by the financials, which largely suffered on the back of bad news from Swiss giant UBS. Dealers said that most of the losses were sustained in mid-morning trade, which was dominated by sellers.

AIB lost almost 2.5 per cent of its value, closing 34.8 cent down at €13.652 after close to three million shares in the group were sold in Dublin yesterday. The bank is due to report full-year results next week.

Bank of Ireland, which issues an eagerly awaited trading statement today, fared slightly better. It closed 12 cent or 1.26 per cent down at €9.44. Just over four million shares in the bank were sold in Dublin yesterday.

Anglo Irish Bank lost 9.9 cent, or just over 1 per cent of its value, to close at €9.50 after 5.15 million shares were traded.

Irish Life & Permanent was the only leading financial stock to make any ground yesterday, adding 6.7 cent to close at €10.387, a gain of 0.65 per cent.

Building materials giant CRH ended the day 29 cent off its opening quote at €25.21, but it attracted a lot of buyers during the day following good news from US rival Vulcan and French peer Lafarge. Both indicated that the US infrastructure market, responsible for a high proportion of the Irish company's revenues, is performing better than expected.

The stock actually traded over €25.80 at one point, well ahead of its opening price of €25.50, before buyers moved elsewhere.

The day was largely positive for the food industry, with Kerry Group, Greencore, Glanbia and IAWS all making headway in a day of largely downbeat trade.