Iseq continues to build on earlier gains, rising 1.4%

Iseq: 2,927.38 (+40.87) Settlement date: July 27thIRISH STOCKS reacted strongly to the "massively positive" developments that came out of Thursday's euro zone emergency summit, a Dublin broker said.

Nervousness on Wall Street caused by lack of clarity on the US debt ceiling debate took some of the gloss off the Irish market after lunch. Nonetheless the Iseq moved 1.4 per cent higher over the day, outstripping its European peers.

Datalex led the way, climbing more than 8.5 per cent, or three cent, to 38 cent after a broker issued a “buy” note on the travel software firm.

A trader noted there has been a considerable amount of “private client action” in the stock for the last number of weeks, and a lot of market chatter about “potential activity from a corporate perspective”.

Cider manufacturer CC moved slightly higher on the back of positive market data, and closed 2.4 cent ahead at €3.52.

The biggest stock on the index CRH reacted positively after a broker put out a “buy” rating on the building materials sector. Though the stock came back a little by the close, having touched €14.92 at one point during the session, it was still almost 20 cent higher at just under €14.46.

The exploration sector fared well on the day, with mining company Kenmare Resources seeing heavy volume in London after an update from paint company AkzoNobel pointed to strong pricing in titanium dioxide, which Kenmare produces. It closed almost 4 per cent up at 58.6p in London.

Petroneft Resources climbed nearly 7 per cent, or 2.5 cent, to 38 cent after a reduction in mineral extraction tax was signed into law in Russia earlier this week.

There were few losers on the day, but food group Kerry failed to join in the widespread rally, shedding 10 cent to €28.82.