Iseq:3,080.75 (+10.28) Settlement date:January 12th

THE ISEQ index lagged its European peers yesterday as gains made in the morning session were wiped out following publication of disappointing US non-farm payroll figures in the early afternoon.

Having rallied strongly since the start of the year, the two main banks paused for breath yesterday. Comments made by Nama chief executive Brendan McDonagh confirming that the “haircut” on loans transferred to the agency would be about 30 per cent, as was expected, supported the stock on Thursday.

However, traders noted that the positive update on Nama is now priced into the bank stocks, which slipped back a little yesterday.

Bank of Ireland shed about 1 per cent, almost two cent, to €1.69, while AIB fell fractionally to finish the first week of the year at €1.65.

Irish Life Permanent also lost a little ground, closing down just over three cent on €3.50.

Elsewhere, construction names pushed ahead. CRH gained more than 1 per cent – almost 24 cent – to close just under €18.14, on a day when the sector as a whole was, in the words of one trader, “quite hot”.

Kingspan was also in demand, and added almost 1.5 per cent – or 10 cent – to €6.90. Grafton went slightly better on the back of more positive news coming out of the British construction market. The DIY group finished more than 2 per cent – seven cent – up on the day at €3.25.

Outside of that, airline stocks were reasonably active. Ryanair was off about one cent at €3.45 in fairly heavy volume. Rival carrier Aer Lingus reversed course yesterday, and erased losses sustained earlier in the week with a jump of more than 7 per cent, bringing it over 67 cent.

Bookmaker Paddy Power was down 2 per cent, or five cent, at €24.50. One trader speculated that this could have been due to the cancellation of racing fixtures.