DUBLIN REPORT: Iseq: 2,965.29 (+41.47) Settlement date: November 10thBANKING STOCKS staged a rally in late trading , with both Bank of Ireland and AIB closing up and pushing the Iseq to outperform the European markets.
Bank of Ireland finished at €1.91, up 9.14 per cent and AIB closed at €1.76, up 4.14 per cent while IFG finished strongly at €1.35, up 12.5 per cent to complete a trio of gains for the financials.
Strong rises for Bank of Ireland were on the back of news that the bank is about to raise additional capital through internal measures and is poised to claw back some of its losses, traders said.
One Dublin trader, however, cautioned against reading too much in to a rise of banks shares in conjunction with a rise in the index, saying volatility was still “a major concern” for Irish banking stocks.
Drinks conglomerate CC also traded well after brewing company Molson Coors posted strong results, finishing at €2.70, up 4.85 per cent.
Elsewhere, budget airline Ryanair closed at €2.85, down 3.72 per cent and Dragon Oil continued its slide to finish at €4.90, down 2.39 per cent. Aer Lingus also completed a weak day for the airline sector following news of price hikes from the Association of European Airlines, closing at €0.53, down 1.85 per cent.
Paddy Power traded well ahead of expected positive news from a market update next week, closing at €22.00, up 4.07 per cent. Index heavyweight CRH also generated good business after construction company Wavin reported improving sales trends and a slow-down of contraction in the industry. CRH finished at €18.04, up 2.44 per cent.
Irish Continental Group closed at €13.10, down 0.38 per cent. A trader said the company had returned to the “old school” ways of a proper equity company with a healthy balance sheet and was becoming more attractive.
:quality(70)/cloudfront-eu-central-1.images.arcpublishing.com/irishtimes/VR3765MFOBH2NMV2QNICYDF67M.png)