Irish shares closed lower yesterday but financial stocks continued to shine. It was a relatively busy day on the Dublin market, which saw strong demand for Irish Life & Permanent and Anglo Irish Bank.

Settlement Date: August 24th

AIB and Bank of Ireland once again dominated activity as investors continued to sell the stocks and take a profit on the back of their recent good run. Both banks are vying for a place in the Eurostoxx 50 Index at the end of the month and have attracted a strong level of interest as a result.

By the end of last week, both stocks were beginning to run out of steam as investors decided to realise their gains taking a view that any further upside was limited. Yesterday AIB closed 10 cents lower at €13.90 while Bank of Ireland was unchanged at €12.50.

Within the financial sector, investors switched their focus from the two big banks to Irish Life & Permanent and Anglo Irish Bank, which have both received buy recommendations from brokers in the past week.

Irish Life & Permanent gained 20 cents to close at €12.80 with dealers reporting more than 6 million shares traded yesterday. Anglo Irish Bank closed lower after a busy day with the stock ending the session at €6.18, down 2 cents.

CRH lost ground, shedding 30 cents to €15.20 on foot of fears about the impact of the floods in central Europe on its business.

Elan, which held its annual general meeting in Dublin yesterday, fell further, ending 10 cents lower at €2.20.

Some of the second-line stocks were back in demand with DCC adding 25 cents to €10 as it found favour with investors. Galen was also stronger gaining 22 cents to €6.62 and Paddy Power was up 15 cents at €5.40.