Iseq ends in positive territory

The traditionally nervy month of September on equity markets opened with a day of volatility in European shares, with patchy trading volumes on the Iseq index.

Markets took an early morning knock after a late surge this afternoon, with sentiment not helped by the release of disappointing manufacturing data. The euro zone manufacturing sector contracted for the first time in almost two years, with even strong economies such as Germany seeing factory activity falter. Broader concerns such as weak Chinese export growth also weighed on investor sentiment.

Fortunes improved in the afternoon with the release of more encouraging US data, however, with the Dublin market managing to finish the session in positive territory.

One of the largest percentage climbers was fruit group Fyffes, but its near 12 per cent rise is largely explained by a plunge in the share price at yesterday's close.

Bookmaker Paddy Power had a volatile day, but finished at the upper end of where it was trading, up 28 cent at €35.82. Analysts at NCB upgraded its forecasts on the company, which published interim results on Tuesday.

Building materials group CRH had a mixed day, but finished up 1.3 per cent at €12.60. President Obama this week urged Congress to pass an extension on the current Federal highway expenditure programme, from which CRH earns substantial business.

Trading in Bank of Ireland was relatively limited, but the stock attracted some buyers on the back of a narrowing of Irish bond spreads, with the bank closing up 1.1 per cent at 9 cent.

Donegal Creameries fell 5.6 per cent to €3.40, after publishing interim results that showed a continued lag in recovering increased producer prices from dairy markets.

Ryanair, which was one of the most heavily traded stocks, closed up 1 cent at €3.14, having taken a dip earlier in the day.