The Irish stock market finally recovered some ground in thin trading yesterday, but it remains to be seen whether the gains were a dead-cat bounce or whether they are the beginning of a more sustained recovery. There is still, however, little sign of any great support for the market, and the Telecom flotation may have to wash through the system before any significant demand for the leaders returns.
Financials were generally firmer, with AIB up 15 cents on €12.75 (£10.04), Bank of Ireland regaining 20 cents to €16.30 (£12.84) and Irish Life & Permanent 25 cents higher on €10.25 (£8.07). It was not all upward movement, however, with First Active drifting 3 cents easier to €3.23 (£2.54).
Industrials were mixed, with CRH continuing to lose ground, drifting 17 cents lower on €17.20 (£13.55). Greencore was unchanged on €3.00 (£2.36) as the group disclosed that Merrill Lynch has become its second biggest shareholder with a 7.9 per cent stake. Merrill is thought to have bought most of the shares sold in recent months by Putnam.
With the de-merger approaching, Crean managed a 3-cent gain to €1.15 (£0.91). Independent was 5 cents easier on €4.65 (£3.66) as it emerged that chairman Tony O'Reilly had bought 200,000 shares at €4.70 (£3.70). It remains to be seen whether the O'Reilly buying will put a floor under the Independent share price.
