The meeting of the US Federal Reserve's open markets committee dominated proceedings on international equity markets, with the result that investors were reluctant to take strong positions until the outcome of the deliberations. Most in the market felt that at most the Fed would adopt a formal bias towards higher rates - in effect sending a signal to the markets that a rise is not far off, unless there are clear signs that last week's inflation figures were a once-off unpleasant surprise.

Among financial shares, some modest selling of AIB was balanced by buying by Bank of Ireland, with AIB closing down 10 cents on €13.90 (£10.95), while Bank of Ireland was 13 cents higher on €17.98 (£14.16). Irish Life & Permanent was 25 cents weaker on €12.20 (£9.61).

Industrials were mixed but mostly weaker, although sector heavyweight CRH was unchanged on €17.85 (£14.06). Glanbia fell 15 cents to €1.65 (£1.30) - mainly as a result of more bad news from Britain where plans by rival dairy Wiseman for a £30 million milk plant are seen as a serious threat to Glanbia's milk business with the multiples.

Elsewhere, Athlone Extrusions lost seven cents to 78 cents (61p), James Crean was unchanged on €1.05 (83p) despite some buying by chairman Mr Ray McLoughlin, while Green lost 20 cents to €5.70 (£4.49). Smurfit dealt busily but within a very tight trading range, and closed two cents down on €2.85 (£2.24), while Tullow was sharply lower, dropping nine cents to 79 cents (62p). Ennex disclosed there has been a 75 per cent take-up on its rights issue, with the 25 per cent rump of the issue placed on the market at 61/2 cents (51/8p).