Share prices strengthen as business picks up

Trading on the Dublin market was pretty busy with dealers reporting one of the most active days for some time.

Share prices were generally stronger. The banks faired better with Bank of Ireland improving to close at €6.70 up seven cents on the day. AIB also enjoyed a bounce with the shares ending the day up 25 cents to €9.30 with buyers coming in to take the stock at current levels.

Irish Life & Permanent was unable to capitalise on the stronger sentiment though with the stock trading to close at €8.80, down 21 cents. Dealers said international selling of the shares was primarily driving the downward move. Anglo Irish Bank was also weaker down one cent at €2.30.

Among the industrials, Smurfit lost some ground, dropping one cent to €1.85, while CRH was down 15 cents at €18.70 amid heavy trading.

Eircom was unchanged at €2.70 with some hope in the market that the shares may be beginning to bottom out at these levels for the moment.

Elan announced it had received an approval letter from the US Food and Drug Administration for its ziconotide drug which is used to treat chronic pain. The news is viewed as very positive for the company and its shares were up 15 cents following the announcement to €46.40. Dealers expect Elan will make further progress in the coming days on the strength of the announcement.

Bula was weaker despite announcing a reduction in losses. The shares closed at 80 cents, down 12 cents with the company continuing to report good progress on its negotiations with Oilinvest in Libya.