Iseq lags European markets to finish down

The Iseq index finished 1 per cent lower, underperforming by comparison to European markets.

According to one Dublin stockbroker, there was a nervous mood among investors, and volumes were extremely light.

The overall downward trajectory of the Iseq was attributable in the most part to the performance of CRH, the largest constituent on the index, which shed 1.6 per cent on the day.

A consistent stream of negative news from the sector of late was the main reason behind the sell-off in the stock according to analysts, who noted concern about the sector among investors.

The fall-off was not confined to CRH, however, and almost all the main stocks on the exchange finished off. Aryzta, the best performer in the previous session as a result of an announcement of its third US acquisition in two months, fell back, shedding 1.8 per cent to close at €31.50.

Similarly, major companies such as Ryanair and Kerry who enjoyed a bounce in the previous session fell back. Ryanair closed down a half a per cent at €3.70, though volumes were light. Kerry Group, who on Thursday announced it had made a €33 million bid for Newmarket Co-op, also finished off 1.8 per cent at €24.65.

Irish bank stocks were well down for much of the session, on a day when concern about Irish bond spreads rumbled on. Bank of Ireland continued to fall, on the back of its interim results published on Wednesday, shedding a further 4.5 per cent to finish at €0.80.

AIB finished the session pretty much flat though it had been trading much lower for much of the session. It finished just under €0.84, fractionally off. Irish Life & Permanent fell 3.2 per cent to €1.69.

As concern about possible industrial action at Aer Lingus continued, the airline managed to add just under a half a per cent to finish at €0.90.