Market drops on back of CRH

After slipping 4 per cent yesterday, the Iseq index of Irish stocks compounded its losses today, falling almost 1 per cent to…

After slipping 4 per cent yesterday, the Iseq index of Irish stocks compounded its losses today, falling almost 1 per cent to 2,677.96.

Once again market heavyweight CRH was one of the main culprits. Although there was heavy trading in the cement stock, it drifted down 2.3 per cent to close at €16.55.

Brokers noted that some of the small- to mid-cap stocks that have moved up strongly in recent weeks came under pressure today. This was attributed to a mixture of profit-taking and investor nervousness.

IEX-listed recruitment firm CPL, for example, has enjoyed a strong run of form of late, but came back 10 per cent - or 15 cent - to €1.35.

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Independent News & Media fell almost 6 per cent to below 25 cent as discussions relating to the repayment of a €200 million bond continue.

Brokers also noted that stocks with which property developer Liam Carroll is connected suffered steep falls today. Ferry operator Irish Continental Group (ICG) lost almost 10 per cent - or €1 - to close at €9.50, while convenience food company Greencore shed almost 7 per cent to €1.22. It emerged yesterday that Mr Carroll is being personally sued for €60 million by Irish Nationwide Building Society.

Although budget airline Ryanair announced this morning that it would freeze growth in its UK bases in response to a tourist tax in place there, the market seemed to shrug this news off. The stock finished up almost 3 per cent at €3.22.

The financials were a mixed bag. AIB closed down over 5 per cent at €1.65, but Bank of Ireland traded up by 2.4 per cent to €1.73.

Across Europe, Germany's DAX gained 0.3 per cent, while Britain's FTSE 100 and France's CAC-40 fell 0.1 and 0.2 per cent respectively.

( Additional reporting: Reuters)