MARKET REPORT: The market weakened in line with its international peers yesterday as security fears undermined investor confidence.
The banks were among the worst victims of the negative mood in Dublin, with Anglo Irish Bank feeling the most pain. The bank, which is rumoured to be preparing a trading update, tumbled as low as €12.10 at one point before recovering to close at €12.30, down 38 cents.
AIB also fell, losing 15 cents to finish at €12.07. Bank of Ireland was also under pressure, shedding 17 cents to close at €10.15. The bank will issue a pre-close update on Thursday. Analysts at NCB are expecting an indication that margin attrition is being offset by strong volume growth.
Irish Life & Permanent dropped 15 cents to €12.80.
Eircom continued to fall away from its €1.55 flotation level, closing six cents below Friday's close at €1.47. In London, shares dropped by eight cents to €1.46.
Dealers said the stock was finding reasonable support at this level as investors considered the 7.1 per cent yield on offer. Some 12 million shares changed hands in Dublin, with full trade in the company to begin tomorrow.
CRH was fairly steady amid the wider declines, gaining support from the purchase of a 49 per cent stake in Portugal's second-largest cement producer. It lost 12 cents to finish at €16.50.
Independent News & Media fell one cent to €2.04 in advance of tomorrow's full-year numbers.
Tullow Oil was badly hit after announcing that it was abandoning a well in Gabon. Shares in the exploration firm dropped 11 cents to €1.43.
Elan fell victim to profit- takers in the US and Dublin, falling 6 per cent to €15.40 on the ISEQ.
Ryanair continued to struggle, losing 11 cents to close at €4.27.
Outperformers were thin on the ground but Paddy Power rose 10 cents to €8.90 on the back of a profitable Cheltenham. Bank of Ireland said it holds 24 per cent of the company on behalf of clients.
