Profit-taking brought the Irish market back from its recent highs, but dealers said it was well underpinned at current levels and further gains were likely before the end of the year - albeit punctuated by occasional bouts of profit-taking.

Eircom shares got a good run ahead of yesterday's interim results, which were in line with forecasts. The absence of surprises meant that there was little prospect of the shares consolidating their recent gains and instead they closed 18 cents lower on €4.12 (£3.24), after dipping to an early low of €4.06.

The main factor behind the fall in the index was a sharp fall by CRH, down 62 cents to €18.80 (£14.81) and erasing some of the recent gains notched up after the Merrill Lynch "buy" recommendation and the announcement of the National Development Plan.

Elan continued to recover after its recent heavy losses and was trading 75 US cents higher at the Irish close on $26.62 1/2 (€25.81). At home, it closed at €26.15 (£20.59). Three directors - Mr John Groom, Mr Daniel Tully and Mr Kevin McIntyre - have been recent buyers of the stock at prices between $22.94 and $26.63.

Financials were mixed with Bank of Ireland down 15 cents on €8.75 (£6.89) although AIB was unchanged on €13.70 (£10.79). Irish Life & Permanent, which has lagged the other banks in recent trading, was 10 cents firmer on €10.30 (£8.11). Ryanair continued its good run and closed up 10 cents on €10.60 (£8.35).

Irish stocks on the New York markets were generally firmer although two of the best recent performers, Trintech and Baltimore, were hit by profit-taking. Trintech was trading over $2 lower at the Dublin close on $24.75 (€23.99) while Baltimore was $1 lower on $45.25 (€43.86). Shares ahead at the Dublin close included Smartforce, Icon and Iona.