Weak international markets depressed the performance of Irish shares as uncertainty about the US economy continued to undermine investor confidence. Eircom and the banks were the main casualties yesterday, weakened by negative sentiment on these sectors across global markets.
Eircom shed another 11 cents to close at #2.49, once again hit by a slide in Vodafone's share price in London. Vodafone moved lower on news that the Hong Kong-based conglomerate, Hutchison Whampoa, announced it was selling half its 2.3 per cent stake in the mobile phone giant. The banks continued to be dogged by concerns about credit quality in the US, which has left the sector firmly out of favour.
Bank of Ireland was worst affected, with the stock moving below #10 to close at #9.96, a fall of 25 cents on the day. Bank of Ireland has been unable to find support so far this year.
AIB lost 22 cents to end the day at #13.13 and Irish Life & Permanent shed 11 cents to #12.59. The only financial stocks to make progress were Anglo Irish Bank, which was three cents stronger at #3.21, and First Active, which climbed two was 2 cents to #2.25.
CRH was in good demand throughout the session with dealers reporting good two-way interest in the stock. It closed one cent lower at #19.94. Trading in Smurfit was also busy but it too finished a cent weaker at #2.26.
Elan closed unchanged in Dublin at #47.50 but was lower in New York with the pharmaceutical sector running out of steam generally. The technology sector is also braced for a further pasting with profit warnings emerging in the US.
