Financials shed value as investors shun Irish shares

DUBLIN REPORT: Iseq: 2,669.70 (+7.96) Settlement date: September 1stTHE DUBLIN market ended the session pretty much flat, bringing to a close a tumultuous week.

Volumes continued to be weak, with most stocks trading at about 60 per cent of their average volumes, while Irish shares continued to be out of favour with nervous investors.

However, the market did settle down somewhat yesterday.

A good set of results from two staples of the Iseq provided some news flow. Independent News Media’s share price rose sharply in early trade as the media group reported a 29 per cent rise in operating profits and 7.8 per cent increase in revenues. However, it fell back towards the end of the session to close the day flat at €0.66.

Similarly, a solid set of half-year results from Irish Continental Group (ICG), which showed an impressive rise in revenues and profits for the first half of 2010 sent the stock price higher, but it too fell back to close just 2½ cents softer at €14.70.

Financials continued to be weak, with the three main banking stocks ending the day in negative territory.

AIB shed 1.5 per cent to close at €0.76, Bank of Ireland lost 2.2 per cent to €0.75 while Irish Life Permanent dropped 3 per cent to close at €1.45.

Tullow Oil fell by almost 5 per cent after Uganda’s energy minister suggested the company might have permanently lost one of its oil licences, which has expired. It closed at €14.63.

CRH, which lost significant ground during the week on the back of disappointing results, steadied.

It finished just under a half a percentage point higher at €12.10, with traders noting that the stock was trading in a narrower range during the session.

IFG was one of the best performers, adding just over 2 per cent to close at €1.18 ahead of results next week.