DUBLIN REPORT: Iseq: 3,370.38 (43.16) Settlement date: April 23rdTHE IRISH market closed more than 1 per cent up yesterday, boosted by stellar performances from Glanbia and Bank of Ireland.
Glanbia rose by more than 8 per cent, or 25 cent, as investors reacted extremely favourably to the news that the food group has agreed to sell its Irish dairy business to the Glanbia Co-operative Society. The stock finished at €3.30.
Bank of Ireland is behaving “incredibly well” in advance of its impending rights issue, which is expected to take place as early as next week. one broker said. He noted that investors are reacting counter-intuitively in the lead up to the placing, and are buying into the stock, rather than selling off their holdings. The bank gained almost 6 per cent, or 10 cent, bringing it to €1.85.
Elsewhere in the financials, AIB and ILP gained more than 3 per cent, closing at €1.60 and €3.48 respectively.
In the aviation industry, Ryanair moved a little higher despite announcing that its net profit will be hit by about €6 million per day over the seven days of substantial disruption caused by the volcanic ash. It finished six cent up at €3.83. Rival carrier Aer Lingus slid just two cent to 70 cent.
One broker noted that investors are viewing the current disruption in the airline industry as a “one-off situation” and may even “move towards the better-capitalised airlines” such as Ryanair and Aer Lingus.
CRH continued its strong run of form and tested the €20 mark yesterday. “Whether that level is a ceiling or not remains to be seen,” a broker said. The cement stock closed up more than 1 per cent, or 25 cent, at €19.90.
Elsewhere CC continued its upward trajectory, driven higher by the fine weather and positive broker notes. The cider producer added more than 3 per cent, or almost 11 cent, to €3.51.
