DUBLIN REPORT: Iseq: 1,964.34 (-16.78) Settlement date: March 6th

COMPARED TO the weak performance of its European peers yesterday, the Irish stock market had a relatively good day, although the Iseq overall index remained below the 2,000 mark at the end of the session.

The big news of the day was provided by the index's biggest player, international buildings material giant CRH,which announced that it is to launch a rights issue to raise over €1.2 billion. The company said it intended to use the funds raised to repay debt early and to give it more fire-power to make strategic acquisitions.

According to one trader, the market reacted favourably to this explanation and, although the stock touched €14.52 during morning trading, it rebounded to €15.55 by the end of the day, an increase of almost 1 per cent.

An “Armageddon-type situation” had already been priced into CC, a trader explained, so when the cider manufacturer’s trading statement issued yesterday was in line with its previous guidance, this was seen as positive by investors.

The stock is also said to be trading at such low levels that it is a potential takeover target, so it “is looking interesting to investors”.

By the close of the session, C&Chad traded up 10 per cent, or nine cent, to €0.99.

Elsewhere, packaging firm Smurfit Kappagained almost 14 per cent, or close to 17 cent, to €1.40, although there was no particular newsflow behind this jump.

Although no-frills airline Ryanairtouched €3 at one point during the session, it then dipped to €2.83, a fall on the day of just over 4 per cent.

In the beleaguered financial sector, AIBlost some of the ground it had made on Monday, slipping 4 cent to close at €0.42.

Bank of Irelandfell by just over one cent to €0.19, while Irish Life & Permanentmanaged to hold its ground and closed flat at €0.72.