Iseq recovers ground after plunging to 14-year low

DUBLIN REPORT Iseq: 2,034.44 (-15.46) Settlement date: February 27th:THE IRISH stock market recovered some ground yesterday afternoon after plunging to a 14-year low earlier in the day.

The Iseq index of Irish shares plummeted to 1,977 just before lunch, its lowest point in 14 years. It crept back during the afternoon and at the close of business was at 2.034.44, or a fall of 0.75 per cent.

Dealers said there was no particular reason for yesterday morning’s poor performance beyond negative sentiment from New York and the Far East which marred European trade early in the day.

All three listed banks lost further ground yesterday as the ODCE and the Garda fraud squad raided Anglo Irish Bank. Traders said there was little real interest among investors in Irish financial stocks. AIB closed over 10 per cent off at 52 cents after just over five million of its shares changed hands in Dublin.

Bank of Irelandshed 6.3 per cent to close at 28.1 cents on volumes of 4.8 million shares.

Irish Life & Permanentwas down 26.3 per cent at 70 cents, although it traded down in the mid-60s earlier in the day. Over 5.8 million shares in the bank and mortgage lender were sold in Dublin yesterday.

CRHregained ground after sliding early on. Dealers said most of the early action in the stock was on the sell side, a reaction to generally poor prospects for its industry.

The building materials giant closed up 2.6 per cent at €15.55. Close to 1.8 million shares were traded. Another stock to make progress yesterday was cider producer C&C, which gained 2.15 per cent to close at 95 cents.

The Iseq’s performance was on a par with those in Europe. London’s benchmark FTSE 100 index closed down 34.29 at 3816.44, a fall of just under 1 per cent. The Europe-wide Stoxx 600, which tracks key stocks in 18 markets fell 1.3 per cent to 173.05.