A modest recovery all around, but few in the market are yet willing to believe that the worst is over for the Irish market and some fear that yesterday's gains may be nothing more than a dead cat bounce. Others, however, are a bit more optimistic and in the case of Eircom, at least, believe that the share may have hit bottom last Friday and that yesterday's improvement may be the first stage of a slow recovery.
Eircom yesterday rebounded 7 cents to €3.75 (£2.95), but stock was beginning to be offered at that level. "If the share starts recovering, it's likely to be two steps forward, one step back. I don't think we're going to see consistent steady gains," said one dealer who professed to be positive about the prospects for the share in the final quarter.
Bank shares were also slightly better, with AIB up 12 cents on €11.04 (£8.69) while Bank of Ireland - at the centre of a controversy over an increase in the salary multiple it will offer as mortgages - was 5 cents better on €8.30 (£6.54). Irish Life & Permanent - which is planning to increase its mortgage distribution with a chain of franchised mortgage shops - jumped 45 cents to €9.95 (£7.84).
CRH continues to suffer from the negative attitude to the British sector, despite its far more diversified earnings base, and fell 35 cents to €18.37 (£14.47). James Crean dropped 5 cents to 45 cents(32p), Greencore was another 3 cents easier on €2.77 (£2.18), Waterford Wedgwood regained 3 cents to 98 cents (77p) while Smurfit was steady and added 2 cents to €2.90 (£2.28).
