Dublin market falls in line with Europe

The Dublin market drifted downwards in line with most other European markets as European stocks fell with record oil prices hurting…

The Dublin market drifted downwards in line with most other European markets as European stocks fell with record oil prices hurting earnings prospects for airlines and carmakers.

National benchmark indexes declined in all 18 western European markets except Norway. The FTSE slipped marginally by 0.2 per cent, while France's CAC40 fell by 1.2 per cent. Germany's DAX lost 0.9 per cent.

With volumes largely light across the board, the ISEQ was around 1 per cent – or 65 points weaker – at 6,194.46 at 4.30pm.

Any volumes were concentrated in the financial stocks which weighed on the market. AIB was the biggest loser ahead of its AGM tomorrow with the stock down around 2.5 per cent in the afternoon at €13.12.

Bank of Ireland was down more than one per cent at €9.02. However, Anglo Irish Bank closed marginally better as it tacked on a couple of cents to €8.20.

Market heavyweight CRH was also under pressure despite reports that it was one of six companies that are in the second round auction process for the German Building products group Xella.

However, it dropped back 68 cents to €23.60 with around 1.2 million shares traded on the back of weak sector sentiment with negative comments from Caterpillar on US construction holding back the sector.

Spiking oil prices also impacted on the aviation sector and Ryanair had slipped back 4 cents €2.73 by 4.30pm

Elsewhere, defensive stocks bucked the trend with United Drug up 1.34 per cent to €3.77, albeit on light volumes of around 400,000. IAWS was up 2.4 per cent to €16.50 with 800,000 shares changing hands.