Irish market builds on earlier gains

It may be Friday 13th, but the Irish stock market was in luck again today, building on gains made earlier in the week and breaking…

It may be Friday 13th, but the Irish stock market was in luck again today, building on gains made earlier in the week and breaking through 2,000 points mark.

“It’s probably been the best week for Ireland for long time,” remarked a broker. “You can't call it a rally, but it’s certainly not bad news.”

Independent News & Media provided the big news of the day, announcing significant changes to its board, including the resignation of chief executive Sir Anthony O’Reilly.

Investor reaction to this news was overwhelmingly positive, and the stock was up over 100 per cent at one point during the session. It closed at €0.17, a daily jump of almost 67 per cent.

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The two main banks also enjoyed a good day’s trading, with AIB marking up 8.5 per cent to €0.51, and Bank of Ireland ending the week at €0.28, a gain of more than 17 per cent.

European stocks ended a four-week losing streak after Citigroup, JPMorgan Chase & Co. and Bank of America said they are profitable, fueling speculation the worst of the banking crisis may be over.

The Dow Jones Stoxx 600 Index rose 5.6 per cent to 168.52, the steepest weekly advance since the period ended January 2, as banks recovered from the worst year for financial institutions since the Great Depression.

National benchmark indexes gained in all 18 western European markets except Iceland. Germany's DAX Index rose 7.8 per cent. France's CAC 40 climbed 6.8 per cent as Renault SA and PSA Peugeot Citroen advanced, while the UK's FTSE 100 added 6.3 per cent.

Additional reporting: Bloomberg