The Irish stock market continued to trade up today, gaining more than 30 points as European stocks remained firm in early afternoon trade.
Financials gained throughout the day, following the announcement yesterday that Trinity College economics professor Patrick Honohan will take over as Central Bank Governor.
After adding as much as 7.7 per cent in early trade, AIB lost some ground to trade at 3 per cent up, reaching €2.40 by 2.30pm. Bank of Ireland, meanwhile, started strongly, gaining more than 6 per cent in early trade before falling back to a gain of 2.6 per cent to €2.36.
Bucking the trend, Irish Life and Permanent went from just over 2 per cent up this morning to 1 per cent down, at €4.84.
Elsewhere, Fyffes was trading flat after an early gain of 7.6 per cent to 49 cent a share. The company announced this morning that profits and revenue at the group had risen in the first six months of the year, and raised its full year forecast for 2009.
Elan, meanwhile, saw its share price tumble on the Irish market, following the US court ruling that it had breached a collaboration agreement with Biogen on its Tysabri drug. Shares in the drugmaker fell more than 6 per cent during trading, but it clawed back some ground to €4.90 at 2,30pm, 4.8 per cent down on yesterday's closing prices.
Overseas, US stocks inched higher following data that showed US employers cut fewer-than-expected jobs in August even as the unemployment rate hit a 26-year high.
The Labor Department said the unemployment rate rose to 9.7 per cent, though the decline in payrolls was the smallest in a year at 216,000. Analysts in a Reuters poll had forecast 225,000 job cuts. Wall Street is focused on unemployment as the biggest weight on the nascent recovery.
"Even though the headline number was a little better than expected, it's not good news," said Dan Cook, senior market analyst at IG Markets in Chicago. "I think that unemployment rate is going to take a toll."
Analysts said reduced trading volumes caused by fewer investors ahead of the US Labor Day holiday could add to volatility.
The Dow Jones industrial average rose 6.19 points, or 0.07 per cent, at 9,350.80. The Standard & Poor's 500 Index added 0.94 points, or 0.09 per cent, at 1,004.18. The Nasdaq Composite Index gained 5.16 points, or 0.26 per cent, at 1,988.36.
Financial stocks were among gainers as Citigroup Inc rose 2.7 per cent to $4.90 while the Financial Select Sector SPDR exchange-traded fund gained 0.6 per cent.
Additional reporting: Reuters