ISEQ rises after gains in banking stocks

STRONG gains in the three Irish banking stocks drove the ISEQ up by 1.27%, or 29 points, to 2,306.91 points, yesterday.

AIB headed back towards to €1 per share mark; up 24c — or 32.71% — at 99c. Irish Life & Permanent (IL&P) still has the highest share value of any of the banks, at present, rising yesterday by another 3c to €1.63. Bank of Ireland, meanwhile, gained an impressive enough 15c in value, closing the day up by under 35.5% at 57c.

Strong gains in British banking stocks — Barclays, alone, surged by as much as 73% yesterday — and rises in energy shares, thanks mainly to a firming up of crude oil prices led the FTSE in London to close 3.9%, or 157 points, up on Friday’s close. It ended yesterday at 4,209 points. The CAC in Paris was also up by 3.7% to 2.955, while the Frankfurt DAX closed at 4,327 points, an increase of 3.5% on last week’s end.

Yesterday started with the Nikkei in Tokyo falling by just under 1% to close at 7,682 as exporters were hit by the weakening exchange rate between the yen and the US dollar.

There seemed better hope across US stock markets as investors banked on a quick approval for the new administration’s wide-reaching economic stimulus plan. The Dow Jones rose by 97 points to 8,175, while the Nasdaq added 24 points to 1,501.

Outside of the financial stocks in Dublin, yesterday, the main positive movers were the likes of food group Glanbia, which rose by 8c, or 3.02% to €2.73; building materials giant CRH, which rose by 49c, or 2.73%, to €18.45 and bookmaking chain Paddy Power, up by 27c, or 2.42%, to €11.57.

In aviation stocks, Ryanair shed 7c, or 2.39%, to close at €3.03. Aer Lingus, meanwhile, continued its free fall after the Government’s rejection last Thursday of Ryanair’s bid ; falling by a further 4c, or 3.39% to €1.14.

Kerry Group also fell by 1.54%, or 23c, to €4.71.