Market up as debt worries prevail

THE Irish market gained 16.40 points to 2,691.40 yesterday.

The cost of insuring Irish sovereign debt against default surged yesterday morning amid investor concerns over the ability of the Government to hold off international bailout from the IMF and fears over new EU measures on burden-sharing. Credit default swaps (CDS) on Irish debt surged 28 basis points (0.28%) to 526bps, the most of any European bond, according to data provider CMA.

In the financial sector, AIB dipped 0.5c to 33.5c. Bank of Ireland weakened 2c to 50c, while Irish Life & Permanent fell back 4c to €1.46.