Market falls as IMF urges rate review

THE ISEQ began the week yesterday with a loss of 33.10 points to 2,932.10.

The IMF has said a decision on changing the interest rates charged to countries under the EU’s bailout rules is urgently needed. In its World Economic Outlook, the IMF also cut its growth forecast for Ireland in half.

It now estimates that growth this year will be 0.5%, compared with a forecast of around 1% growth late last year.

In the financial sector, AIB weakened 3c to 25c. Bank of Ireland fell 2.9c to 29.6c. Irish Life & Permanent improved 0.5c to 14c, while insurance company FBD Holdings was unchanged at €7.50.

In the construction sector, CRH decreased 39c to €16.20. Grafton Group slipped 6.6c to €3.38. Kingspan gave up 10c to €6.40, while Abbey Plc remained at €5.20.

In other news, Dragon Oil dropped 16.9c to €6.52. Elan shed 5c to €5.36, while exploration group Providence Resources strengthened 8c to €3.18.