Markets down across Europe

THE ISEQ weakened 51.22 points to 2,898.95 yesterday as Europe’s debt crisis weighed on financial stocks across the continent.

Greek, Spanish and Portuguese bond yields widened on concerns that Greece will eventually need to restructure its debt, while Moody’s cut its debt ratings on Irish banks.

In the US, ratings agency Standard and Poor’s downgraded its credit outlook for the US, citing a “material risk” that policymakers may not reach agreement on a plan to trim its large budget deficit.

In the financial sector, Bank of Ireland shares slipped 0.3c to 26.4c. AIB gave up 1.5c to 22c. Irish Life &Permanent fell 0.6c to 16.4c, while insurance company FBD Holdings gained 5.9c to €7.49.

In the construction sector, CRH fell 65.5c to €15.48. Grafton Group declined 13.5c to €3.38. Kingspan fell 1.9c to €6.57, while Abbey gained 10c to €5.30.