Market falls over ratings concerns

THE ISEQ index dropped 47.87 yesterday to close at 2,555.24, as the eurozone debt crisis continued to impact markets.

Ratings agency Moody’s has said the risks to the German financial system have risen significantly, while in France they warn that higher yields risk causing the credit rating to fall.

In the financial sector, AIB has signed an agreement to sell its subsidiary, AIB Asset Management Holdings Ireland Ltd, to Prescient Holdings Ltd for an undisclosed fee. Shares in the bank closed down 0.2c at 7.3c. Bank of Ireland dropped 0.1c to 7.8c. Irish Life & Permanent gained 0.3c to 3.5c, while FBD shed 20c to €6.35.