Market up after Merkel remarks

Irish shares closed slightly higher yesterday on the back of comments made by Angela Merkel aimed at dispelling confusion around Ireland’s hope of securing a bank debt deal.

In a joint statement with Enda Kenny, the German chancellor acknowledged Ireland’s “unique circumstances” and reaffirmed her “commitment to examine the situation of the Irish financial sector with a view to further improving the sustainability”. The Iseq Index closed up 2.03 points at 3,242.27.

Banking stocks were relatively unmoved with AIB remaining at 5.5c, Bank of Ireland added 0.2c to 9.5c and Permanent TSB Group was unchanged at 2.4c.

The construction sector continued its downward momentum with CRH falling a further 12.5c to €13.86. Grafton Group fell 2.1c to €3.30, while Kingspan dipped by 0.5c to €8.15.

Elsewhere, Irish/Swiss bakery Group Aryzta fell 21c to €38.29 after a Q3 statement by McDonald’s showed negative like-for-like sales in October. Aryzta’s Fresh Start Bakeries is a supplier to McDonald’s.