Market report: C&C was the star of a subdued Irish market yesterday as the shutdown of US markets for the Martin Luther King Jr holiday took its toll on trading volumes in Europe.

The cider and snacks group started the week on a strong note, however, surging by more than 4 per cent in early trade to a high of €5.95. It slipped back later to close the day 12 cent, or 2 per cent, higher at €5.82.

Dealers said the stock, which is now trading at record levels, was benefiting from data showing strong growth in its Magners cider brand in the UK.

The decision by Davy Stockbrokers to raise its share price target from €6.20 to €6.70, along with a positive note from Deutsche Bank in the wake of the AC Nielsen figures, helped drive the stock yesterday, they said.

But elsewhere trading was lacklustre. Banking stocks turned in a mixed performance as Irish Life & Permanent fared well with a 20 cent or 1.2 per cent gain to €17.00.

But Bank of Ireland added just four cent to €13.61 while AIB shed a cent to €18.25 and Anglo Irish Bank lost 10 cent to €13.00.

Dealers said both Fyffes and Independent News & Media had quietened down in the wake of last week's speculation in relation to both companies.

Shares in the media group, which has attracted much interest after entrepreneur Denis O'Brien revealed he had acquired a 3 per cent stake, edged up by one cent to €2.70.

Meanwhile, Fyffes, which has been the the subject of much speculation in relation to its proposed property spin-off, closed three cent lower at €2.36.

In the construction sector, CRH shares advanced by 18 cent to €25.80 while Grafton added 10 cent to €9.35 as most brokers left their forecasts for the group unchanged in the wake of last week's trading statement.

In the exploration sector, Tullow Oil continued to benefit from firm oil and gas prices, closing 12 pence, or 4 per cent, higher at 301.91 pence in London. In Dublin, it added 20 cent, or 4.8 per cent, to €4.40.

Settlement day: January 19th