Market report: The Irish stock market closed nearly half a percentage point higher yesterday, helped by a positive tone on overseas markets and a strong showing by certain leading shares.

CRH was among the day's strongest performers, gaining 73 cent, or nearly 2.9 per cent, to €26.15 ahead of the release of what is expected to a positive trading update tomorrow.

Dealers noted that, with US markets closed for the July 4th Independence Day holiday today, US investors were buying into the stock early ahead of the pre-close statement.

The two main banks also had a good day, with nearly five million Bank of Ireland shares changing hands in Dublin.

The stock added 18 cent, or 1.3 per cent, to €14.13 as ratings agency Standard & Poor's revised its outlook for the bank to "positive" from "stable".

AIB also finished in positive territory, closing 14 cent higher at €18.90.

But Anglo Irish Bank was hit by profit-taking in the wake of Friday's strong performance and closed 28 cent, or 2.3 per cent, lower at €11.92.

Irish Life & Permanent also came under pressure, dropping by 20 cent or 1 per cent, to €18.40.

Among second-line stocks, Paddy Power had a good day although volume in the shares was light.

The stock gained 43 cent, or 3.2 per cent, to €13.98 as the defeat of the England and Brazil soccer teams in the World Cup over the weekend was seen as good news for the bookmaker. England and Brazil were bookmaker's two biggest exposures.

Ryanair shares edged up by three cent to €7.13 as the airline announced it had bought 10 more Boeing 737-800s, valued at $700 million (€546 million), for delivery in 2008.

In the food sector, Greencore shares firmed by eight cent, or 2.2 per cent, to €3.76, albeit in light volume, while dealers reported continued interest in C&C, which nudged up by one cent to €6.80, ahead of its annual meeting on Friday.

Settlement day: July 6th