Gains on international stock markets and particularly the strong opening session on Wall Street provided the perfect impetus for the Irish market, and share prices - particularly financial stocks - rose sharply. So far, there are no signs of anybody moving into cash, despite the reports that investors such as Mr Warren Buffett and Mr George Soros are moving out of equities.
It took some time for the Irish market to get on the move yesterday, and the main gains came in after-hours trading. Bank of Ireland came in for some strong buying in late trading and eventually closed up 14p on 795p. AIB was in less demand but closed up 3p on 563p while Irish Permanent was 5 1/2p higher on 619p.
Irish Life came off its best levels and closed down 3 1/2p on 342 1/2p although some doubts over the future operational performance are being balanced out by a feeling that Irish Life's return on its huge investment portfolio will balance out any operational shortcomings.
Among the industrials, CRH moved ahead 3p to 723p, although Smurfit drifted 4p lower to 226p in thin trading. Second-liners were mixed, with Clondalkin up 20p to 600p although Greencore was down 5p to 323p.
With the company being linked to a whole variety of large acquisitions - Lucas, Spillers, Pauls, Imperial Holly - Greencore will probably find it difficult to make progress until it becomes clearer to the market exactly what the group's funding requirements will be.
Likewise, Kerry will probably do well to hold ground at its current 745p until the outcome of the Dalgety asset sale is clarified. IAWS - more likely to be interested in Paul's Malt than anything else - was unchanged on 230p, although an acquisition of the scale of Paul's (in the order of £100 million) might see IAWS using its new-found freedom to tap shareholders for funds.
