Irish shares ended the week weaker, with the two main banks suffering most on fears about their exposure to bad debts in the US.

The ISEQ Index drifted markedly lower during a busy day's trading in Dublin before recovering to end the day down less than 1 per cent.

News of the suspension of Bank of America shares in the US amid reports of credit concerns hit all financial stocks, with Bank of Ireland and AIB turning weaker.

Bank of Ireland was the biggest casualty, with the shares dipping below €10 at one stage, but managed to recover some ground to close at €10.21 down 31 cents. AIB was also weaker, closing at €13.35 down 20 cents. Anglo Irish Bank managed to raise €42 million through a placing of 14 million shares yesterday. The shares were placed at €3.09, slightly below the bank's closing price of €3.18, up three cents. First Active was better at €2.23, up two cents but Irish Life & Permanent lost two cents to €12.70.

Eircom fared better managing to climb five cents higher to €2.60. Industrial stocks enjoyed a good run, with CRH up 18 cents to €19.93 as investors took the view that the cut in US interest rates would help its US operations. Smurfit was also stronger, with the shares up 12 cents to €2.27.

Dealers reported sizeable activity in Dublin in Elan. The shares ended the day €1 weaker at €47.50 but were stronger in New York.

Other stocks traded included, Greencore, which ended the session at €2.95 up nine cents. There were also buyers in the market for Green Property with the shares closing down five cents at €7.05.

And Barlo saw a bit of a rally, with the shares close up three cents at 96 cents.