Market Report:It was a good day for the Irish market yesterday as a 1.1 per cent gain helped push the Iseq index of Irish shares to its highest closing level in more than three months. The index ended the day at 9,963 with decent volumes trading in many of its leading components.

AIB was particularly busy ahead of a trading update next week with as many as 9.8 million shares changing hands. One dealer said yesterday seemed to be a day for trading out of Bank of Ireland and into AIB, but this had little effect on either of the bank's shares.

AIB moved marginally higher, to close up 12 cent, at €22.54, while Bank of Ireland continued the downward trend from Thursday as it closed five cent lower at €15.96.

CRH meanwhile was busy with dealers reporting significant demand for shares in the building materials group. The stock added 3.5 per cent, or €1.25, to end the day at €37.35. As many as 3.6 million shares changed hands.

Irish Continental Group also had a good day, adding 3.7 per cent, or 75 cent, to close at €21 as investors welcomed news that the Irish Takeover Panel has set a deadline of June 13th for the Doyle Group/One51 consortium to make a bid for the ferry group.

Independent News & Media was again active, with 4.1 million units trading. The shares closed up 2.4 per cent, or nine cent, at €3.87. Dealers said they expect Sir Anthony O'Reilly to continue buying up shares in the company to prevent Denis O'Brien adding to his stake.

Elsewhere, Readymix surprised the market with news that it was in talks to sell part of its concrete products division. The shares rose 2.6 per cent, or seven cent, to €2.80, though volume was very light and dealers said they would have expected more of a jump.