Renewed weakness among the major financial shares and continued improvement by Smurfit were the main features of a dull Dublin market, with every indication that the market in general will continue to fall against the background of weaker prices on Wall Street and major European markets.
Smurfit has bounced back strongly from a 1999 low of €1.45 and yesterday closed another 3 cents higher yesterday on €1.73 (£1.36).
While this is still historically a very low level for the shares, positive comments from analysts at Bear Stearns and Goldman Sachs - together with a growing belief that his month's $50 a ton rise in the liner-board price will stock - have given the shares a boost.
Bear Stearn is very positive about Smurfit and has out a long-term price target of €3.76 (£2.96) on the shares - slightly above the high of last year in the immediate wake of the Smurfit Stone merger. Bear Stearns has put an "outperform" label on Smurfit shares while Goldman Sachs has given them a "buy" recommendation.
CRH was another to rise, adding 7 cents to €15.77 (£12.41) but otherwise it was all downward for the leaders, with AIB 27 cents lower on €15.85 (£12.55) and Bank of Ireland down 80 cents on €17.80 (£14.01).
Good results, however, allowed Ryanair to gain 5 cents to €6.55 (£5.15) while Unidare was 5 cents higher on 1.52 (£1.20) as directors led by John McGuckian moved in to mop up the one million plus shares unloaded by Alliance Capital at €1.45
