A doubling of US foreclosure filings and the setting aside of A$830 million (€506 million) by National Australia Bank for credit-market losses sent European stock markets lower and Dublin was no expectation.
At 12.42pm the Iseq index of Irish shares was 2.3 per cent lower on 4,838 points.
Dublin brokers said the National Australia Bank announcement coupled with closer-to-home Munich Re announcing a 48 per cent fall in second-quarter earnings had sent most European markets lower, with Irish banks taking the brunt of the fall.
"For once it [the share fall] is everyone else's problem. It is not connected to Irish stock news or Irish banks", said one Dublin broker.
Bank of Ireland shares were 7.8 per cent lower at €5.43 with AIB over 6 per cent lower at €7.98.
Suffering similar falls were seen in Anglo Irish Bank shares, off 6 per cent at €6.18 and Irish Life and Permanent, down 5.8 per cent to €5.03.
Despite oil prices holding around the $126 mark Ryanair shares continued to labour under weak retail sales data from the UK published yesterday. The stock reached 12.42pm down 4.5 per cent at €3.14.
Aer Lingus shares were 4.3 per cent lower at €1.49.
Elsewhere there was little positive news with just five stocks in positive territory. Elan added 3.8 per cent to €20.90 while food stocks Iaws and Kerry also gained.
