The Dublin market closed today’s trading less than 1 per cent weaker, as it lost 34.16 points to 4,585.04 in a mixed day for Irish shares.
After a poor overnight session for US equities, the Iseq opened lower as it digested the news from Merrill Lynch last night that it expected to write off another $5.7bn (€3.6 billion).
Banking stocks were immediately under pressure and were marked down quite aggressively in early trading which helped dragged the Iseq down 3.3 per cent at one stage.
However, in line with other European markets, Irish shares rebounded somewhat in afternoon trading after US consumer confidence data for July exceeded expectations.
The financials clawed their way back from earlier lows and by close of business Bank of Ireland was firmly in positive territory as it added on 22 cents, a rise of 4.39 per cent, to €5.23.
Irish Life & Permanent also enjoyed a good day, closing 1 cent stronger at €4.61.
Anglo was off nearly 0.5 per cent weaker as it shed 2.6 cents to €5.25. With a degree of nervousness ahead of its interims tomorrow, AIB was down 5 cents at €7.35.
Elan, which had been enjoying a good run of late, was among the fallers as it slid back 5 per cent to €20.56 with a bit of profit taking ahead of tonight's announcement of phase II data for its Alzheimer's treatment Bapineuzumab.
Ryanair's shares were actively traded during the day. The stock, which fell by 22.5 per cent yesterday, started off weak but rallied on the back of falling oil prices, which dropped to a 10 week low, and merger talks between British Airways and Iberia which raised hopes of a round of consolidation among European airlines. A 4 per cent rise in its share price saw it tack on 10 cents to €2.60.
Elsewhere, construction stocks were generally weaker. CRH was down nearly 3 per cent as it lost 49 cents to €15.96. Kingspan dropped 29.4 cents to €5.929, while McInerney was nearly 10 per cent lower at €0.325. However, Grafton bucked the trend as it advanced by more than 5 per cent to €3.403.
European stocks rose for the first time in four days after a report showed U.S. consumer confidence unexpectedly advanced this month.
National indices advanced in nine of the 18 western European markets. Germany's DAX rose 0.8 per cent, while the UK's FTSE increased 0.1 per cent. France's CAC 40 slipped 0.1 per cent.