Iseq slips back while Smurfit Kappa advances 3%

Iseq: 2,872.92 (–13.71) Settlement date: June 23rd: MACRO CONCERNS dominated market activity in Dublin yesterday, as the continuing crisis in Greece continued to dictate investor sentiment.

The failure of European governments to agree on a loan payment to avert Greek default sent one global benchmark index toward its lowest close in three months, while volumes were low across the board.

While the Irish market gained some respite around lunchtime when US markets opened, pulling most Irish names off morning lows, the Iseq slipped back by close of business, finishing off ½ per cent at 2,873.

There was little stock-specific news to give direction to the market.

Smurfit Kappa, which last week was the subject of some strong selling, rebounded advancing 3 per cent or 22 cents to close at €7.80 as selling pressure eased on the stock.

Origin Enterprises, which yesterday announced the acquisition of British fertiliser company CM Fertilisers for £19 million (€21.5 million), as well as the acquisition of almost £6 million (€6.7 million) in debt, gained 4 per cent in morning trading, although it fell back towards the close to finish flat at €3.75.

Index-heavyweight CRH lost ground, losing close to 1 per cent at €14.30, although Ryanair added close to 1.5 per cent on €3.52.

Bank of Ireland closed flat at €0.127 as investors digested details of its capital raising exercise announced over the weekend.

Overall, traders noted that volumes were extremely low, as investors remained risk averse.

On the bond markets, yields on the debt of peripheral euro zone countries continued to hover at record-breaking highs.

The yield on 10-year government Greek debt closed at 16.94, while Irish 10-year notes reached highs of 11.45 per cent.