Leading financial and industrial shares failed to hold on to strong early gains and, although the market did close ahead on the day, dealers expressed some dissatisfaction that the losses later in the session were so heavy. The ISEQ peaked at over 4,933 before closing just 33 points higher on 4,802.03.

The weaker opening session in New York was the main reason for the retreat by financials. AIB dealt as high as €12.23 before drifting back to close up 18 cents at €12.07 (£9.51). Bank of Ireland showed the same pattern, peaking at €8.25 in early trading before closing up just three cents on €8.07 (£6.36).

Despite the surge in the European telecoms sector in the wake of the MCI/Sprint bid, Eircom gave up all its impressive early gains which saw the share reach €4.28 1/2 only to close unchanged on €4.15 (£3.27).

CRH has had a bad run in the past couple of weeks, but rallied strongly to close up 32 cents on €18.80 (£14.81) having peaked at €19 in earlier trading.

Greencore edged ahead four cents to €2.91 (£2.29) after the European Commission lopped €1 million (£790,000) off the fines levied on Irish Sugar for anti-competitive practices. Greencore has already provided for the fine and the outcome of the proceedings is not a material factor.

Fyffes was two cents firmer on €1.78 (£1.40) and seems to have reached a floor after the series of buy-backs all the way from €2.30.

Independent remained in demand after various upgrades and was five cents stronger on €5.05 (£3.98), while Irish Life & Permanent was four cents easier on €10.66 (£8.40). Ryanair jumped 35 cents to €8.90 (£7.01) as Smurfit drifted two cents to €2.60 (£2.05).

The main activity among Irish shares in New York was in Elan, where the shares were trading almost a dollar higher on $321/2 as the Irish market closed.