Goodbody Stockbrokers believes the ISEQ Index of Irish stocks has the capacity to rise by more than 25 per cent to 6,000 by the end of this year and rise to 7,000 within two years, despite being at a level almost 13 below its high of last March.

This exceptionally positive prediction is based on a forecast of 50 per cent growth in corporate earnings, the low ratings of Irish stocks and an end to the institutional sell-off.