DESPITE an improvement in both London and New York, the Irish market drifted lower in thin trading dragged down by further falls by CRH and sharp falls by a number of second line industrials.
Previously CRH was dragged lower by the Natwest "sell" recommendation and the weakness of the British construction materials sector but yesterday's 6p fall to 580p came against the background of an improved British sector. Elsewhere among the industrials, Smurfit was unchanged on 162p.
Secondline industrials had a poor day, with Ardagh suffering a 20p fall to 135p and James Crean falling 15p to 200p. Independent lost 12p to 88p, Jurys closed on a 254p sterling, the equivalent of 244p a fall of 11p on the day.
The fall was being partly blamed on concern over the prospects for the tourism sector as a result of the renewed instability in Northern Ireland.
Financial stocks were featureless with AIB up 1p on 321p while Bank of Ireland lost 1p to 414p. Prospects of industrial action kept Irish Life weak on 227p while Woodchester lost 8p to 180p.
Gilts closed lower in thin trade, pulled down by weaker European markets and some nervousness among overseas investors. The currency instability is also leaving some investors a bit wary about committing funds, while the latest interest rates speech by Fed chairman, Mr Alan Greenspan, was another factor that left many investors sitting on the sidelines.
