Another positive day led by Elan and Tullow

Iseq:2,562.74 (+12.83) Settlement date:October 12th

THE IRISH market had another positive day yesterday, but the market closed before ratings agency Fitch announced it was downgrading both Spanish and Italian credit ratings, a move that sent Wall Street investors running for cover yesterday afternoon.

In Dublin, fruit importer Fyffe’s was a big talking point after about 18 million of its shares were traded, sparking rumours that the group has followed up its recent share buyback with an larger one.

The number of shares traded exceeded 5 per cent of the company. Midway through last month, nine million of its shares were traded in Dublin when the company bought back five million of its own shares.

Traders today were speculating that the company has decided to purchase more of its own stock.

The shares closed unchanged at 38 cent, putting a €6.8 million value on today’s turnover, but did hit 40 cent at one point during morning trade.

Elsewhere, the strongest performances were put in by companies whose biggest exposure is to markets outside the Republic.

Oil exploration and production group Tullow was up 4.48 per cent at €15.79. However few shares were traded and the increase reflected the stock’s positive move in London, where most of its shares are traded. Pharmaceutical developer Elan added 2.36 per cent to close at €8.035. DIY and builders’ merchant Grafton was up 2.4 per cent at €2.75. CRH, was up 0.04 per cent at €12.75.

Ryanair was slightly down at €3.146 and dealers noted it had not benefited from the recent rally. They pointed out there have been a number of sellers of the stock this week. Elsewhere Smurfit Kappa shed 3.27 per cent to close at €4.14. Insulation and construction technology specialist Kingspan was down 2.86 per cent at €6.12 at the close of business.