THE Dublin market got off to a good start yesterday with most stocks gaining ground on the back of strong international markets.

Bank of Ireland and Greencore took centre stage, with both stocks moving up to new all time high levels.

Bank of Ireland managed to further widen the gap between itself and its main rival, AIB, hitting a new high of 555p yesterday, up 5p on its previous closing level. Greencore also moved up to a new high of 385p, up 5p.

While trading was mainly in relatively thin volumes, dealers reported good overseas interest in most stocks.

Despite the overall firmer tone, AIB failed to go ahead, remaining unchanged at 392p. Other financial stocks fared better, however, with Anglo Irish Bank a penny better at 72p and Irish Permanent gaining 4p to 495p. Irish Life also managed to gain ground rising from 276p to 279p.

Leading industrial stocks went strongly ahead, with CRH up 5p at 615p and Smurfit rising to 179 1/2p, up 2 1/2p.

In the food sector, Avonmore moved up 4p to 179p, Golden Vale went a penny better to 66p while Waterford Foods gained 2p to close at 88p.

Yesterday also marked the first day's trading of new shares in the restructured building group, McInerney Holdings. The shares, which opened at 45p, rose to 47p in early trading before slipping back to 44p by close of business.

Meanwhile the Irish bond market turned marginally weaker yesterday, drifting lower in line with ailing European markets. Dealers are optimistic that the market will take up again later in the week on the back of the German government's traditional new year's bund issue due today. The US employment report due on Friday will also be a determining factor for bond markets, according to dealers.

On the Dublin market, the 6.5 per cent Government Gilt due in 2001 slipped 47p from Friday's closing level to £100.65 to yield 6.33 per cent. The 8 per cent bond due in 2006 also fell, dropping 50p to £107.70 to yield 6.75 per cent.