IRISH shares finished 1996 some 22 per cent higher than they began, reaching new peaks in a late scramble on Tuesday.

The ISEQ index ended the session up 36.78 points, or 1.37 per cent higher, at 2,725.63, a new record closing high. During the afternoon, it surged to a new record high of 2,726.22.

Dealers said the market had done well because of an end of year squeeze, where investors sought stock before the start of the new year. Trading volume was seen as reasonable, even though much of the action centred on the four biggest companies.

Bank of Ireland rose 8p to 538p, and its main rival, Allied Irish Banks, rose 5p to 396p pence.

Traders said the Bank of Ireland jump had been caused by a recent shortage of stock in the company.

Irish Permanent stayed on 485p, while Irish Life rose by 0.5p to 273.5p.

Smurfit, rose 6.5p to finish at 179.5p, and CRH climbed 2p to end trading at 612p. Independent Newspapers climbed 7p to 305p, and Woodchester climbed 9p to 218p.

Clondalkin rose 3p from its last closing to 468p, Fyffes closed up 1p on 110p, and Green Properties rose 5p to 240p.

Greencore climbed 2p to close at 378p, and shipping company Irish Continental closed 5p up on its previous closing figure, at 420p. Northern Ireland Electricity rose 5p to 384p, while the oil exploration company Tullow climbed 7.5p to end at 85.5p.

Waterford Foods rose 2p to 90p, while Waterford Wedgwood climbed 1p, to 76p.