Solid showing by banks propels market

Dublin report:The market powered ahead yesterday, closing 2.3 per cent stronger on the back of a solid session for the banks.

The best performance in the sector came from Bank of Ireland, which powered ahead by 56 cent or 4.65 per cent to end at €12.60. A late flurry also cemented gains for AIB, Anglo Irish Bank and Irish Life & Permanent (IL&P). AIB closed 63 cent or 3.94 per cent stronger on €16.63 while Anglo Irish Bank, gained 3.17 per cent, or 39 cent, to close at €12.70. IL&P rose by 68 cent to €15.30. Two brokers - NCB and Merrion - issued notes suggesting buying opportunities in the financials yesterday.

CRH was also in good form, rising by 57 cent to finish at €27.52, despite a downgrade from Merrion reflecting a weaker outlook for construction in the US and a weaker euro/dollar rate. Ryanair held firm, closing 10 cent higher at €5.10 on decent volume after confirming that it would pursue judicial reviews in relation to Dublin airport.

McInerney won back some of the ground it lost after this week's disappointing results, climbing 12 cent to €1.40 on heavy volume.

Irish Continental Group took a breather from takeover news, apart from getting confirmation from property developer Liam Carroll that he had raised his stake to 23.26 per cent. He has set his sights on a 29.9 per cent position. Shares in the ferry operator closed unchanged on €25.50. Mr Carroll's latest batch of shares were bought at this level, while bidding party Moonduster has paid up to €25.40.

Fyffes was one of the few stocks to finish in the red, falling by one cent to 94 cent.