Dublin Report The Irish stock market outperformed the leading overseas markets yesterday, adding nearly 39 points as it was helped by a strong performance from Elan.

Shares in the pharmaceutical company surged by 12 per cent to €23.98 in early trade following the release of better-than-expected results from a trial of its multiple sclerosis drug, Antegren.

But a more muted response in New York, where the shares added just five per cent to $29.38, prompted the stock to give up some of its earlier gains in afternoon trade. Elan shares eventually closed €1.63 or 7.6 per cent higher in Dublin at €22.98.

Ryanair was another strong performer on the Irish market yesterday, adding 27 cents or 5.6 per cent to €5.09 as it continued its recent post-results rally.

Performance in the financial sector was more mixed ahead of the release of interim results from Bank of Ireland on Thursday. Investors are expecting a strong performance from the retail banking operation in Ireland but will be watching for any information on the bank's troubled asset management division and its plans for the British operations. Shares in Bank of Ireland gave up 10 cents to €10.94 yesterday as did Irish Life & Permanent, which closed at €13.50.

Although AIB added four cent to €13.91, Anglo Irish also ended the day weaker, losing 28 cents to €15.52. Among second-line stocks, shares in DCC lost five cents to €15.65 amid profit-taking as the company released a solid set of interim results. A good performance across most divisions helped it deliver a 21 per rise in pre-tax profits to €37.9 million.

Nearly two million shares in Fyffes changed hands as the stock gave up four cents, or 2 per cent, to €1.88 following a good run of late.

Grafton shares shed two cent to €7.25 as the company announced that its bid for Heiton had gone unconditional and was only awaiting clearance from the Competition Authority.