Iseq's losses in line with downward global trend

Iseq: 2,746.71 (-74.01) Settlement date: March 18thEVENTS IN Japan dictated market trends yesterday as the Iseq mirrored the trajectory of global markets, which saw European indices fall the most in four months amid concerns that global equities are entering a period of significant turmoil.

The Iseq fell 63 points to 2,758, in line with its European counterparts. However, it came back from early-morning lows to make some ground in afternoon trading, but this reflected the fact that there was no further negative news from Japan rather than a sign of any recovery, according to traders.

Irish stocks hit lows that have not been seen for some time, with virtually all ending the session in negative territory.

Some of the Iseq’s largest and most liquid stocks like CRH and Ryanair, were hit badly. According to one trader, this may have been due to a massive derisking of portfolios taking place across Europe.

Having hit lows of €14.26, CRH recovered somewhat to finish 2.6 per cent lower at €14.72. Ryanair lost 3 per cent to close at €3.23.

Financial stocks were some of the worst hit. Bank of Ireland shed 3.5 per cent to €0.30, having made gains on Monday, while AIB shed 8 per cent to just under €0.21.

Irish Life Permanent lost 14 per cent to close at €0.67, after it announced that its purchase of deposits and government-backed bonds from Irish Nationwide may have a “marginally negative” impact on earnings and capital.

Baked goods company Aryzta lost 3 per cent to finish at €32.60, following the announcement of positive first-half results on Monday.

ESM-listed Merrion Pharmaceuticals shed 16 per cent after reporting a net loss of €2.5 million for last year.

Paddy Power was one of the few gainers as the Cheltenham festival got under way. It added five cents to close at €29.55.