Friday 22 September 2017

Ryanair shares break €7 barrier

Colm Kelpie

Colm Kelpie

IRISH shares gained yesterday with Ryanair among the leaders as it moved above €7 for the first time.

By the close in Dublin, the ISEQ Overall Index was up 0.5pc, or 19.19 points to end the day at 4032.09. It was the first day of trading in Dublin this week because of the June Bank Holiday.

The index increased on opening but lost ground throughout much of the day, though it managed to remain in the black.

Home building group Abbey was the day's winner, increasing 8.2pc to €8.59, while Donegal Creameries was up 5.3pc to finish up at €5.

Ryanair hit €7.02 – breaking the €7 barrier after it increased 2.5pc.

Speciality baker Aryzta enjoyed a 2pc boost to close at €45.10 after the company posted results that showed its total food revenue increased by 3.6pc to €748.6m in three months to the end of April.

On the other side of the board, packaging giant Smurfit Kappa slipped 3.9pc to €12.40, while insurer FBD lost 1.5pc to close at €13.60. Drinks giant C&C slipped 0.2pc to €4.59.

Elsewhere, European stocks rose, rebounding from a one-month low, as Federal Reserve Bank of Atlanta President Dennis Lockhart said the central bank was committed to its stimulus programme.

The Stoxx Europe 600 Index climbed 0.3pc to 299.59 at the close.

The benchmark gauge fell to the lowest level since May 2 on Monday amid speculation the Fed will scale back bond buying.

National benchmark indexes climbed in 12 of the 18 western European markets. The UK's FTSE 100 added 0.5pc, while France's CAC 40 and Germany's DAX increased 0.1pc.

"Markets are seeing Lockhart's comments as positive," Herbert Perus, who helps oversee about $36bn as head of equities at Raiffeisen Capital Management in Vienna, said.

"We think the macro data in the US will not be very bullish and that the quantitative easing will continue.

"We're very bullish on European equities as it's the most undervalued market in the world."

Banco Santander and Inditex paced gains in Spanish equities as unemployment declined more than forecast. The registered jobless total fell by 1.97pc or more than 98,000 people, leaving 4.89 million out of work.

Insurance company Assicurazioni Generali advanced 1.2pc after agreeing to sell its US reinsurance unit to Scor.

French-Italian multinational electronics company STMicroelectronics rallied the most in almost a month as chief executive Carlo Bozotti said orders have been positive.

Across the Atlantic, US stocks fell, while the Dollar Index rose from an almost one-month low.

The yen slid against most of its counterparts and Turkish shares rebounded from the worst drop in a decade.

Irish Independent

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