Dublin market flat as European stocks continue to climb
Published 25/07/2014 | 02:30
Irish shares were little changed on Thursday, as the surge in Dublin house prices was offset by little movement outside the capital.
By the close in Dublin the ISEQ Overall Index had fallen 0.04pc, or 1,72 points, to close at 4,740.77.
House prices dominated the Dublin market. Statistics from the CSO showed values had surged more than 23pc in Dublin in the past year - the most since the boom in 2005 - but were little moved beyond Dublin, rishing only by 3.5pc.
While fears about a potential bubble in the market has caused concern for some time, the higher prices have buoyed the banks, saddled as they are with property related assets.
Bank of Ireland added 5.3pc to clsoe at 26c. AIB on the other hand fell 4pc to 9c.
In percentage terms, the main laggard on the market was Mincon Group, which slipped 8.1pc to 84c.
Providence Resources continued its poor run, dropping 4pc to €1.44.
Green REIT dropped 1.1pc to €1.26. The property investor has been hit by concerns that commercial property prices in Dublin are becoming frothy.
Elsewhere, European stocks rose for a third day as manufacturing gains in China and the euro area boosted investors' confidence that the economic recovery is on track.
National benchmark indices rose in 14 of the 18 western-European markets. France's CAC 40 climbed 0.8pc, while Germany's DAX added 0.4pc and the UK's FTSE 100 gained 0.3pc. The Stoxx Europe 600 Index climbed 0.4pc.
"Company earnings are coming good," Herbert Perus, at Raiffeisen Capital Management in Vienna. "If you look at Nokia, for instance, the figures are good and the stock is up."
EasyJet lost 5pc. Europe's second- biggest discount airline posted a weaker than expected forecast.