US shutdown causing waves
CONTINUING deadlock in the US was having a knock-on the markets yesterday, with Irish and major European stocks falling.
By the close in Dublin, the ISEQ Overall Index had slipped 0.2pc or 6.86 points to end the trading day at 4271.49.
It's a week now since the US federal shutdown with little end in sight. European stocks fell to the lowest level in four weeks.
The Stoxx Europe 600 Index slid 0.2pc to 309.18 at the close in London, after earlier falling as much as 1pc.
National benchmark indexes retreated in 13 of the 18 western-European markets.
The UK's FTSE 100 dropped 0.3pc, while Germany's DAX slipped 0.4pt, and France's CAC 40 was little changed.
"Everyone assumed there would be more action over US- shutdown and debt-ceiling talks over the weekend, and now reality has set in," Veronika Pechlaner, who helps oversee about $2.3bn as an investment manager at the Jersey, Channel Islands-based Ashburton, said.
"Investors will be nervous until some sort of compromise is reached.
"Any US weakness is not good news for Europe."
The leaders in the Dublin market included fruit company Fyffes, which was up 2pc to 79c, while drinks company C&C increased 83c to €4.25.
Drug company Elan increased 43c to €11.75 and building materials firm CRH closed up 34c to €17.57.
On the other side of the board, bookmakers Paddy Power fell 1.7pc to €59.13 and specialty baker Aryzta was down 1.6pc to €51.15. Packaging giant Smurfit Kappa was down 1.6pc to €17.07.
Burberry retreated 1.2pc as its chief executive told a newspaper that the slowdown in Chinese luxury-goods sales may continue.
SAP lost 2.2pc, contributing the most to a decline by a gauge of technology stocks, after a report that the German software maker has held talks with BlackBerry.
In the US, stocks declined, extending losses from last week, and the yen strengthened.