There was nearly €2 billion wiped off the value of Irish shares today with the banks and construction stocks down sharply after Irish Life & Permanent said it expects new mortgage lending to slow by €800m this year.
The ISEQ closed down 163 points, or 1.7% at 9,501.
European shares slipped to their lowest close in a week, as interest rate worries hit banks and property stocks, with the FTSE100 in London closing down 53 at 6596.
Around two hours before the close US stocks were higher as optimism about tech spending and positive broker comments on companies such as Advanced Micro Devices fueled a technology sector advance, offsetting worries about interest rates.
The Dow Jones was last up 50 points, or 0.37%, at 13,539 and the Nasdaq was up 15 points, or 0.58%, at 2,615.
Japanese share prices closed at a seven-year high this morning, as exporters benefited from the yen's weakness. Tokyo's Nikkei index rose 29 points to 18,240.
