Oireachtas Joint and Select Committees

Wednesday, 8 July 2015

Committee of Inquiry into the Banking Crisis

Nexus Phase

Mr. Brian Cowen:

All banks, all banks ... I mean, all shares in banks were falling and ours, it's true, was falling higher than maybe the UK ones or US ones ... but, the point I'd make there is Anglo was falling even a bit more than that again. And what was being assessed as the problem there was, the overhang situation of the Quinn share was having an impact on confidence in that respect. So, if you like there were, there were reasons being given for these. I'm not saying you're welcoming the fact that share price is dropping but it was, it was a reflection of market sentiment generally ... of sentiment towards Ireland generally was disimproving plus these, this specific issue that had arisen in March, where people ... there was evidence of short selling going on. So people were buying share, buying ... making Mr. Quinn put more funds in to avoid the loss appearing and then they making money afterwards. So there was a lot of manipulation going on in addition to market sentiment, that would explain some of the drop in the bank share.

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