The FTSE 100 pushed through the 5,200 level by the end of morning trade yesterday, boosted by takeover speculation in the financial sector, positive trading updates and rising oil stocks. The FTSE 100 rose 0.8 per cent to 5,233.1, reaching a new three year high for a fourth successive session. The mid-cap FTSE 250 also performed well, adding 0.8 per cent at 7,463.3, a new all-time high by mid morning.
Shares rallied in New York yesterday despite rising oil prices as retail stocks rose on better-than-expected results from Wal-Mart. Stocks stalled in early trade as investors returning to work after the Fourth of July holiday had to consider the immediate impact of oil creeping back up towards $60 a barrel. The price of crude was lifted by news of a tropical storm in the Gulf of Mexico that could disrupt fuel supplies.
European shares pushed to a fresh three-year high on Wednesday fuelled by gains in the oil and technology sectors in a market boosted by a strong performance from Wall Street overnight. The FTSE Eurofirst 300 rose 0.6 per cent to 1,157.06 by mid-morning, Germany's Xetra Dax put on 0.6 per cent to 4,630.28 and France's CAC-40 was up 0.7 per cent to 4,283.80.
Japanese shares were broadly flat yesterday. The benchmark Nikkei 225 average was down 0.1 per cent to 11,603.53, while the broader Topix index was 0.02 per cent higher at 1,183.63.
Meanwhile, buying activity in Simonds Farsons Cisk shares was met with a constant flow of supply which prevented the share price from making any headway.
Banks dominate the market
Banking stocks remained the engine behind the ongoing rally at the Malta Stock Exchange with continued gains during yesterday's trading session.
HSBC Bank Malta shares repeated Tuesday's performance by gaining another 10c to close at a new record high of Lm5.20c.
Bank of Valletta easily broke through the Lm5 resistance level as demand for shares remained relatively strong. During the session a total of 9,500 shares were exchanged across 22 trades forcing the price to move higher by 6c or 1.2 per cent to close at Lm5.05c, its highest level since the end of April. On the losers' bench, Malta International Airport shares lost in excess of 2.2 per cent as 700 shares were sold over a single deal at the Lm1.31c level. The decline was somewhat expected with MIA shares starting to trade "ex-dividend".
Relatively strong selling activity in Maltacom shares was met by a broad bid side, which softened the decline incurred during the day, to just 2c. A total of 15,000 shares, were executed across eight trades pushing the price down to the Lm1.33c level.