Index lower on mid-caps

The Malta Stock Exchange index closed fractionally lower during yesterday's session at the MSE led by a drop in the price of Middlesea Insurance shares. As a result the index closed 0.194 per cent lower at 4,946.202 points

In fact, Middlesea Insurance shares was the day's biggest loser with the share price drifting down by 4.55 per cent or 10c, to close the session at Lm2.10. The day's activity consisted of 2,878 shares which changed hands across four trades. At the end of the session 3,070 shares were best bid at Lm2.10 against supply of 70 shares at Lm2.19.

Trading in HSBC Bank Malta shares remained flat, as consistent selling activity kept the price unchanged at the Lm2.01 level for the sixth day in a row. A total 24,620 shares, carrying a market consideration of Lm49,511 were exchanged across 22 trades. At the end of the session 1,300 shares were best bid at Lm2.00,9 against supply of 5,000 shares at Lm2.05.

Despite an increase in demand in Bank of Valletta shares, the price remained unchanged, to close the day at Lm3.65. In fact the share attracted the highest value of business activity, with 22,414 shares carrying a market consideration of Lm81,811 exchanged across 15 transactions.

Maltacom shares maintained their previous closing price of Lm1.51 as 8,935 shares were struck across 11 transactions.

Elsewhere in the market the share price of Simonds Farsons Cisk and Global Capital ended 1c lower to close the session at 80c and Lm2.29 respectively. A total of 3,000 shares and 1,500 shares were exchanged in the two shares, respectively.

Technology and telecom stocks drive European equities higher

European equities were stronger yesterday after Wall Street rallied overnight as fears over future US interest rate increases diminished following a tame inflation report. By midday, the FTSE Eurofirst 300 gained 0.2 per cent, Frankfurt's Xetra Dax was up 0.4 per cent and the CAC 40 in Paris added 0.2 per cent.

London equities made good gains as analysts revised forecasts for Vodafone. The mobile phone company firmed 2.7 per cent at 139-and-a-half pence as analysts upped their numbers following better than expected results on Tuesday. In the wider market, the FTSE 100 was 0.4 per cent, higher by midday. The mid-cap FTSE 250 rose 0.7 per cent, to a record high of 10,791.9.

Tokyo shares ended the day flat, as some investors took profits following Tuesday's across the board rally. The benchmark Nikkei 225 average and the broader Topix index ended down 0.28 per cent respectively.

Investors sold shares after the Nikkei rose 1.7 per cent the previous day due to better-than-expected gross domestic product data, which underlined the strength of Japan's economic recovery.

Overnight US indices climbed, with Dow-listed retailers Wal-Mart and Home Depot both up in spite of weaker-than-expected retail sales data. Both companies reported unexpectedly strong third-quarter results.

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Valletta Fund Management (tel. 8007 2344) and Bank of Valletta plc (tel. 2131 2020)