Financial news

The MSE index closed marginally lower yesterday as gains in Lombard Bank, FIMBank and International Hotel Investments were offset by minor declines in Maltacom and HSBC Bank Malta. As a result the index maintained its negative stance, closing 0.019 per cent lower at 4,873.487 points.

HSBC Bank Malta registered further declines, this time falling a mere 0c5, to close the first part of the week at Lm1.97. The day's activity consisted in 29,106 shares carrying a market consideration of Lm57,410 which were exchanged across 28 deals. At the end of the session 1,500 shares were best bid at Lm1.96 against supply of 1,100 shares offered at Lm1.97,4.

Lombard Bank plc was the day's top gainer as the share price reversed all of the previous day's losses to regain the Lm5.10 level. A total of 7,879 shares were exchanged during the session across six transactions. At the end of the session the bid-offer spread widened significantly, with 128 shares best bid at Lm4.65 against 1,500 shares offered at Lm5.15. Activity in Bank of Valletta plc consisted of 13,300 shares exchange across 21 transactions. The price fluctuated slightly but still managed to close unchanged at Lm3.59. Trading in International Hotel Investments shares remained robust with 31,902 shares being swapped across seven transactions. The share price traded again at the €1 level and at the end of the session unsatisfied demand of 1,098 shares remained on the market at today's closing price.

FIMBank shares too closed on a positive note as the share price rose 1c or 0.59 per cent to close at US$1.70. A total of 32,700 shares were exchanged over four transactions. Similarly Malta International Airport shares ended slightly higher, gaining a mere 0c5, to Lm1.34.

Maltacom share price lost a mere 0c5 to close the day at Lm1.49,5 with the equity trading predominantly at Lm1.50 level. Elsewhere in the market activity in Datatrak Holdings shares consisted of 9,300 shares which were exchanged without affecting its previous closing price of 26c.

Tokyo shares continue to rise

European equity markets ticked higher yesterday as retailers took some of the sting out of losses for oil stocks. By midday, the FTSE Eurofirst 300 was up 0.1 per cent at 1,457.29, while Frankfurt's Xetra Dax fell 0.1 per cent to 6,465.47, the CAC 40 in Paris was down 0.2 per cent to 5,415.47 and London's FTSE 100 was down 0.2 per cent at 6,147.2.

Japanese equities added to the previous day's gains with the benchmark Nikkei 225 Stock Average climbing 0.7 per cent to 16,637.78 and the broader Topix up 0.5 per cent to 1,636.72. The advance was led for a second day by blue-chip exporters as the yen continued its slide against the dollar and tumbled to an all-time low of 154.90 against the euro. In previous weeks, investors had begun selling exporters on fears that the greenback would continue to dip against the yen. Yen weakness enhances the profitability of Japanese companies that make the bulk of their money abroad.

Overnight, US stocks posted small gains as hopes of further deal activity was offset by the looming Federal Reserve policy meeting yesterday. As stocks struggled for traction at the start of the week, investors pondered whether the market had enough impetus for the traditional year-end rally.

The financial news was compiled by Valletta Fund Management (Tel. 8007 2344) and Bank of Valletta plc (Tel. 2131 2020). BOV and VFM are licensed by the MFSA to conduct investment services business.