Is one year enough for bear to turn to bull?

On Wednesday the bear market will have completed its 12th month. Could last week's 1% gain on the MSE Index be the relatively insignificant acorn which, over time, will grow into a great oak tree?

It may or it may not. But one thing is certain: spreading share purchases over lacklustre performance periods is the surefire way to acquire solid assets on the "hire purchase" system over the long term.

The first four-day trading week for the year (there were only three working days in the New Year's first week) saw the market chug along, drumming up a respectable equity volume of Lm434,627 - a mere Lm11,000 short of the previous full week's five-day turnover.

Prices were generally confined to very restricted ranges, with the notable and very welcome exception of Bank of Valletta plc (BOV). This equity suddenly sprang to life during Friday's session, galloping ahead by 10c to an intra-day high of Lm3.69, before closing at Lm3.685.

As a result, BOV was the week's best performer, up 2.9%. On the obverse, Malta International Airport plc (MIA) was the worst performer, down 2.2% to Lm1.36. The MSE index gained 1% to close at 4,872.876.

BOV had a near moribund week before bursting back to life on Friday. It started out practically unchanged at Lm3.579 to close Tuesday's uneventful session at Lm3.58.

Wednesday's trading, although considerably more active with a turnover of 22,710 shares, took place between Lm3.58 and Lm3.57, closing at this latter price. BOV was again comparatively active on Thursday, closing 2c higher at Lm3.59.

Friday saw some long-awaited appreciation as BOV eased out of the paddocks at Lm3.60, galloped ahead to Lm3.65 within ten minutes of the open, accelerating to a day's high of Lm3.69.

This 15-minute burst of activity was followed by a 90-minute interval, with the final deal effected at Lm3.685 for BOV to end the week 2.9% ahead - nearly three times as much as Lombard, the week's second best performer. Could this be investors' anticipation of good results?

BOV's financial half year comes to an end next Friday. BOV was also the most actively traded equity with a total of 64,469 shares traded for a turnover value of Lm231,354, equivalent to 53% of the week's total equity turnover.

At the end of the week total bids for 1,350 shares were at Lm3.611, and offers of 1,500 shares started at Lm3.685.

HSBC Bank Malta plc (HSB) opened the week flat at Lm1.90, slipping 1c by the end of trade. Only five trades for a turnover of 6,012 shares took place on Wednesday as the price dropped 5 mils to Lm1.895; turnover more than doubled on Thursday, but HSB lost a further 5 mils.

There was a mild reversal to this trend on Friday as HSB opened up at Lm1.90, gaining 1c in the final deal to close the day and the week at Lm1.91 - up 0.5%. HSB was the second most active equity of the week with a total turnover of 38,354 shares for a value of Lm72,666.

At the end of trading, bids for 353 shares were at Lm1.90, and the best offer for 2,200 shares stood at Lm1.919.

Maltacom plc (MLC) first traded on Wednesday. Most trades were made at Lm1.39, except for the day's largest deal for 13,900 shares, transacted at Lm1.375.

Thursday's two trades for 1,000 shares each were executed at the unchanged price of Lm1.39, which was also the starting point for Friday's activity. MLC inched ahead to Lm1.395 with the final deal effected at Lm1.397, for MLC to end the week virtually unchanged, just 1 mil higher.

Turnover for the week totalled 36,740 shares with a total value of just under Lm51,000. At the end of trading, best bids totalled 2,340 shares at Lm1.376, with a supply of 1,050 shares at Lm1.395

MIA plunged 4c to Lm1.35 on Tuesday as selling pressure kept the price down at this level with 11,300 shares traded. In Wednesday's solitary deal for 1,300 shares - which proved to be the last one for the week - MIA regained 1c to close at Lm1.36.

The week's 3c-drop translated into a loss of 2.2%, making MIA's drop the worst for the week. At the end of Friday's session, best bids were for 1,500 shares at Lm1.355; offers for 5,600 shares started at Lm1.36.

International Hotel Investments plc hung on to its previous week's closing price, trading steadily at €1.17 on the three days it was active - Tuesday to Thursday. Turnover amounted to 49,400 shares equivalent to Lm24,812.

FIMBank plc only traded on Thursday, up 1.5 US cents, or 0.8%, to $1.89 in a single deal for 2,500 shares.

Lombard Bank plc (LOM) only traded on Tuesday, up 5c to reclaim the Lm5 level on turnover of 1,975 shares. This 1% gain put it in the number two performers' slot.

Tuesday was also the last day investors could buy and be eligible for the 12c5 gross dividend. On Thursday LOM announced that further to the March 8 announcement, the net dividend being proposed amounts to 8.125 cents per share and will be paid on May 7.

For shareholders who choose to receive this dividend in the form of new shares, the attribution price will be Lm5.233 per share. In the light of last Tuesday's Lm5 closing price, this would make a cash dividend more attractive, especially since the best offer on Friday stood at Lm4.978.

After two weeks out of circulation, GlobalCapital plc (GCL) traded at Lm2 on Tuesday, rising to Lm2.01 on Friday's single deal for 1,000 shares. After the close of trading, GCL published its financial statements for the year ended December 31, 2006.

The group registered a profit before tax of Lm3.17 million - a 20.8% increase over last year. Turnover increased by a very healthy 56%, reaching Lm4.82 million, leading to a jump in operating profits of 60% up to Lm2.73 million.

While administrative expenses increased by a hefty 37%, earnings per share performed beautifully, rising 26% from 12c2 to 15c4.

A gross final dividend of 1c per share (0.625 cents net), together with a special dividend of 5c gross (3c25 net), will be recommended to the AGM. The total net dividend of 3c9 will be paid not later than July 6 to shareholders on the register on May 29, i.e investors who buy by May 23.

Trade in Plaza Centres plc (PZC) was restricted to only two deals last Wednesday for a total of 4,300 shares, opening at 71c and closing at 71c5.

On Tuesday PZC published the annual results for the year ended December 31, 2006. These show an increase in turnover from Lm637,554 to Lm656,158 - 2.9% over 2005.

Profits before tax increased by 10.27%, reaching Lm471,417. Earnings per share jumped 12.9% from 2c87 to 3c24. The board resolved to recommend the payment of a gross dividend of 4c7 per share (3c06 net) to shareholders on the register on March 26, i.e. those who bought shares up to and including last Wednesday. This dividend will be paid on April 27.

Middlesea Insurance plc was only active on Wednesday when 1,000 shares changed hands in two deals, the first at Lm1.96 and the second at Lm1.97, 1c lower than the previous Friday's close.

Medserv plc (MDS) stayed put at Lm1.42 in slim turnover of just 2,000 shares on Tuesday and 500 shares on Wednesday. On Wednesday MDS announced that the board is scheduled to meet on Friday to consider and approve the final audited accounts for the financial year ended December 31, 2006, and to consider the declaration of a final dividend to be recommended to the AGM.

Simonds Farsons Cisk plc started the week up 1c at 83c but fell back to 82c by the close of Wednesday, again trading at this price on Thursday to close the week unchanged.

In the Government bond market turnover by value reached just Lm232,047, with 12 issues being traded. In the corporate bond market activity slowed down with 14 deals completed for a total turnover value of Lm118,995.

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