First quarter: IHI, FIMBank lead

Last Friday's session saw the end of the week, the month and the first quarter of 2007. Unfortunately, the first quarter, when compared to that of 2006, is proof positive that comparisons are not only odious, but, in this instance, atrociously abominable.

How else can one describe the gargantuan 82.7% overall drop in equity turnover? It is true that this time last year the equity market was oozing a vigour and vitality, which had seen the MSE Index vroom to an all-time high, just two trading days before the quarter's end.

The MSE Index itself is down exactly 26% in the 12 months to last Friday. For the week, the month and the quarter, the drop in the Index is, incredibly, an identical 1.2% for each of the three periods.

Turning to the individual top performing shares we see more chaotic change as laggards of the past become leaders of the present. The only two non-Maltese lira denominated equities were the hands down winners. Euro-denominated International Hotel Investments plc (IHI) was up by a neat 17%, followed by US$-denominated FIMBank plc (FIM) - up 9.8% in US$ (equivalent to 8.5% in Maltese lira terms).

At number three? Datatrak plc (DTK) with a 5.6% gain - the only equity on the Alternative Companies List.

This first quarter's laggards are led by Lombard Bank plc (LOM) with a 14% drop, followed by GlobalCapital plc (GCL) -9%, Maltacom plc (MLC) -6%, Middlesea Insurance plc (MSI) -6%, Bank of Valletta plc (BOV) -2.4% and HSBC Bank Malta plc (HSB) -1%.

Turning to the trading in the last week of March, it proved to be the second most active of this year's first quarter, with equity turnover just Lm35,000 short of Lm1 million. A very impressive 71% of this came from one of the banks. But, in line with the rest of the bedlam, it was not BOV or HSB, but record-breaking FIM with a staggering 1,119,259 shares traded for a value of Lm684,548.

FIM's price movements, how-ever, were quite contained: it started out quietly on Monday with a turnover of just 1,500 shares at the unchanged price of $1.89. It gained a cent on Tuesday in the day's final deal when 615,000 shares changed hands.

Wednesday again saw brisk, bustling trade with turnover of 489,707 shares again at $1.90. Thursday's dealing was more low- key with turnover of just 3,052 shares. FIM did not trade on Friday and ended the week 0.5% ahead.

BOV's soft opening to the week saw only 1,800 shares changing hands at the unchanged price of Lm3.685 on Monday, and 600 shares traded at Lm3.684 on Tuesday. While Wednesday was slightly more active, the price tumbled nearly 2% from a Lm3.679 open to a Lm3.611 close - wiping out all of the previous week's gain.

It was generally stable at around this price on Thursday, with the exception of one deal struck at an intra-day low of Lm3.59. Friday's very late start - 30 seconds from the close! - only mustered 1,500 shares, closing at Lm3.61, for BOV to end the week down 2%.

Total volume for the week was an unusually low 14,562 shares for a market value of Lm52,829. At the end of the week total bids for 1,000 shares were at Lm3.59, and offers of 1,876 shares started at Lm3.61.

HSB traded unchanged at Lm1.91 throughout the week's first session. Tuesday was generally stable, with minimal mil movements, again closing at Lm1.91 and Wednesday saw the price ease slightly, down to Lm1.899.

This continued into Thursday, as HSB fell to Lm1.88, maintaining this level throughout all of Friday's quiet session. Volume in fact was the lowest for the week with only 6,140 shares traded.

At Lm1.88, HSB lost 1.6% on the week and is only 4c off its 2007 low. HSB placed a distant second as the week's most actively traded equity with a total turnover of 64,105 shares for a value of Lm121, 637. At the end of trading, bids for 3,500 shares were at Lm1.875, and the best offer for 2,000 shares stood at Lm1.899.

In MLC, turnover for the week totalled 34,630 shares, worth Lm48,166. It opened with three deals, starting at Lm1.395 and closing at Lm1.39. It was anchored to this latter price from Tuesday up to the penultimate deal of Thursday, effected at Lm1.385.

It advanced to Lm1.40 on Friday to close the week at this level, a barely noticeable 0.2% up. At the end of trading, best bids totalled 500 shares at Lm1.385, with a supply of 1,838 shares at Lm1.40.

Malta International Airport plc started on Monday at Lm1.36, rising to Lm1.38 on comparatively good volume of 9,514 shares. Wednesday was much quieter though, with only 2,000 shares trading at Lm1.38 and Thursday saw a solitary deal for 1,000 shares at the same price.

It did not trade on Friday to close the week with a 1.5% gain. At the end of the session, best bids were for 3,000 shares at Lm1.36 and offers for 1,500 shares started at Lm1.38.

LOM only traded at the beginning and the end of the week. Volume, however, was rather unimpressive, with 100 shares trading at Lm4.978 on Monday and 500 shares at Lm4.97 on Friday, down 3c, or 0.6% on the week.

MSI was the week's worst casualty, down 2.5%. It only traded on Thursday when 1,030 shares changed hands in a flurry of small deals. The opening price was Lm1.93, closing at Lm1.92 - the lowest price since January 10, 2006.

GCL, despite the very positive annual results released a week earlier, lost 1c to Lm2.01 in two matched deals for a total of 10,667 shares.

IHI, Plaza Centres plc (PZC) and Medserv plc (MDS) all ended the week stable and all traded on just one day. IHI was active on Wednesday in two deals for 24,058 shares at the unchanged price of €1.17, PZC traded on Thursday at 71c5 and Medserv was active on Friday in one deal for 1,000 shares at Lm1.42.

Simonds Farsons Cisk plc, Grand Harbour Marina plc and DTK did not trade.

In the Government bond market, turnover by value reached Lm865,787, with 13 issues being traded. In the corporate bond market activity picked up with 72 deals completed for a total turnover value of Lm237,587.

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