Financial news

The Malta Stock Exchange gained over three-tenths of a per cent to close at 4884.33 points, as the number of equities in positive territory mirrored those closing in negative waters.

Gains in HSBC Bank Malta were the main contributor to yesterday's positive performance on the index, following a one cent gain from the most capitalised equity on the benchmark. The index's heavyweight closed at Lm1.935, while at the end of the session a further 1,000 shares stood at Lm1.921 against supply of 445 shares at Lm1.935.

Maltacom was the most liquid equity in terms of volumes as 19,850 shares changed hands across the 16 deals executed. After initially opening at the Lm1.50 level, the equity then retraced by two-tenths of a cent to close the session at Lm1.498.

Malta International Airport climbed 1.64 per cent to Lm1.362, to recoup some of Monday's losses. The day's activity consisted in a single deal for a mere 251 shares. A lone trade was also the main catalyst for a downbeat session for Plaza Centre shares, as the equity shed 1c5 or 2.1 per cent to close the day at 70c.

Activity in Bank of Valletta shares trimmed one-tenth of a cent from the equity's previous closing price, as the largest bank in asset terms closed at Lm3.629. An aggregate of 876 shares were dealt across four deals.

GlobalCapital shares reverted to positive territory as the equity was the best performing stock of the day after a rebound of 5.48 per cent to the upside. Activity in the equity was restricted to a sheer 400 shares, which makes the current closing price of Lm1.751 vulnerable to further fluctuations.

Atypical trading was also seen in Medserv, as the equity traded for just the seventeenth time this year, activity in the oil drilling support company had no impact on the previous closing price of Lm1.42.

European stocks lower

European equities were sharply lower yesterday, led by Spain's Ibex index, as growing fears over the financial stability of real estate company Astroc led to sharp falls in the property and construction sectors.

Fears that the Spanish property bubble, which drove companies like Metrovacesa and Sacyr Vallehermoso more than 100 per cent higher last year, was in danger of bursting was highlighted by Monday's 41 per cent fall for Astroc Mediterraneo.

Madrid's Ibex index tumbled more than 300 points, or more than two per cent, triggered by worries over property company Astroc, whose shares have plummeted over the last week due to doubts over its financial strength.

By midday, the FTSE Eurofirst 300 was off 0.8 per cent. In Paris, the CAC 40 fell 0.6 per cent, Frankfurt's Xetra Dax lost 0.9 per cent and London's FTSE 100 shed 0.7 per cent.

Japanese shares ended flat, as investors stood on the sidelines ahead of a slew of annual earnings reports to be released after the market close.

US stock-index futures advanced after Texas Instruments Inc.'s earnings forecast exceeded analysts' estimates, bolstering confidence in the outlook for technology profits.

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.