Financial news
Rally in Lombard shares
Significant gains in Lombard Bank shares dictated a positive trend on the Malta Stock Exchange, off-setting drops in Malta International Airport and Bank of Valletta while trading volumes in Malta government stocks reversed to muted levels.
Atypical trading in Lombard shares impinged positively on the bank's share price, as the retail bank shares gained an impressive 29c or 6.36 per cent. The equity closed at a month high of Lm4.85, following the execution of 17 trades carrying 15,500 shares.
HSBC Bank Malta traded at an unchanged price of Lm1.90, as all the 28,446 shares dealt across the 27 deals executed were affected at the same level of Lm1.90. At the end of the session there stood an outstanding 90 shares on the bid side at the day's closing price against 5,000 shares at Lm1.91 on the offer side.
The other banking equity trading on the day was Bank of Valletta, as the first listed equity on the local stock exchange slipped one-tenth of a cent and terminated the session at the Lm3.60 level.
A couple of trades in Malta International Airport propelled the equity lower, as the airport operator slipped 3c or 2.17 per cent. MIA shares closed as the worst performer on the day at a price of Lm1.35.
A solo trade in Maltacom shares left the price unchanged at Lm1.42, while unusual trading in Santumas Shareholding pushed the security one-tenth of a cent higher to Lm1.15,1.
The Malta Stock Exchange closed up by 0.077 per cent, at 4834.345 points.
European markets rise as rate concern eases
Yesterday, strength for European equities, came thanks to overnight support from Wall Street, and after eurozone inflation data eased some concerns over interest rates, helping bond yields move lower. By late morning, the FTSE Eurofirst 300 was up one per cent, Frankfurt's Xetra Dax added 1.5 per cent and the CAC 40 in Paris climbed one per cent.
London equities had extended their strong morning rally by midday. Gilt prices steadied, as the perception spread that the recent global bond sell-off was an overreaction to fears of interest rate hikes. The FTSE 100 was 0.8 per cent higher. The mid-cap FTSE 250 was up 1.3 per cent.
Japanese shares rose, boosted by an overnight recovery in the US stock market and a weakening in the yen. The Nikkei 225 closed up 0.6 per cent higher at 17,842.29. The broader Topix also rose 0.6 per cent to 1,756.64. By late afternoon the yen was trading at Y123 to the dollar.
US stock-index futures rose after a report said the Chicago Mercantile Exchange Holdings Inc. will raise its bid for CBOT Holdings Inc. Stocks rallied during the previous session following gains in the bond market after the Federal Reserve said the economy is growing without stoking inflation.
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.