MIA reclaims Lm1.40 level

Contrary to its previous session, trading activity on the Malta Stock Exchange during the last day of the week was spread across eight different equities, on relatively soft volumes. Nevertheless, the MSE Index reversed its five-day losing streak, even though decliners outpaced gainers by the ratio of three to two.

Malta International Airport was the day's top gainer as buying activity in the monopoly operator which has been particularly active over the past few sessions, cleared out supply up to the Lm1.40 level. This represents a 5c or 3.7 per cent premium on its previous closing prices, with the day's activity consisting of 8,720 shares which were transacted across 10 deals.

Bank of Valletta recouped some of Thursday's declines as two investors swapped 1,384 shares at the Lm3.59,5 level. Elsewhere, HSBC Bank Malta dropped a further 0c4 as a mere 761 shares were exchanged across five transactions. Trading activity in HSBC has experienced something of a drought during the past few weeks with turnover dwindling to an all-time low.

FIMBank had a separate fortune, as 38,398 shares were purchased across four transactions, with all deals being executed at the $1.94 level. This activity chipped away at a rather thick offer side which has now been reduced to 19,023 shares.

A single transaction in Lombard Bank witnessed 1,150 being executed at the Lm4.79,9 level, which represents the slimmest decline possible. Similarly, a single transaction in Medserv was executed without altering its previous closing price of Lm1.60.

International Hotel Investments, the third largest company on the exchange, saw 43,000 shares being swapped across three transactions with the price wobbling slightly and terminating the session at €1.097.

Datatrak Holdings, listed on the Alternative Companies List, was the day's worst performer as, the equity shed 4c9 or 22.2 per cent to 17c1 on two trades for a total of 4,300 shares.

European stocks in negative territory

Stocks fell the most in a week after Northern Rock Plc said the Bank of England agreed to provide emergency funds to ease a "severe liquidity squeeze".

France's CAC 40 slid 1.3 per cent, and Germany's DAX lost 1.1 per cent. The Stoxx 50 fell 1.9 per cent, and the Euro Stoxx 50, a measure for the euro region, slid 1.3 per cent.

London equities headed deeper into negative territory at midday, after Northern Rock issued a severe two-year profit warning and confirmed that it had appealed to the Bank of England for emergency financial support. Shares in Northern Rock tumbled 22 per cent to 500p after it confirmed it had arranged emergency lending facilities from the central bank, with its mortgage portfolio used as collateral. The FTSE 100 was 1.5 per cent weaker while the FTSE 250 was down two per cent.

Japanese shares rose sharply as export-focused sectors got a boost from a pullback in the yen. The Nikkei 225 finished the day up 1.9 per cent at 16,127.42 while the Topix rose 1.4 per cent to 1,544.71.

US stock-index futures fell as investors speculated reports yesterday may show the fallout from subprime-mortgage losses has spread, hurting consumer sentiment and stalling economic growth.

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.