Financial news

Equity trading during yesterday's session was the most robust for the entire week, however last minute decline trading in Malta International Airport brought the MSE index to a slightly negative close.

In fact, Malta International Airport was the worst performing stock of the day, as the price nosedived in the dying minutes of the session, as a mere 700 shares were sold across two transactions, down to Lm1.35. This affected all other shares in issue negatively by 5c with round about Lm3.3 million worth of shareholder value being wiped off the monopolistic airport operator.

Maltacom closed the week on a positive note, as investors deemed that the equity had fallen too far and came to the market with the sole intention of snapping up shares. The day's turnover amounted to 11,875 shares which were purchased across six transactions thereby pushing the price higher by 1c9 or 1.4 per cent to Lm1.38,9. At the end of the session, however, the best supply stood for 10,470 shares at Lm1.40 while outstanding demand consisted of 130 shares at Lm1.36.

HSBC Bank Malta was once again the most liquid and actively traded equity with a grand total of 14,935 shares, carrying a market consideration of Lm28,377, changing hands across 21 transactions. The equity immediately shed 0c5 to trade at Lm1.90 where it eventually terminated the session.

On the contrary, gains were registered in Bank of Valletta and FIMBank shares. The former advanced 1c or 0.3 per cent to reclaim the Lm3.60 level whilst the latter moved higher by half a percentage point to close at $1.95. Elsewhere, low volume trades were executed in Lombard Bank without influencing the previous closing price of Lm4.75.

Two trades were executed in both Medserv and Simonds Farsons Cisk, however all deals were executed without altering their previously traded levels of Lm1.60 and Lm1.07 respectively.

In the fixed interest sector of the market, activity was spread across five corporate bonds and a single government stock, the 6.10 per cent MGS 2015 which advanced 43 ticks to Lm108.

Global stocks in positive territory

Yesterday, global stocks rose, heading for a fourth week of gains, before a report that may show US employment rebounded in September. Standard & Poor's 500 Index futures advanced.

Belgo-Dutch bank Fortis extended Thursday's rally gaining 2.6 per cent after European regulators gave it the green light to go ahead with a joint bid for Dutch Bank for ABN Amro. In mid-morning trade, the FTSE Eurofirst 300 edged up 0.2 per cent to 1575.62, while the Xetra Dax gained 0.1 per cent to 7956.86 and France's CAC 40 was almost flat at 5802.88.

London equities posted modest gains in mid-session trade, supported by strength in the mining sector and rebounding oil stocks as commodities prices consolidated. The FTSE 100 was 0.1 per cent higher. The mid-cap FTSE 250 was 0.5 per cent lower as mid cap real estate stocks followed their blue chip counterparts lower after delays to an important deal in the sector.

Tokyo stocks were mixed, with many falling after Casio Computer shares plunged to their lowest level in 32 years in reaction to the electronics producer's cutting of its annual profit forecast the previous day. The benchmark Nikkei 225 average slipped 0.2 per cent but the broader Topix index rose 0.1 per cent.

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.