Financial news

In a relatively active and wide ranging session yesterday at the Malta Stock Exchange, the MSE Index registered a slight reduction of 0.17 per cent to close at 3,516 points. Ten equities were traded throughout the session with an aggregate of €93,490 spread over 35 deals.

Demand for Maltapost amounted to 3,201 shares which were purchased across two transactions to push the price higher by 2.25 per cent. This represents a 1c8 premium to its previous closing level, bringing the equity to end the day at €0.818.

A gain was also seen in Go when a volume of 1,881 shares dealt over four trades had the price rise to €2.05 which equates to an increase of 3c or 1.49 per cent.

A sole trade with a small volume of 410 shares in Middlesea Insurance saw the equity tumble 5.05 per cent to close at €2.80 which is the lowest level reached for this year.

Bank of Valletta remained the most active and liquidly traded listing with a total of 9,890 shares exchanged across 12 trades which reversed the previous day’s gain to end the session lower at €3.71,9, down 0.83 per cent.

Two trades amounting to 1,000 in Simonds Farsons Cisk depressed the price by 2c to €2.63, while Lombard Bank Malta suffered a similar fate though with a smaller drop of 0c4 closing at €2.996.

International Hotel Investments was a non-mover for the session when 6,968 shares were exchanged over two deals, ending at €0.97 with Grand Harbour Marina, HSBC Bank Malta and Malta International Airport also remaining unchanged.

In the fixed interest sector of the market, activity was spread across seven corporate bonds and four government stocks. The 6.6 per cent MGS 2019 attracted the highest turnover, with 197,625 nominal and closing lower by €1.95 to €113.90. The highest increase in price was registered in the 6.5 per cent International Hotel Investments 2012/14 where 22,300 nominal were swapped over a sole transaction, pushing the price up to close at €101.10.

International market report – weekly round-up

Global equities staged a temporary rebound after a series of coordinated moves to recapitalise ailing banks helped markets recover from their biggest losses in history last week.

Wall Street staged a recovery, at the beginning of this week rebounding from last week’s doldrums. The fresh $250 billion plan to shore up US banks bolstered hard-hit financial stocks but failed to lift the broader market amid heightened concerns of global economic slowdown. Volatility continued to dominate the US stock market as worries haunted skittish investors that rescue moves and efforts to ease the credit crisis may not stave off a severe economic downturn. In New York, the S&P 500 sank by 77.10 points or 7.83 per cent to finish at 907.84. The Dow Jones Industrial Average tumbled by 7.35 per cent while the Nasdaq Composite Index shed 6.44 per cent. European stocks posted an initial record gain after concerted action to throw a lifeline to the continent’s banks sparked a surge in financial stocks and a recovery in the oil price boosted commodity stocks. The moves in Europe to recapitalise the banking sector strike to the heart of the problem. However, fears over a systematic crisis refuse to fade despite the raft of measures being introduced, leading all major European indices lower during the week under review. The benchmark FTSE 100 Index declined by 6.57 per cent. In Frankfurt the Xetra Dax lost 3.03 per cent and in Paris the CAC 40 tumbled by 3.31 per cent.

The Nikkei stock index headed for the biggest one day gain over the past 60 years as it rose by more than 14 per cent. However, this gain was insufficient as the index closed the week under review in red as it lost 7.63 per cent while the Hang Seng Index shed 4.47 per cent.

This article has been prepared by Bank of Valletta p.l.c. (the Bank), which is licensed to conduct investment services business by the MFSA, for your general information only. This information is not a solicitation or offer by the Bank to acquire or sell securities. Nor does it constitute any form of advice by the Bank. Appropriate advice should be obtained before making any such decision. Past performance is not necessarily a guide to future performance and the value of your investments may fall or rise.