Trading activity for yesterday's session on the Malta Stock Exchange extended the losses registered during the previous session as the Index shed a further 1.1 per cent to close at 3,122.15 points.
In the banking sector the only gainer was Lombard Bank Malta, as its shares rose by 5c or two per cent to terminate the session at €2.50. Turnover in the bank's equity consisted of 4,600 shares swapped across three deals.
Bank of Valletta shares paired gains during the session to close unchanged at €3.35. The company also announced that the board of directors are scheduled to meet on October 30, to consider and approve the group's and the bank's Audited Financial Statement for the financial year ended September 30, 2009.
HSBC Bank Malta and FIMBank were on the list of losers as they shed 4c and 0c7 of a dollar to end the session at €2.77 and $1.11 respectively. FIMBank was also the day's most liquid equity as investors exchanged 18,850 shares over four deals.
Outside of the banking sector, Island Hotels Group Holdings was the day's best performer as its share price rose by 5c or five per cent to close at €1.05. Trading activity in the company's share resulted when 2,500 shares were transacted over two deals.
International Hotel Investments was the day's laggard as the equity shed 2c9 or 3.4 per cent to close at €0.821. Malta International Airport also closed in red as the equity dropped by 2.2 per cent to terminate at €2.20.
Go was a non-mover during the session as the equity closed unchanged at €1.60. Turnover in the quadruple play telecommunications' company was spread over 4,810 shares spread over seven deals.
Weekly US economic review
In the United States the economic headlines over the past week included the publication of the minutes of the latest Federal Open Market Committee (FOMC) meeting and inflation figures. Other salient data over the reported period included retail sales.
The release of the minutes from the September 23 Federal Reserve rate-setting meeting indicated that the Fed is still concerned about deflation in the economy. Even though the committee noted that recent consumer price inflation was slightly better than expected, the Fed is expecting that "a slack in both the labour and production markets" would result in declining wage and price inflation. Meanwhile, consumer prices rose 0.2 per cent for September which was in line with market expectations while there was also a 0.2 per cent increase in core prices (excluding energy and food). Furthermore, an annual 1.3 per cent drop in prices was registered in September as food prices fell over the year for the first time in over 40 years. The New York Empire Manufacturing Index was sharply stronger than expected with a reading of 34.6 for October from 18.9 the previous month. The Philadelphia Fed Index was in contrast slightly weaker with a reading of 11.5 in October from 14.1 a month earlier.
The Dow Jones Stock Index breached the 10,000 mark for the first time since October 2008 last week, as positive third quarter earnings announcements and better than expected retail sales data boosted investor sentiment. In fact, retail sales were better than expected with a 1.5 per cent decline for September following a revised 2.2 per cent gain during August, which was largely fuelled by the "cash for clunkers" programme.
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.