Financial News

Monday's session on the Malta Stock Exchange ended on a positive note as the index gained 0.759 per cent to close at 3,318.485 points. Trading activity in the equity market consisted of 36 deals which were spread over six different listings.

After last week's battering, Middlesea Insurance shares recovered some lost ground as the equity advanced by 7.14 per cent to terminate the session at €0.75. Trading activity yesterday consisted of 11,000 shares transacted between a price range of €0.80 and €0.70.

Shares in Malta International Airport also registered a significant leap forward as the share price advanced by €0.10 or 4.3 per cent to €2.45. Late last Friday, the company published its Interim Directors' Statement providing an overview of its performance throughout the third quarter.

The company stated that passenger numbers during the period improved significantly compared to the first half of the year but were still down by 4.7 per cent compared to the same period last year. For the last quarter of 2009, the company anticipates a small increase which should bring the total number of passengers this year to approximately seven per cent less than 2008.

Go shares also extended their recent rally as the share price gained a further €0.05 or 2.75 per cent to close the session at €1.87. Trading activity during the session consisted of seven deals for an aggregate 9,803 shares.

Activity in the banking sector was relatively subdued with FIMBank and HSBC Bank Malta nudging minimal gains and BOV ending the session unchanged.

The week ahead - Economic indicators for week starting November 23

The United States economic calendar will feature quite a number of releases this week. These will include a number of confidence indicators, where it is expected that we see somewhat sluggish readings on consumer confidence in the near future. We shall be able to judge the state of the housing market via, among others, the House Price Index and the CaseShiller Home Price Index, the MBA Mortgage applications data and the New Home Sales figures, with the latter expected to partially rebound from the 3.6 per cent decline in September.

Of interest as well will be the second publication of the third quarter GDP figure, which is expected to be revised down to an annualised rate of 2.9 per cent from the 3.5 per cent previously reported. The Personal Income and Spending figures for October are expected to be released tomorrow, together with the Durable Goods orders data which is expected to rise by 0.5 per cent in October.

In the United Kingdom attention will be focused on the second estimate of the third quarter GDP figure, where this is expected to show a mild upward revision from a -0.4 per cent quarter-on-quarter to -0.3 per cent. Other releases due this week will include third quarter private consumption, government spending, exports and imports figures.

In the eurozone, after the Purchasing Managers Indices (PMIs) released yesterday, we shall today be presented with the September Industrial New Orders figures. The eurozone's money supply figures (M3) will also be released this week. Finally, we shall also have the publication of a number of confidence indicators, with the eurozone's economic sentiment expected to show another increase in November.

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.