Financial news

The Malta Stock Exchange managed to halt the slide in equity prices yesterday as the index gained more than 10 points, or nearly 0.3 per cent to end the start of the week's session at 3742.154.

Malta International Airport plc was the day's biggest gainer as the airport operator's shares gained 19c, or nearly 6.6 per cent, to close the day at €3.09.

Middlesea Insurance plc shares gained 3c, or 4.1 per cent, to close the day at €0.76 in a single trade of 3,300 shares.

Maltapost plc also saw their stock rise on Monday as the postal service operator's shares gained 2c, or 2.7 per cent to finish the session at €0.77.

HSBC Bank Malta plc, closed up 2c9, or nearly 0.8 per cent, to end trading at €3.79 on volume of 4,598 shares in seven deals.

The big loser on the day was Grand Harbour Marina plc as the marina operator's stock lost almost seven per cent, or 13c, to close the day at €1.74.

Bank of Valletta plc also lost ground yesterday as Malta's largest bank by assets fell 4c9, or 1.5 per cent to end the session at €3.20 in 13 trades of 9,883 shares.

Other stocks to see trading yesterday but failed to register any move in price were Go plc whose stock closed at €2.299, Medserv plc which closed at €4.25, Plaza Centres plc which closed at €1.65, Simonds Farsons Cisk plc which closed at €1.72, and 6pm Holdings plc which closed at €0.50.

The week ahead - Economic indicators for week starting February 8

In the United States, according to a Bloomberg survey, the University of Michigan Confidence index is expected to improve from 74.4 in January to 75.0 for the month of February. The nominal US trade deficit is expected to narrow to US$35.5 billion in December after widening to US$36.4 billion in November. Advanced retail sales should improve on December's decline, growth however will continue to be capped by the labour market outlook.

In the eurozone, the week's highlight will be the publication of the Gross Domestic Product (GDP) figures for the fourth quarter of 2009. This is expected to show a growth of 0.4 percentage points, in line with the pointers of other leading indicators like the Purchasing Managers Index. This growth is likely to have been supported by inventory rebuilding and net exports. In the meantime, Industrial Production figures for December are also due this week. Finally, the European Central Bank is also expected to publish its monthly report which includes a number of economic indicators.

In the UK, industrial production is expected to post another expansion during the month of December, while the growth in overall industrial production is likely to be more subdued which will reflect the drag from mining and extraction. The UK's trade balance is expected to improve to a deficit of £2,800 million in December from a deficit of £2,912 in the previous month. However, the focus will be on the Bank of England's quarterly Inflation Report, which should shed more light on the bank's assessment of recent developments. Markets will pay particular attention to its growth and inflation projections. Finally, the National Institute of Economic and Social Research (NIESR) will also publish their GDP estimate for the month of January.

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.