Financial news

The Malta Stock Exchange lost just over one point yesterday as banking shares finished mixed while shares in Crimsonwing plc gained substantially.

Shares in the software and IT solutions provider Crimsonwing plc gained 2c, or 4.6 per cent, in relatively light volume of 2,200 shares across a single deal to finish at €0.46.

In the banking sector, Bank of Valletta plc shares dropped 4c, or 1.3 per cent, to close at €3.10 in light trading of eight deals for a total of 9,400 shares.

Shares in the local retail bank have been trading in a narrow price range since March of this year after coming off a pre-adjusted high of €3.96 witnessed in January.

Shares in Malta's other large retail bank, HSBC Bank Malta plc, also finished lower, dropping 1c, or 0.4 per, cent to close at €2.83 in 10 trades of 13,320 shares.

Finally, in the banking sector, FIMBank plc performed well on the day, closing up 4c, or four per cent, to close at US$1.04 in three trades of 15,000 shares. The best unsatisfied bid at the end of the session stood at US$0.95 for 5,150 shares while the best unsatisfied offer stood at US$1.04 for 689 shares.

Go plc also performed relatively well yesterday as shares in the local telecommunications provider finished up 5c, or 2.7 per cent, to close at €1.90 in a single trade of 2,585 shares.

The Week Ahead - Economic indicators for week starting June 28

In the United States, non-farm payrolls are expected to have dropped by some 110,000 in June, when during the prior month they rose by 431,000. The unemployment rate is expected to increase to 9.8 per cent in June from its 9.7 per cent in May.

Meanwhile, the Institute of Supply Management (ISM) manufacturing index is predicted to expand to a reading of 59 in June, slightly less than the 59.7 reading registered the previous month. In the housing sector, pending home sales are anticipated to have registered a significant 14.4 per cent drop in May, when in April they rose by six per cent.

In the eurozone, we shall have the publication of a number of confidence indicators.

Meanwhile, the Purchasing Managers Index (PMI) for manufacturing is expected to remain unaltered in June from May, with a reading of 55.6. Elsewhere, the Producer Price Inflation (PPI) is anticipated to ease to 0.3 per cent month-on-month in May from its previous 0.9 per cent. Likewise, the Consumer Price Index (CPI) is also expected to show a slight drop. Finally, the unemployment rate is expected to remain unchanged in June from its prior 10.1 per cent in May.

In the United Kingdom, economic data will focus on the PMI's for the manufacturing and construction sectors, as well as on the final reading of the country's first quarter Gross Domestic Product (GDP) results. The latter should confirm earlier estimates that the UK economy grew by 0.3 per cent in the first quarter. Manufacturing activity is expected to expand to a reading of 57.5 in June, slightly less than the 58 registered in May.

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.