Financial news
MSE trading report
The Malta Stock Exchange Index managed to finish in positive territory on Thursday, after trading lower for most of the session, as shares in a local retail bank finished higher. The index closed almost 10 points, or 0.3 per cent, higher to close at the 3346.092 level.
Saving the index from closing lower were Bank of Valletta plc shares, which closed 4c, or 1.3 per cent, higher as trades in the last few moments of the session bumped the share price up to €3.240. A total of eight trades took place for 14,125 shares.
Pushing the index lower earlier in the day were Go plc shares, which finished marginally lower, closing down 1c, or 0.5 per cent, to close at €1.840 in five trades for a total of 32,700 shares.
The other stock to trade in the day and manage to close higher was that of Malta International Airport plc, which finished 1c, or 0.7 per cent, higher in light volume of 5,300 shares across two deals to finish at €1.540.
Other shares to trade in the day but fail to register a change in their closing prices were Grand Harbour Marina plc, HSBC Bank Malta plc, International Hotel Investments plc, Middlesea Insurance plc and Simonds Farsons Cisk plc, all trading in relatively light volumes
Trading in the corporate bond market finished mainly lower as €125,354 nominal across 24 deals were traded. Only one of the 12 bonds to trade in the session closed higher while five finished lower.
Weekly UK economic review
In the United Kingdom, the inflation rate as measured by the Consumer Price Index (CPI) exceeded the government’s three per cent limit for the seventh month in September, at 3.1 per cent from a year earlier. A drop in transport costs was offset by higher clothing and food costs, in fact prices of clothing rose by a record 6.4 per cent on the month. Meanwhile, according to the National Institute of Economic and Social Research (NIESR), the pace of economic growth dropped by more than half in the third quarter of this year. According to NIESR, Gross Domestic Product (GDP) increased by 0.5 per cent in the three months which ended in September. This was much lower than the 1.2 per cent increase registered in the previous quarter.
In the labour market, the number of jobless claims increased for the second consecutive month, as claims rose by 5,300 in September. This was much higher than the 4,500 claims which were expected by analysts in the market and also higher than the upwardly revised 3,800 claims registered the previous month. However, according to the measure by the International Labour Organisation (ILO), unemployment fell by 20,000 in the three months to August, while employment increased by 178,000 during the same period. The latter was primarily due to a rise of 143,000 in part-time workers. As a result, the ILO unemployment rate fell to 7.7 per cent in the three months to August, down from 7.8 per cent.
Finally, a measure of consumer confidence in the country as measured by Nationwide fell to an 18-month low of 53, much lower than the 59 level which was expected by economists.
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.