Financial news

During yesterday’s session on the Malta Stock Exchange, the index extended gains it registered on Monday as it edged up by 0.3 per cent to close the session at the 3,486.536 level.

In the equity market, gains were registered across four equities, three of which are in the banking sector.

In the banking sector, Lombard Bank Malta was the day’s best performer as its shares rose by 3c, which equates to an increase of 1.2 per cent to close at €2.600.

Likewise, Bank of Valletta shares also ended the day in positive territory, as the equity rose by 0c6, or 0.2 per cent to end the session at the €3.725 level.

HSBC Bank Malta was also on the list of gainers during the session as its share price rose by 2c1 or 0.7 per cent to close at €2.921. Meanwhile, FIMBank was the day’s sole loser as the equity dropped by 2c9 of a US dollar, or 3.1 per cent to close at $0.921.

Elsewhere, Malta International Airport shares ended the day on a positive note as the equity gained a marginal 0c1 or 0.06 per cent to close at €1.650. Meanwhile, the company published details of passenger movements during the month of November.

During this period passenger movements reached 202,718, the highest number ever registered in November.

The increase in passenger movements, when compared to the same month last year, is equivalent to an increase of 12.5 per cent.

Weekly US economic review

In the United States, the labour market report showed that the US economy added jobs at a much slower pace in November.

Non-farm payrolls increased by just 39,000 in November, far lower than the 150,000 gain which was expected by various economists. However, the previous month’s gain was revised upwardly to show an increase of 172,000 from an earlier reading of 151,000.

Meanwhile, according to a separate survey, the unemployment rate rose to the highest level since April to a reading of 9.8 per cent from 9.6 per cent in October. Economists were expecting this rate to remain unchanged at 9.6 per cent.

The housing market, according to a measure by the National Association of Realtors, showed that an index of pending home sales increased by a record 10 per cent in October, after declining by 1.8 per cent during the previous month. Economists were expecting sales to decline by one per cent. This shows that low borrowing costs and a fall in prices may be attracting some buyers to the housing market after the end of a tax credit which caused demand to fall.

A separate report showed that the services industry increased in November at the fastest pace in six months. An index compiled by the Institute for Supply Management for the non-manufacturing index, which covers about 90 per cent of the economy increased to 55 in November from a level of 54.3 in October. Finally, a reading measuring consumer confidence rose to the highest level in five months in November as the Conference Board’s confidence index increased to 54.1 from 49.9 in October.

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.