Financial news

On the Malta Stock Exchange, trading activity resumed as usual following Wednesday’s public holiday and resulted in a gain in the index, which rose by 0.3 per cent to terminate at the 3,495.848 level. This happened when shares in Malta’s largest local banks ended in positive territory.

Bank of Valletta headed the list of gainers during the day as its shares rose by 2c4, which equates to an increase of 0.6 per cent to close at €3.749. The Bank was also the session’s most actively traded equity as investors swapped 26,093 shares across 18 deals for a market consideration of €97,324. Bids for 1,241 shares at €3.720 and offers of 1,900 shares at €3.750, where the day’s best unsatisfied positions at the close of the trading session.

Likewise, HSBC Bank Malta shares also ended the day in positive territory, as the equity rose by 0c9, or 0.3 per cent to end the session at the €2.930 level. Trading activity in the bank resulted when investors exchanged 3,000 shares across three deals.

Meanwhile, Plaza Centres was the day’s sole laggard, as the equity declined by 7c, or 4.1 per cent to close at €1.650. Investors in the company transacted 10,000 shares over four deals.

Go was a non-mover during the session as the equity closed unchanged at €1.919. The quadruple play telecommunications company was trading at an intra-day low of €1.881, when some buying activity supported its price to its current standing. Activity in Go shares resulted when a total of 18,000 shares were transacted over 10 deals.

Weekly UK economic review

In the United Kingdom, the Bank of England’s Monetary Policy Committee (MPC), as expected, held interest rates at 0.5 per cent and left its total £200 billion of quantitative easing purchases unchanged. On a positive note, manufacturing output in Britain increased by 0.6 per cent in October, twice as much as economists forecasts, after increasing by an upwardly revised 0.2 per cent during the previous month. However, sharp falls in mining, utilities and oil and gas extraction have caused industrial output to decline by 0.2 per cent. Economists were expecting the latter to increase by 0.3 per cent.

A separate report showed that growth in the services sector eased slightly in November. The Purchasing Managers Index (PMI) for this sector eased to a reading of 53.0 in November from October’s four-month high of 53.2. This was in line with analyst forecasts, as new business picked up at its fastest rate since June. In fact, the new business index rose to 52.4 from 52 which was registered in October, while business confidence also improved.

Meanwhile, trade deficit in Britain widened in October as record imports offset an increase in exports to the highest level since 2006. The total trade deficit in October widened to £3.9 billion from a downwardly revised €3.8 billion which was registered during the previous month. Finally, according to an estimate compiled by the National Institute of Economic and Social Research, the British economy increased by 0.6 per cent in November, from the 0.5 per cent which was registered during the previous month.

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.