Financial news

The Malta Stock Exchange index gained almost 23 points, or 0.6 per cent, yesterday, to end the day at the 3,858.115 level as banking stocks finished higher. Trading volume was moderate at 133,104 shares across 60 trades.

HSBC Bank Malta plc shares put in the day’s best performance, adding 6c5, or 1.9 per cent, to close at €3.470 in relatively light volume of 6,325 shares across nine deals. Bank of Valetta plc shares also finished in positive territory, gaining 1c5, or 0.5 per cent, to end the session at €3.150 on robust volume of 31 deals for a total of 26,307 shares.

Malta International Airport plc shares, meanwhile, also managed to end the day higher, gaining 3c, or 1.7 per cent, to close at €1.780 in five deals for a total of 8,229 shares.

International Hotel Investments plc shares were the day’s heaviest traded, as 78,254 shares changed hands across eight deals. The stock finished 1c, or 1.0 per cent lower, to end at €0.970.

Maltapost plc shares, while trading for most of the session 1c higher, closed unchanged at €1.000 on moderate volume of 10,989 shares in five deals.

Island Hotels Group Holdings plc stock was the only other equity to trade in the day, closing unchanged at €0.998 in light volume of 3,000 shares across two deals.

Trading in the corporate bond market was mixed as four of the 11 bonds to trade in the session finished higher, while two closed lower and five remained unchanged.

The week ahead - Economic indicators for week starting January 24

In the United States, this week’s highlight is the gross domestic product report for the fourth quarter of last year. This is due out on Friday and is expected to show a solid increase of 3.5 per cent annualised, driven by robust private consumption and the improved development of foreign trade.

Attention will also be focused on the rate-setting decision of the Federal open market committee tomorrow. Along with economic growth figures, the release of the durable goods orders will also be a key point in the economic data. After companies registered a decline of 1.3 per cent in November, analysts are expecting a gain in December, supported by the new orders component in December’s Institute for Supply Management survey.

On the other side of the Atlantic, after the publication yesterday of better than expected January figures for the composite purchasing managers index, mainly driven by gains in the services sector and robust industrial new orders, the rest of the week will be relatively light in terms of other economic data.

These include various sentiment indicators including consumer, economic and industrial surveys, which are expected to follow the latest trend of healthy increases. Furthermore, the money supply figures are expected to show a small gain with a mild increase in lending to the private sector.

In the UK, after today’s release of the GDP figures for the fourth quarter of last year, and the public finance figures for the month of December, the week ahead also features the Bank of England minutes for the last meeting which are expected to continue to show a three-way-split. These are due out tomorrow.

This article has been prepared by Bank of Valletta plc (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.