Financial news

The Malta Stock Exchange index slipped less than a point in yesterday’s session, closing at the 3,859.891 level on healthy volumes of 158,071 shares across 46 deals.

Maltapost plc shares continued to advance forward as investors push­ed up the stock price another 3c, or 2.9 per cent, to close at €1.050 in heavy volume of 52,200 shares across five deals. Also advancing were shares of several financial services companies, including Middlesea Insurance plc, which added 1c, or 1.0 per cent, to close at €1.020 in a single deal of 202 shares.

In the banking sector, Lombard Bank plc, although trading lower for most of the session, managed to close 3c, or 1.0 per cent higher, to finish at €2.990 in three deals for a total of 16,785 shares. Bank of Valletta plc shares added 1c, or 0.3 per cent, to end the session at €3.120 in relatively low volume of 8,237 shares across nine trades. Finishing on the downside were the shares of Malta International Airport plc, which fell 5c, or 2.8 per cent, to close at €1.750 in two deals for a total of 2,630 shares.

Also finishing lower was the stock of Go plc, which dropped 1c4, or 0.7 per cent, to close at €1.915 on volume of 12,000 shares. Medserv plc was the other stock of the day to lose market value, dropping 5c, or 1.2 per cent, in moderate volume of 7,930 shares across three deals.

Other shares to trade in the session yet did not witness any change in market value were the shares of HSBC Bank Malta plc, and International Hotel Investments plc, which witnessed volumes of 39,530 and 18,557 shares respectively, and closed at €3.500 and €0.950 respectively.

Weekly UK economic review

The manufacturing sector, in the United Kingdom, grew at its fastest pace since records began in 1992 during the first month of this year. The Purchasing Managers Index for the manufacturing sector climbed to an above expected reading of 62.0 in January from an upwardly revised figure of 58.7 the previous month. Also on a positive note, employment in this sector also increased by the fastest pace since records began. Meanwhile, the services industry rebounded from the coldest December in a century. The PMI for this sector rose to a reading of 54.5 in January from 49.7 in the last month of last year, the highest reading since May.

Furthermore, data from the con­­struction sector resumed expansion as the PMI reading rose to 53.7, after shrinking for the first time in 10 month in December as the reading fell to a reading of 49.1. The number of mortgage approvals, on the other hand fell more than economists forecast during December as lenders granted 42,563 loans in December from 47,287 which were granted during the previous month. This is the lowest level of approvals since March 2009.

Furthermore, house prices as measured by the United Kingdom’s biggest customer-owner lender, Nationwide, fell by 0.1 per cent in January to £161,602 from the previous month when they increased 0.4 per cent. Economists were expecting prices to fall by 0.4 per cent.

Finally, the headline rate of money supply (M4) in the country fell by 1.3 per cent, to its lowest on record during the last month of last year when it also declined by 0.6 per cent.

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.