Financial news

The Malta Stock Exchange Index fell six points, or 0.2 per cent, to close at 3,455.065 as investors continued to sell equities in several sectors. Trading was moderately light as 46,537 shares across 32 deals were executed.

Falling precipitously on the day were the shares of Plaza Centres plc, which shed 10c, or 5.6 per cent, to close at €1.700 in a single trade of 1,000 shares.

Also down were there the shares of the local beverage producer and food importer, Simonds Farsons Cisk plc, which dropped 2c, or 1.2 per cent, to end the session at €1.680, in a single deal of 251 shares.

In the banking sector, Bank of Valletta plc stock was off by 1c9, or 0.7 per cent, to close at €2.920 on volume of 21,613 shares across 15 trades.

HSBC Bank Malta plc shares, meanwhile, ended the day unchanged, at €2.950 in ten trades for a total of 12,078 shares.

Stock in the local airport operator, Malta International Airport plc, also closed unchanged, at €1.760 in two deals for a total of 2,230 shares.

The sole equity to finish in positive territory was that of Go plc, which added a marginal 1c, or 0.7 per cent, to end at €1.490 in three deals for a total of 9,365 shares.

The corporate bond market also traded in negative territory yesterday as four of the eight bonds to trade on the day finished lower while two ended higher.

Weekly eurozone economic review

European unemployment fell in February as companies across the 17-nation euro region added workers to meet reviving global demand. The seasonally adjusted jobless rate fell to 9.9 per cent from a revised 10.0 per cent in January, with February’s figure being anti-cipated by analysts. Spain showed the highest level of unemployment, at 20.5 per cent, while the Netherlands registering the lowest, at 4.3 per cent.

European manufacturing growth, meanwhile, slowed more than expected in March. The Purchasing Managers’ Index for the manufacturing sector fell to 57.5 from 59.0 the previous month and was also below the initial economists’ estimate of 57.7. The eurozone’s leading economic driver, Germany, witnessed output growth dip to 60.9 from 62.7.

European retail sales also unexpectedly declined in February as surging energy costs prompted consumers to cut back spending. Sales slipped 0.1 per cent from January, when they advanced 0.2 per cent, Eurostat, said on Tuesday. February’s figure was below market expectations of a 0.1 per cent increase.

Finally, European inflation for March also surprised markets as it accelerated to the fastest in more than two years as European Central Bank (ECB) policy makers prepared to raise interest rates to fight increasing price pressures. The eurozone’s Consumer Price Index (CPI) quickened to 2.6 per cent from 2.4 per cent in February – the fastest increase since October 2008 and exceeds the ECB’s two per cent limit for a fourth month. Economists had forecasted the rate to hold at 2.4 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.