For the third consecutive week the Malta Stock Exchange Index sustained its positivity with a further gain of 0.6 per cent to end the week at 3,045.103 points.
Following the shortened week due to Thursday’s national holiday, the index displayed strength, as it appreciated in all four sessions, but mainly on Monday and Tuesday with gains of 0.27 per cent and 0.14 per cent respectively.
The broader market was supported by GO plc, which maintained its bullish trend as the equity experienced renewed buying interest while HSBC Bank Malta plc halted its stream of negative performances with a markable gain. Conversely, both FIMBank plc and Lombard plc were threatened by selling pressure.
Total trading value for the week amounted to €543,421 traded over nine equities, in which four declined in value, three traded in positive territory, while the remaining two closed unchanged. Furthermore, a total of 363,323 shares were executed across 100 transactions.
In the local Government stock market, investors were reluctant in offering support towards local sovereign debt, as from the 22 active stocks 14 closed lower, while eight posted minimal gains. Total turnover for the week amounted to just over €15.1m, of which €5.3m were traded within the long-dated 4.6% MGS 2020. On Tuesday the Treasury announced the issuance of three stocks for an aggregate amount of €120m. The new stocks are the 3.75% MGS 2017, the 5.1% MGS 2029, and the 4.3% MGS 2022 fungibility issue. Prices will be announced on June14 and applications open on Monday, June 18.
In the Corporate Bonds yields took different directions, as from the 20 active issues, five gained ground, six edged lower, while nine closed unchanged. Total trading volume for the week amounted to just over €1.3m nominal with the 7.15% MIH Eur 2015-2017 heading the list of losers, as it contracted by 3.5 per cent.
In the equity market, GO plc shares maintained its upbeat trend with a further gain of 5.4 per cent or €0.05, thus registering a staggering gain of 38.6 per cent over five weeks from its record lows of €0.70. The equity was active in all four sessions, registering the said gain over two sessions while it closed flat in the remaining two to close the week at €0.97. A total of 140,300 shares changed ownership over 23 deals.
From the aviation industry, Malta International Airport plc shares were also noted on the list of gainers, as the equity gained 0.6 per cent yesterday to close at the €1.74 price level. On Monday, the company announced its traffic results for May, in which it stated that the airport registered a growth of 5.8 per cent or 344,008 in its passenger movements, which is a record for the month under review.All five major markets registered growth during May 2012 with the highest increase recorded in the Spanish market segment.
HSBC Bank Malta plc reversed a considerable amount of its losses as it gained 1.6 per cent following three weeks of depreciation. The equity gained the appreciation over two sessions, while it closed unchanged in the other two after trading at an intra-week low of €2.48. Trading volume amounted to 39,167 dealt over 13 trades to close the week at €2.52.
On the contrary, for the fifth week Lombard Bank plc was hit by its recent bearish mood, as the equity declined by a further 0.4 per cent, thus magnifying its year-to-date loss to 16.8 per cent. The equity was active in a single session, in which 3,000 shares changed hands over a single trade to end the week at a record low of €2.25.
Likewise, both FIMBank plc and Middlesea Insurance plc closed lower, with the former declining by 1.2 per cent over a mere 900 shares to close at $0.84, while 0.8 per cent was shaved off from the latter’s share value over three trades of 2,244 shares to close at €0.645.
The other active financial was Bank of Valletta plc, which closed at €2.06 after trading at an intra-week high of €2.09. The equity had the lion’s share, as total trading value amounted to €219,220 traded over 41 trades, which consisted of 106,198 shares. On Monday the company announced it was notified by the Malta Financial Services Authority that an administrative penalty of €203,150 was imposed on the company following the last phase of investigations in respect of a number of transactions in connection with the La Valette Property Fund.
The MFSA will consider returning a proportion of the penalty following the conclusion of further investigations into the matter. The Bank has the right of appeal within 30 days of the issue of the fine. The Authority indicated that those investors identified from the file review (to be carried out by an independent professional services firm) as not eligible to invest in the Fund shall be eligible for compensation from the Bank of an amount of €1 per share less any compensation already received.
From the IT sector, RS2 Software plc slipped by a further 1.9 per cent. The equity, active in two sessions, registered the said loss on Monday, while it closed flat on Wednesday to close the week at €0.51. A total of three trades worth €11,500 were dealt across 23,000 shares.
Finally, the other non-mover for the week was International Hotels Investments plc which traded flat at €0.90 over two sessions of 12,614 shares.
This article, which was compiled by Atlas JMFS Investment Services Limited, does not intend to give investment advice and the contents therein should not be construed as such.
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The directors or related parties, including the company, and their clients are likely to have an interest in securities mentioned in this article.
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