Banking equities drag MSE share index lower

Declines in the equities of the three largest banks listed on the Malta Stock Exchange pushed the MSE Share Index 0.4% lower to 3,051.442 points to end the week in negative territory for the first time in five weeks with a 0.3% weekly drop.

The share price of Bank of Valletta plc closed minimally lower at €2.06,9 representing a 0.1% decline on the day and over the week across five trades totalling 8,880 shares.

Meanwhile, there were more meaningful drops in the other two banking equities despite lower volumes. A single trade of HSBC Bank Malta plc was transacted at the €2.50 for a weekly drop of 0.8%.

Similarly, Lombard Bank Malta plc's equity slid 1.8% back to its multi-year low of €2.20 (unchanged over the week) on one deal of 1,300 shares.

On the other hand, Malta International Airport plc held onto its 2012 high of €1.78 (up 0.6% on the week) as a further 1,000 shares changed hands at this level.

RS2 Software plc, the only other active equity today, also ended the session unchanged at the 50c level on volumes of 2,667 shares.

Although inactive during this morning's session, GO plc registered its seventh consecutive weekly increase with a further 2.6% to €1.18 level and also rank as the week's best performer for the third time in a row.

The quad-play operator made a staggering leap forward since it reached an all-time low of 70c on May 14 after the group revealed the creation of a new subsidiary to manage its property portfolio and seek the best way to extract value from the said properties.

On the bond market, the Rizzo Farrugia MGS Index again edged marginally higher to close the week at 985.831 points representing a 0.2% weekly increase.

This contrasts the weekly increase in eurozone yields from 1.471% last Friday to over 1.55% this week on the back of the pro-bailout party win in the Greek elections, the weakening of Germany's safe haven status and the downgrade of 15 international banks.

Locally, following the closure of the applications by tender for the new Malta Government Stock issues, the Treasury is shortly expected to publish the issue statistics.

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