Following last week’s appreciation, the Malta Stock Exchange index upheld its positivity by registering a further gain of 1.4 per cent to close the week at 3,090.469 points. Despite trading lower in two sessions, the index managed to offset the losses incurred by gaining 2.3 per cent over the remaining three sessions.
In the week, highly capitalised banking equities emerged as the key determinants as they provided considerable support to the broader market. In fact, Bank of Valletta plc secured its positive stance, while HSBC Bank Malta plc turned positive with a significant appreciation following four weeks of declines.
Conversely, Lombard Bank plc touched its all-time lows, while Go plc plunged lower as headwinds from abroad dampened investors enthusiasm towards the equity.
This week, gainers prevailed over losers, as from the 14 active equities losers and non-movers tallied to four, while gainers totalled six. Total turnover for the week doubled to €759,049 traded over a total of 127 transactions which consisted of 650,963 shares.
In the Malta Government Stock market, investors mirror imaged last week’s position. In fact, in line with German Bunds, local sovereign debt experienced higher yields as local investors applied selling pressure, thus pushing prices lower.
From the 21 active stocks, 15 closed lower, while six registered minimal gains. Total turnover for the week was on low side as just over €2.5 million was traded.
In the Corporate Bonds market participants displayed signs of encouragement, as from the 28 active issues, 13 closed higher, four drifted lower, while 11 closed unchanged. The 7.15% MIH USD 2015-2017 headed the list of gainers with a 3.5 per cent appreciation.
In the equity market, Bank of Valletta plc maintained its recent upward trend with a further appreciation of 3.2 per cent, thus surging by 11.4 per cent in August. The banking equity was active throughout the week closing higher in three sessions, while it slipped lower in the mid-week sessions. The equity was the second most liquid, as a total of 95,010 shares changed hands across 36 trades to close the week at €2.29.
Likewise, HSBC Bank Malta plc diverted towards positivity following a series of descents. The equity managed to partially off-set all losses by registering a significant 4.2 per cent appreciation to re-touch the €2.75 price level. A total of 14 transactions were dealt across 27,276 shares.
The other active financials were Middlesea plc and Lombard Bank plc. The former gained just below five per cent over a single session to close at €0.635, while the latter extended its negative momentum by recording a further decline of 2.5 per cent, thus touching an all time record low of €1.95.
From the telecommunications sector, Go plc plummeted by a hefty 14 per cent, as investors lacked confidence following the news that Forthnet has issued an announcement regarding the extraordinary general meeting held on the August 23, 2012, in which one of the resolutions proposed an increase in share capital.
The equity was active in four sessions as it recorded the said loss in the first two sessions, while it closed flat at €0.85 in the mid-week session and Thursday. Meanwhile, yesterday the company announced a profit before tax of €20.4 million compared to the loss of €14.1 million in the comparative period in 2011.
The Group recognised that the gain is complemented by the sale of property in Qawra.
Similarly, both Maltapost plc and Grand Harbour Marina plc were among the list of losers. The former got hammered by 18.2 per cent to close at €0.63, as sellers’ reaffirmed control thus pushing the equity towards markable loss of 37 per cent on a year-to-date basis. Likewise, 6.5 per cent was shaved-off from the latter’s share value as 1,000 shares changed hands over a single session.
On a positive note, Simonds Farsons Cisk plc rose by 1.5 per cent on Thursday over a mere 700 shares to close the session at €2.08.
Furthermore, both International Hotels Investments plc and Crimsonwing plc were noted on the list of gainers. The hotelier’s equity appreciated by a scant of 0.2 per cent over 62,920 shares, while the I.T operator soared by 23.4 per cent on Tuesday over 3,800 shares to close at €0.26. Meanwhile, the other active I.T. equity was RS2 Software plc which traded flat at €0.50 over a single trade of 7,493 shares.
Finally, the other non-movers for the week were Malta International Airport plc, Medserv plc and Malita Investments plc, all of which maintained their previous closing prices at €1.74, €3.95 and €0.52 respectively.
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.
Atlas JMFS is licensed to conduct investment services by the MFSA and is a Member Firm of the Malta Stock Exchange.
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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