The share index extended the gains of the past two trading sessions as it edged up by 0.25 per cent to a two-week high of 4,460.231 points. Trading activity remained subdued with only €0.16 million worth of shares changed hands today.
Just over half of the total value of equities traded today took place in Bank of Valletta. The share price gained 0.9 per cent to the €2.23,5 level across 37,720 shares.
HSBC also performed positively today as the equity recaptured the €1.60 level on volumes totalling 10,896 shares. On August 3, HSBC will publish its interim financial results for the period ending June 30. During the same meeting, the directors will also consider the declaration of an interim dividend.
Within the same segment, FIMBank continued to advance as it reached its highest closing price in over six years of 90c1US (+0.1 per cent) across 27,000 shares.
The equity momentarily even traded at the 91cUS level – the highest level since mid-October 2009. Last week, the trade finance specialist published an interim directors’ statement whereby it revealed that it registered profits in each of the first five months of 2016 on the back of certain cost control measures.
Meanwhile, the bank also started a process of restructuring its factoring network, which is expected to show positive results in the near future.
A single deal of just 1,598 shares pushed the equity of International Hotel Investments up by 0.6 per cent to the 63c5 level. Shareholders as at June 27 will be entitled to a three for 100 bonus share.
Negligible trading volume also took place in GO. The share price retreated by 0.7 per cent to the €2.85 level. GO shareholders as at close of trading yesterday will be receiving a copy of the offer document by June 24 setting out the terms and conditions of Tunisie Télécom’s voluntary offer to acquire all the shares of GO.
The acceptance period for eligible GO shareholders to accept this offer starts on June 24 and ends on July 22.
Meanwhile, Simonds Farsons Cisk closed unchanged at the €6.31 level across 5,675 shares. Farsons will be holding its AGM on June 28 during which, among other resolutions, shareholders will be asked to approve the payment of a final dividend (out of tax exempt profits) of 7c33 per share.
This morning, Mapfre Middlesea announced that its board of directors is scheduled to meet on July 21 to consider and approve the interim results covering the six months ending June 30.
On the bond market, the RF MGS Index trended lower for the fourth consecutive day as it declined by a further 0.06 per cent to a fresh near two-week low of 1,148.675 points.
Renewed concerns regarding the upcoming risks associated with the Brexit referendum increased the attractiveness for “safe haven” assets.
Indeed, the 10-year benchmark German Bund yield registered a new all-time low of -0.035 per cent while the yields of the Italian and Spanish counterparts reversed yesterday’s decline as they climbed back to 1.48 per cent (+ six basis points) and 1.605 per cent (+4.4 basis points) respectively.
Switzerland’s 30-year yield has dipped below the zero per cent for the first time, meaning that almost the entire market for Swiss government debt now trades below zero.
Swiss government bondsare also considered to offer safety in times of market turbulence. Yesterday, the US Fed chief Janet Yellen struck a dovish note towards its intentions to raise interest rates in the immediate term.
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