The MSE Share Index extended yesterday’s decline by a further 0.06 per cent to 4,573.332 points as the decline in the share price of RS2 outweighed the marginal gains of BOV and MPC. Activity was limited to merely six equities whilst total trading volumes dropped to just €0.10 million.

RS2 Software plc closed the day 0.9 per cent lower at the €2.13 level (equivalent to €3.55 pre-share split) across 9,960 shares.

In contrast, Malta Properties Company plc registered the best performance today as the share price gained 0.2 per cent to the €0.508 level on volumes totalling 30,000 shares.

Bank of Valletta plc recaptured the €2.25 level across four deals totalling 8,950 shares.

Within the same segment, HSBC Bank Malta plc held on at the €1.60 level across 6,923 shares. The Bank will publish its 2016 interim results on 3 August.

Also among the large companies, a single deal of just 1,100 shares left the equity of International Hotel Investments plc unchanged at the €0.70 level. Last week, IHI published a Prospectus in connection with the issuance of €55 million 4.0 per cent secured bonds maturing in 2026. The Group is reserving an amount of €30 million for its shareholders (preferred applicants) while the balance of €25 million is available for subscription by the general public.

Similarly, Malta International Airport plc maintained the €4.25 level across 7,400 shares. The airport operator should shortly be announcing its June traffic results.
On the bond market, the RF MGS Index gained 0.01 per cent to 1,159.905 points.

The 10-year benchmark German Bund yield approached its record all-time low of -0.170 per cent today as it momentarily touched -0.165 per cent. Demand for “safe-havens” was also evident across the Atlantic where the US 10-year Treasury hit a fresh record low of 1.378 per cent on renewed global growth concerns.

On the other hand, the 10-year yields of the two largest euro zone peripheral countries – Italy and Spain – edged higher. On the economic front, latest data showed that euro zone retail sales rose by 0.4 per cent in May month-on-month and 1.6 per cent on a yearly basis, confirming a generally positive trend for retail sales in 2016 when they showed gains every month except in March.

Last Friday, MIDI plc published a Prospectus in connection with the issuance of €50 million 4.0 per cent secured bonds maturing in 2026. The new bonds are mainly reserved for existing holders of the 7.0 per cent bonds denominated both in Euro and Sterling to whom preference will be given over new investors. Bondholders of the 7 per cent GBP bonds can transfer their holding into the new 4 per cent EUR bonds at a rate of GBP0.834 per EUR1. Applications close on 18 July.

This article is brought to you by investment consultants Rizzo Farrugia.