The MSE Share Index extended yesterday’s decline by a further 0.28 per cent to 4,465.724 points. Trading activity was spread across twelve equities, five of which suffered declines, another five closed flat whilst only Plaza Centres and BOV registered gains. Total trading activity across the equity market today reached a one-week high of €0.41 million.
MIDI plc closed lower for the third consecutive trading session as the equity lost a further 3.0 per cent to a near eleven-month low of €0.32 across 47,435 shares.
RS2 Software plc shed 1.8 per cent and slipped back to the €1.60 level across relatively low volumes totalling 6,500 shares.
Malta Properties Company plc retreated by 0.2 per cent from its near six-month high of €0.60 to €0.599 across 5,475 shares. On Monday, MPC revealed that it entered into a tripartite Memorandum of Understanding regarding a proposed development at the St. George’s Exchange site in St Julian’s which is currently held on lease by GO. The development consists of a mixed-use development, which is envisaged to incorporate residential and commercial areas, including a shopping mall of at least 10,000 sqm, as well as a car park. Malta Properties will use the entire proceeds received from the agreement to finance its 50 per cent stake in the joint venture which will own and operate the shopping mall to be built within the complex. It is projected that the project will be completed by 2023.
FIMBank plc managed to recover from its intra-day low of USD0.88 (-5.4 per cent) but still finished the day 1.6 per cent lower at USD0.915 on total activity of 71,000 shares.
Simonds Farsons Cisk plc registered its first decline in the last fourteen trading sessions as it retreated by 0.6 per cent to €7.01 across 1,289 shares. The recently declared net interim dividend of €0.0333 per share will be paid on Wednesday 19 October.
Amongst the large companies, HSBC Bank Malta plc held on to the €1.64 level across 6,088 shares; International Hotel Investments plc maintained the €0.635 on activity of 18,000 shares and Malta International Airport plc also closed unchanged at the €4.26 level after recovering from an intra-day low of €4.20 across 17,502 shares. MIA is expected to reveal its September traffic results shortly.
Medserv plc maintained the €1.57 level on volumes totalling 26,935 shares.
Similarly, a single deal of just 400 shares left the equity of Malita Investments plc at the €0.86 level.
In contrast, Plaza Centres plc moved closer to its all-time high of €1.15 as it extended the gains of the previous two trading sessions by a further 0.9 per cent to €1.14. A total of 80,586 shares changed hands today. Last week, Plaza announced that it has now completed the purchase of ‘Tigne Place’, Sliema.
Bank of Valletta plc moved minimally higher to the €2.271 level across 35,404 shares. BOV’s financial statements as at 30 September 2016 will be published by the end of October.
On the bond market, the RF MGS Index moved lower for the fifth consecutive day as it retreated by a further 0.18 per cent (the worst daily performance in three weeks) to 1,170.692 points. Euro zone sovereign bond yields moved considerably higher today after a report issued by an influential international financial media agency said that the European Central Bank (ECB) may consider winding down its €80 billion monthly bond purchases before ending its quantitative easing programme.
In fact, the 10-year benchmark German bund surged to -0.029 per cent from -0.098 per cent yesterday. Similarly, the 10-year Spanish yield surpassed the 1.0 per cent level to 1.022 per cent (from 0.936 per cent) whilst the Italian yield advanced to 1.356 per cent (from 1.247 per cent).
This article is provided by Rizzo Farrugia stockbrokers.