The Malta Stock Exchange (MSE) index retreated from its 16-week high as losses in shares of HSBC Bank Malta plc, Simonds Farsons Cisk plc (SFC), Malta International Airport plc (MIA), and Malita Investments plc weighed down on the index – to more than offset advances in shares of RS2 Software plc, Midi plc, Mapfre Middlesea plc, Maltapost plc and Fimbank plc. The index ended the week down by 0.72 per cent, to close at 4,517.087 points.

Total turnover stood at €2.1 million, equivalent to a week-on-week decline of 26 per cent. Of the 19 traded securities, seven increased in value, eight fell out of favour and four closed unchanged.

In the banking industry, HSBC headed the list of fallers with a weekly decline of 5.8 per cent. Selling pressure in last Friday’s trading session dragged its share price down to €1.80 after it had traded at a high of €1.92 intra-week. Total trading volume reached 173,502 shares, negotiated in 42 transactions.

Its peer, Bank of Valletta plc, inched 0.2 per cent higher to €2.309 after having been active in the highest turnover for the week of €855,000, representing 40 per cent of total traded value. This activity followed the publication of the group’s financial year-end results the previous week. BOV shares touched an intra-week high price of €2.32.

BOV announced that the current chairman of its board of directors, John Cassar White, has informed the government, the main shareholder of the bank, that he will not continue to serve on the board after his term expires at the bank’s next annual general meeting that will be held on December 16.

In accordance with the terms of the bank’s memorandum and articles of association, the government has nominated Taddeo Scerri as chairman and Anita Mangion as director on the board for a period of one year with effect from December 16, subject to regulatory approval.

In the same line of business, a single deal of just 1,800 shares in Fimbank plc was executed at a price of $0.895, resulting in a weekly advancement of 1.7 per cent.

There was no change in price in shares of Lombard Bank Malta plc after two transactions of 1,517 shares. A deal was struck at €2.10 intra-week, but the share price returned to its previous level by Friday’s closing session.

Shares of MIA were negotiated on a thin volume of 9,365 shares, ending the week down by 1.1 per cent to €4.10.

Telecommunications company GO plc closed the week marginally lower, as 17 deals of 32,480 shares led to a weekly loss of 0.3 per cent.

Similarly, shares of International Hotel Investments plc registered a decline of 0.2 per cent as 3,250 shares changed hands in two deals.

Last Monday, the company published its interim directors’ report, in which they confirmed that IHI improved its performance in the first three quarters of 2016 when compared to the corresponding period in 2015. It was also reported that the positive outlook is forecast to continue in the last quarter of the year. Moreover, IHI reported that Corinthia Hotel London also improved its operational results in Sterling terms but these were impacted by the drop in the value of Sterling. Meanwhile, Corinthia Hotel St Petersburg also registered an improved performance, and this was further enhanced by the favourable Rouble exchange rate.

Maltapost plc shares posted a 1.6 per cent appreciation in their share price after three deals of 3,100 shares. Last Tuesday, the company announced that the board of directors will be meeting on December 6 to consider and approve the financial statements for year ended September 30, 2016.

Likewise, two transactions of a mere 672 shares pushed Mapfre Middlesea plc’s share price up by 1.4 per cent to €2.04.

In the IT services sector, RS2 shares managed to recoup substantial ground, rising by 5.3 per cent to €1.58, after having traded at an intra-week high of €1.62.

On the contrary, shares of SFC dipped by 3.7 per cent to €6.50, following 10 deals of 22,427 shares.

Medserv plc shares were also subject to selling pressure, falling by 0.6 per cent to €1.50 after 11 deals of 96,580 shares, thereby reversing the previous week’s advancement.

In the property sector, Midi plc rallied by 4.6 per cent to €0.34 following four deals of 86,500 shares.

Meanwhile, both shares of Malita Investments plc and Malta Properties Company plc (MPC) ended the week down by 1.6 per cent. The former was traded in a single deal of 11,500 shares, whereas MPC shares lost ground in a total turnover worth €61,000.

Loqus Holdings plc shares locked in the highest gain of the week, rallying by 17.9 per cent to €0.165 after two deals of 9,610 shares.

There was no change in price in shares of Plaza Centres plc, which remained at €1.12 after two deals of 7,300 shares.

The week’s other non-movers were Global Capital plc and Grand Harbour Marina plc – both of which were active on thin volume.

In the corporate bond market, 34 issues were active in a total trading value of €1.17 million – of which gainers and losers tallied at 12, while 10 closed unchanged.

The recently issued five per cent Dizz Finance plc unsecured € 2026 ended the week up by two per cent, after a volume of 57,000 nominal.

In the sovereign debt market, activity was mixed, with declines in most sovereign securities, with the exception of stocks at the far end of the yield curve. In fact, a decline of  1.7 per cent was recorded in the 5.2 per cent MGS 2031 (I) issuance, as opposed to an advancement of 1.2 per cent in the 25-year maturing 2.4 per cent MGS 2041 (I) r stock. Total turnover in the sovereign market fell to €6.88 million from the €14.7 million the previous week.

This article, which was compiled by Jesmond Mizzi, managing director of Jesmond Mizzi Financial Advisors Ltd, does not intend to give investment advice and the contents therein should not be construed as such. The company is licensed to conduct investment services by the MFSA and a member of the Malta Stock Exchange and a member of the Atlas Group. The directors or related parties, including the company, and their clients are likely to have an interest in securities mentioned in this article. For further information, contact Jesmond Mizzi at 1/2, St Joseph High Street, Ħamrun, or on Tel. 2122 4410 or e-mail jesmond.mizzi@jesmondmizzi.com.

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