Market Analysis
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Political turmoil in Italy sends markets in disarray
The euro continued where it left off at the back end of last week, and sold off aggressively hitting a seven-week low against the dollar on Tuesday. The single currency was mounting a strong comeback to start the week off on Monday, and was on its...
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The great Apple debate
The steep decline in the share price of the world’s most valuable company has sparked widespread debate across international financial journals. Apple’s equity had rallied to a peak of $705 shortly after the launch of the iPhone 5 last September.
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Dividend cuts weigh down European shares
European shares fell yesterday as surprise dividend cuts by RSA and Lufthansa and weak results from the likes of Accor and BHP Billiton weighed on sentiment. The FTSEurofirst closed down 3.01 points, or 0.3 per cent, at 1,168.72. Britain’s biggest...
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Strong enough to blow up
“The existing political union may be too strong to blow up, but it is also too weak to function properly’’ – Wolfgang Munchau Last week one of the matters discussed was the substantially reduced risk of an immediate eurozone breakup. This follows...
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A quiet start for the EUR/USD this week
Last week we had some high profile data out of major world economies. Japan’s preliminary annualised GDP for Q4 contracted to -0.4 per cent while improving on a previous -3.5 per cent, the figure came short of an expected +0.4 per cent. Japan...
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Sterling loses ‘safe haven’ appeal
All currencies are valued relative to each other. The performance of a currency is one of relative strength or weakness against another currency. While sterling appreciated against many of the major currencies during 2012 (+2.6 per cent against the...
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European shares drift higher, SocGen drops
European shares rose yesterday, with key indexes breaking above the past week’s trading range, boosted by a crop of upbeat corporate reports and easing concerns about the eurozone debt crisis. Brewer Heineken and French vouchers and pre-paid cards...
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Shipping movements
These vessels are expected in Malta: The Ecem Kalkavan from Trapani to Catania, the CMA CGM Rigoletto, the Alkin Kalkavan from Trapani to Varna, and the Meta from Aliaga to Tanger Med (Carmelo Caruana Co. Ltd), and the Maersk Emden from Suez Canal...
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The cost of saving the euro
An interesting divergence has transpired between what economists are predicting, and how one might expect markets to react – albeit in ‘normal’ circumstances. The Bank for International Settlements, for example, has made the salient observation...
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G7 communique eases currency wars concern
Late on Tuesday morning, the group of the world’s major industrial nations sought to calm increasing concerns over a currency war and pledged to refrain from debasing their exchange rates to spur economic growth. In a joint statement released by...
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MIA expects 2013 record passengers
On January 22, Malta International Airport plc called a press conference to announce the 2012 traffic results and reveal its passenger forecast for 2013. MIA’s chief executive Markus Klaushofer announced passenger volumes increased to a new record...
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Stocks rally stalls; euro slips ahead of ECB meeting
US and world stock markets paused for breath yesterday after a rally that drove the S&P 500 to five-year highs, while the euro slipped ahead of a European Central Bank meeting that could reveal concerns about the currency’s strength. European...
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Shipping movements
These vessels are expected in Malta: The Faust from Port Said to Genoa (Thomas Smith Shipping), the CMA CGM Medea from Fos-sur-Mer to Port Said, the CS Star from Annaba to Annaba, and the CMA CGM Margrit from Le Havre to Khor Fakkan (Carmelo Caruana...
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Seeing through the mist
My colleague recently commented about the growing disparity between expectations in the market and the economic reality on the ground. There is certainly a growing disparity between the two, but often stock markets tend to be leading indicators...
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Political uncertainty resurfaces in Spain, Italy
The euro plunged from a 14-month peak against the dollar and the yen at the start of the week, as political uncertainty rekindled concerns over the European debt crisis. The single currency suffered its sharpest drop since June of last year on...
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Investor education and the BOV AGM
A theme brought up for discussion by shareholders during the annual general meeting of Bank of Valletta plc on December 19 was the impact of the bonus share issue which was one of the items on the agenda. Unfortunately, it was evident from the...
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European shares post worst daily fall for a month
European shares suffered their biggest daily drop this month after gloomy earnings and weak US economic data hit sentiment yesterday and left some positioning for further falls in the near-term. A profit warning from Saipem caused shares in Europe’s...
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Shipping movements
These vessels are expected in Malta: The Merito from Marseille to Bejaia, the CMA CGM Alabama from Antalya to Antalya, and the CMA CGM Almaviva from Port Said to Genoa (Carmelo Caruana Co Ltd) today. The Erkan K from Durres to Varna, the Thebeland...
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Gold. Yes, gold again
Have you been watching the stock markets of late? Then you must have noticed that there is spring in the air. It seems that within the short space of a few months, we have climbed the economic mountains, not fallen over the fiscal cliff, and looking...
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Trend changes in the forex markets so far
There was a quiet start for the current week, with most of the action expected to come towards the end of the week. Yesterday evening we had the Fed’s FOMC interest rate decision and GDP figures from the US. We are still waiting for some major...
