The Malta Stock Exchange Index dropped just over six points, or 0.2 per cent yesterday, and was lucky not to sustain even larger losses as investors participated in a broad based sell-off of all asset classes. The index dropped to the 3,350.675 level as not a single equity to trade in the session managed to rise in price. Five of the eight issues seeing action closed lower while three ended unchanged.
Taking the day’s biggest hit was the stock of Simonds Farsons Cisk, which shed 4c, or 2.2 per cent, to end at €1.800 in a single deal of 7,377 shares.
MaltaPost plc shares also closed considerably lower yesterday, dropping 0c9, or 0.8 per cent, to end at €1.080 in three deals for a total of 3,200 shares.
Go plc shares also suffered a 0c9 drop, to close 0.7 per cent lower at €1.330 on robust volume of 38,650 shares across seventeen trades.
In the financial services sector, Bank of Valletta plc shares were off by 1c, or 0.4 per cent, to finish the session at €2.880 in eleven deals for a total of 21,151 shares.
FIMBank plc stock gave up 0c5, or 0.6 per cent, in light volume of 1,675 across a single deal to close at US$0.865.
HSBC Bank Malta plc closed unchanged at €3.000 in eight deals for a total 18,500 shares.
Middlesea Insurance plc, meanwhile, also closed unchanged at €0.950 in three deals for a total of 1,396 shares.
Finally, RS2 Software plc ended the day unchanged at €0.500 in a single deal of a hefty 44,900 shares.
Weekly eurozone economic review
Retail sales in the eurozone fell sharply in the month of March, an indication that rising food and energy prices were curbing household demand and that the recovery in the 17-nation area was still mainly industry-driven. Month-on-month figures registered a 1.0 per cent decline in retail sales over February, considerably lower than the 0.1 per cent decline expected by economists. On a year-on-year basis sales declined by 1.7 per cent, the biggest drop since November 2009, when they fell 2.4 per cent in annual terms.
The Purchasing Managers’ Index for manufacturing, which records manufacturing activity across all major euro area economies, rose to 58.0 in April, versus 57.5 in March. Last month’s figure was, again, buoyed by Germany, Europe’s largest economy, and France, whose growth more than made up lagging figures in Spain and Greece. The figure will bolster arguments by those policymakers at the European Central Bank who believe that further monetary tightening will be necessary to curb continuing inflation risks, despite the on-going debt pressures in the peripheral countries.
The unemployment rate in the eurozone was 9.9 per cent in March, unchanged compared with February, the European Union’s statistical bureau Eurostat said last Friday. The stable figure, released last Friday, was in line with analysts’ expectations. The Netherlands registered the lowest level of unemployment with an annual rate for March of 4.2 per cent, while Spain registered the highest level at 20.7 per cent.
This article has been prepared by Bank of Valletta p.l.c. (the Bank), which is licensed to conduct investment services business by the MFSA, for your general information only. This information is not a solicitation or offer by the Bank to acquire or sell securities. Nor does it constitute any form of advice by the Bank. Appropriate advice should be obtained before making any such decision. Past performance is not necessarily a guide to future performance and the value of your investments may fall or rise.