The Malta Stock Exchange index gained just under four points, or 0.1 per cent yesterday, to end the month of May at the 3,350.670 level. Trading volume was robust as 145,034 shares changed hands across 29 deals.
Bank of Valletta plc was the sole gainer in a session which suffered significant losses on several stocks. The retail bank’s shares, after losing 11c, or four per cent on Monday, gained 6c, or 2.3 per cent yesterday, to close at €2.700 on volume of 23,695 shares across 15 deals. Leading stocks lower were the shares of FimBank plc, which fell 5c, or 5.9 per cent, to end the day at €0.800 in 116,352 shares across five deals.
Also considerably lower was the stock of Maltapost plc, which shed 6c, or 5.6 per cent, to close out the session at €1.020 in two deals for a total of 2,047 shares.
The shares of the hotel and catering company, Island Hotels Group Holdings plc, dropped five per cent, or 4c5, to end the day at €0.850 in low volume of 400 shares across just two deals.
Shares of the local real estate developer, Midi plc, dropped 1c, or 2.4 per cent, to end at €0.410 on volume of 2,100 shares across three deals. Middlesea Insurance plc was also lower yesterday, albeit marginally. The Floriana-based insurance provider lost 0c9, or 0.9 per cent, to end at €1.020 in a single deal of 300 shares.
Finally, Simonds Farsons Cisk plc shares ended yesterday’s trading unchanged, at €1.750, in a single deal of 140 shares.
Weekly US economic review
New orders for US durable goods posted their largest drop in six months in April as a large drop in transportation equipment placed further doubt on the strength of the US recovery. Durable goods orders declined 3.6 per cent last month, lower than economists’ expectations of a 2.2 per cent fall. April’s figures come off a revised 4.4 per cent rise in orders in March. While durable goods orders are notoriously volatile, April’s figures correspond to recent retail sales and industrial production, which have been lacklustre. The weak figure could prompt economists to lower their forecasts for second-quarter growth, currently ranging between 2.5 and 3.5 per cent.
The overall American economy grew at an annual rate of 1.8 per cent in the first quarter of the year, unchanged from an earlier estimate and weaker than analysts’ expectations. Some of the slowdown in growth was linked to inclement weather earlier in the year and an 11.7 per cent drop in defence spending.
The University of Michigan survey of consumer confidence rose to 74.3 in May, versus a preliminary reading in 72.4, according to a report on Friday. Economists expected a final reading of 72.4 while the report showed that consumer seemed more upbeat about the longer term outlook for the economy. While job gains in the month offset high gasoline prices, inflation expectations diminished while income expectations remained at low levels.
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.