The Malta Stock Exchange followed patterns set by the World Cup games, where the vital goals were scored in the last minutes of the game. On the Stock Exchange, the last day of the week saw turnover by value virtually equaling that of the first four days. Most prices moved south with Middlesea Insurance plc (MSI) just about making it into positive territory. The banking sector suffered the greatest foul, where Lombard Bank (LOM) topped the list with a 4.9 per cent drop. HSBC Bank Malta (HSBC) was down 3.8 per cent to Lm2.26, Bank of Valletta (BOV) dropped 1.7 per cent to Lm4.05, and Fimbank (FIM) lost 1.6 per cent to US$1.90. Maltacom (MLC) had an equally bad game down 3.5 per cent, while Malta International Airport plc (MIA) suffered a 1.7 per cent penalty. The MSE Index closed at 5,511.23, red-carded 2.74 per cent out for the week.
BOV opened where it had left off the previous week at Lm4.12, falling 2c during a very quiet session on Monday. It maintained the same direction on Tuesday, shedding a further 3c to close at Lm4.07. BOV was slightly more active on Wednesday with over 18,000 shares changing hands. The price opened at Lm4.05, dropped to Lm4.03 within four minutes of trading and continued to slide down to Lm4. Buyers came on the pitch in the last hour of the trading session and took the price back up to Lm4.05. On Thursday the stage seemed set for a similar trading pattern; but this time there was no recovery and the price closed at Lm4. Yesterday, the most active session of the week, BOV maintained the Lm4 price at the opening whistle before sprinting ahead to Lm4.20 within two-and-a-half minutes. It did not trade for a whole hour, then collapsed to Lm4 and recovered to Lm4.05 at the closing bell, to close the week 1.7 per cent down. At the end of trading, the best bid was for 175 shares at Lm3.98 and the best offers started at 638 shares at Lm4.05.
HSBC started the week on a more optimistic note than the previous one, climbing to Lm2.37 before sliding back to a Lm2.36 close. On Tuesday the price moved in the opposite direction, immediately falling to a low of Lm2.34 before advancing to a close of Lm2.35. On Wednesday it opened 5c lower, slipped to Lm2.26,1 and went back up to close at the opening price of Lm2.30. On Thursday it traded in the Lm2.28-Lm2.29 range. Similar to BOV, HSBC was equally active yesterday. The price opened at Lm2.29, shedding cent after cent to bottom at Lm2.25. It closed at Lm2.26 for a weekly drop of 3.83 per cent. The best bid at the end of the session was 1,650 shares at Lm2.25 and the best offer was 840 at Lm2.26.
MLC had the slowest week of the year with only 27,110 shares changing hands for a value of Lm53,881. Turnover by value is 27.6 per cent lower than its previous low, hit in the trading week May 22-26. In this slow-paced week, the price declined by 3.47 per cent. On Monday it traded at Lm2.01 for most of the session and closed at Lm2.01,4. Tuesday saw the price sliding to Lm2.01 and closing at Lm2. On Wednesday it fell below the Lm2 barrier, down to Lm1.95 and climbed back to Lm1.98 on a ridiculously low three-share deal. Thursday was the slowest day of the week with only 1,450 shares changing hands at Lm1.95. Yesterday MLC traded at the same price but on higher volumes. At the end of the week the best bid started at 300 shares at Lm1.90 and the offers started at 1,233 shares at Lm1.95.
MIA had another somnolent week with only 2,415 shares traded on Monday and Tuesday. The price fell to Lm1.47 for a weekly drop of 1.67 per cent. It did not trade for the rest of the week.
The only stock that advanced - albeit negligibly - this week was MSI, gaining a minimal 0.36 per cent. It continued to advance on Monday to close at Lm5.30, maintaining this price on Tuesday. A miniscule drop saw MSI at Lm5.29,9, the price at which all the deals were struck on Wednesday and Thursday. It did not trade yesterday. In a company announcement issued on Thursday, MSI announced that should the one for one share split proposal made during the April 28 board meeting be approved at the annual general meeting today, the share split will take place as at close of business of June 28.
LOM was the biggest loser this week plummeting 4.9 per cent to close at Lm4.85 - all this on one 500-share trade. The board announced that it will meet on August 8 to consider and approve the financial statements for the half year ended June 30. In a company announcement issued on Thursday, Lombard announced that one of its shareholders, Banca Unione di Credito (BUC) - part of the Fiat Group since 1947, has been acquired through Internazionale Fiat and Banca della Svizzera Italiana, a Generali Group Company. The agreement is subject to the approval of the Regulatory and Competition Authorities. Since 2002 BUC has held a 26.55 per cent shareholding in Lombard Bank.
After a dormant week, Global Financial Services Group (GFSG) came awake yesterday when 144,000 shares changed hands. The price tumbled 5c with all deals struck at Lm2.03, 2.4 per cent down on the week. International Hotel Investments (IHI) fell €0.01 to €0.94.
FIM only traded on Monday and Tuesday. On Monday the price dropped to US$1.92 but recovered to a US$1.93 close, while on Tuesday it slid to US$1.90 on a 500-share deal.
Simonds Farsons Cisk (SFC), Suncrest (SCR) and Plaza Centres plc (PZC) did not trade, neither did Datatrak (DTK) on the Alternative Companies List (ACL).
Turnover in the government bond market, was just over Lm500,000 with trades spread over 43 different stocks. The Corporate bond market was very quiet with trading taking place in 23 issues for a turnover of just over Lm55,000.
Financial Planning Services Limited is licensed by the MFSA to provide investment services, including stockbroking. The directors or related parties, including the company, and their clients, are likely to have an interest in securities mentioned. This article is only meant to provide information and is not intended to give investment advice. The value of securities, and the currencies in which they are denominated, may go down as well as up.
Report by Financial Planning Services Limited, tel. 2134 4244, fax. 2134 1202 info@bonellofinancial.com