The recent rally in local equities was well supported during the mid-week session, with the Malta Stock Exchange Index now just a few points away from its highest level of 4,013 points registered on January 24, 2000. In effect the Index ended the session up by 1.3 per cent at 3,898 points.
The banking sector remained the main focus, with all four listed banks now trading at their all time-highs. In effect shares of both Bank of Valletta and HSBC Bank Malta managed to break new levels yesterday, closing at an impressive Lm5.49,9 and Lm6,091, respectively.
FIMBank also closed at a new record price with the equity moving to $1.70. Activity in the equity remained relatively thin as supply is becoming even more scarce. In the meantime shares in Lombard Bank eased by 1c from it all time high of Lm6.50, registered last week.
Another Index heavyweight Maltacom, continued with its recent gains, this time adding a further 2c, to Lm1.56. Rumours on the advanced process of privatisation have brought about significant interest in the equity which has tended to lag behind the other major equities in terms of gains so far this year.
In the rest of the equity market, all trading equities finished in positive territory, with the exception of International Hotel Investments and Farsons. Noteworthy were the gains registered by Plaza shares which advanced by almost 3c to Lm0.62 while Datatrak shares increased by a further 0c5, to Lm0.26,5.
In the fixed income market activity was spread between five corporate issues and six government stocks.
Nikkei edges higher on weaker oil prices
Japanese stocks edged up yesterday morning with carmakers and other exporters benefiting from a fall in oil prices. The Nikkei 225 closed morning trading up 0.2 per cent at 12,630.26. The Topix rose 0.1 per cent to 1,287.09.
European stocks extended the 39-month high hit by the FTSE Eurofirst 300 on Tuesday encouraged by strong results and broker upgrades. In fact it gained 0.2 per cent to 1,202.85 by mid-afternoon, while the Xetra Dax in Frankfurt rose 0.2 per cent to 4,977.94, having hit 5,004.23 at one point - its highest level since May 2002. The CAC-40 in Paris was up 0.2 per cent to 4,480.40 and the FTSE 100 in London was flat at 5,360.6.
The market was adversely affected by several companies moving ex-dividend, including mortgage bank Alliance & Leicester, off 2.2 per cent to 864p, hotel and leisure company Hilton Group, down 1.1 per cent to 307p and music and book retailer HMV Group, 3.3 per cent lower at 242p.
Stronger US markets overnight had earlier brought optimism, as the S&P 500 rose 15.38 points or 1.3 per cent to 1,233.40, the biggest percentage gain since the recent low on April 21. The Nasdaq Composite added 25.79 points or 1.2 per cent to 2,166.86 and the Dow Jones Industrial Average increased 141.87 points or 1.4 per cent to 10,565.12.
Financial News compiled by Valletta Fund Management Ltd (Tel. 2122 7311) and BOV Stockbrokers Ltd (Tel. 2122 7370) members of the BOV Group.