Trading activity during the first day of the week on the Malta Stock Exchange ended on a marginally positive note as the index gained 0.3 per cent to close at 3,076.2 points. Activity in the equity market resulted in a total of 23 deals across five different listings. Nevertheless, the bulk of the day's transactions were affected in the fixed income sector of the market.
HSBC Bank Malta was the sole equity to start the week on a positive note as the listing increased by 2c9 or 1.1 per cent to terminate the session at €2.70. Investors in the bank exchanged an aggregate 4,870 shares, spread over five transactions. ank of Valletta was the only non-mover in the banking sector as the equity closed unchanged at €2.90. Intraday activity saw the equity trade with a seven cents gain, but subsequently selling activity pushed the price back at Friday's closing price.
The financial services company was nevertheless the day's most liquid and actively trade equity as investors swapped 10,243 shares across nine transactions.
Similarly, both MaltaPost and RS2 Software remained static during the day as the equities closed at €0.69 and €0.65 respectively.
Trading activity in the former resulted in 5,503 shares being transacted over five deals whilst in the latter, investors swapped 5,000 shares over two deals.
Moreover, RS2 Software had announced last week that the board of directors is scheduled to issue its half yearly financial report for the period ended June 30 on August 18.
Malta International Airport was the session's only loser albeit declining by a negligible one tenth of a cent to terminate at the €2.349 level.
In the fixed interest sector of the market, activity was higher than usual as eight government stocks and 15 corporate bonds were active for the day.
In the corporate debt market the highest turnover was registered in the 6.15 per cent Bank of Valletta 2010 when €524,110 nominal were exchanged over two deals without altering the previous closing price at €100.50.
Meanwhile, the best performer was thesix per cent Dolmen Properties 2010/3 which rose by 10 ticks when investors exchanged €10,484 nominal over two deals to close at €100.10.
Economic indicators for week starting August 17
The week ahead will feature important economic data from the eurozone's largest economy, Germany, where following the positive Gross Domestic Product results, economic sentiment is expected to improve.
In the United States, the producer price data scheduled to be released today, is expected to show a monthly decline of -0.3 per cent in July from June's 1.8 per cent. This would bring the annual decline to -5.9 per cent. Meanwhile, on a positive note initial jobless claims in the country are expected to fall for the period ending August 15 by 550,000 from their previous 558,000. Positive news is also being predicted in the housing market, with housing expected to increase by 598,000 last month, while existing home sales are anticipated to rise by five million during the same month. On the other side of the Atlantic, the coming week's focus will be on the Purchasing Manager's Index, which is expected to edge closer to the 50 mark that signals expansion. In fact, the composite reading of both manufacturing and services is expected to be at 48 in August from its previous 47. The German ZEW Indicator of Economic Sentiment should also reflect the bullish sentiment there, with an anticipated reading of 43 in August from a prior 39.5 in July.
In the United Kingdom, consumer price inflation, data scheduled for today, is expected to register a monthly decline of - 0.3 per cent in July from its prior 0.3 per cent in June. In the retail sector, sales for the month of July are expected to come in relatively weak, edging up by only a mere 0.4 per cent from their previous 1.2 per cent increase. In conclusion, the Bank of England will publish the minutes of its previous meeting tomorrow.
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.