Most of the active corporate bonds closed sharply lower during this morning’s trading session as investors remained concerned about the political crisis in Libya.
The largest declines were registered in the 7.5 per cent Mediterranean Investments Holding plc 2014 which plunged to the 90 per cent level from a previous price of 104 per cent.
Likewise the price of the 6.5 per cent International Hotel Investments plc 2014 bond slipped 13 percentage points from 103 per cent to the 90 per cent level.
Other bonds of Mediterranean Investments Holding, International Hotel Investments and Corinthia Finance also declined.
Meanwhile the selling pressure in the corporate bond market also spread onto other bonds with the seven per cent FIMBank plc 2019 and the seven per cent Grand Harbour Marina plc 2019 bonds dropping 200 basis points and 300 basis points, respectively.
Meanwhile, the Rizzo Farrugia MGS Index advanced by a further 0.17 per cent on further gains in eurozone bonds amid their ‘safe haven’ status.
On the equity market, the MSE Share Index declined for the fifth consecutive session. The Index edged 0.1 per cent lower to 3,626.462 points on declines in Bank of Valletta plc and Middlesea Insurance plc. BOV’s share price dropped below the €3level for the first time since November 9.
The equity closed the day 0.2 per cent lower at the €2.99,4 level on volumes of 9,716 shares.
Meanwhile, following the 13 per cent drop in the preceding three sessions, HSBC Bank Malta plc held on the €3.00,1 level after also recouping from an intra-day low of €2.99.
Activity increased to 33,600 shares as fresh demand entered the market following this week’s sharp drop.
The final gross dividend of €0.07,7 per share will be payable to those shareholders as at close of trading on March 3.
The other negative performing equity was Middlesea Insurance plc which edged 0.9 per cent lower to the €1.05 level across two trades totalling 4,700 shares. Middlesea is scheduled to publish its 2010 financial results on March 14.
GO plc touched a fresh 15-month low of €1.78,5 but recovered towards the end of the session to close unchanged at the €1.80 level.
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