Daily Market Highlights (09.08.2018)

  • The MSE Equity Price Index slipped by 0.33% to 4,370.291 points, largely driven by the notable declines in the share prices of BOV and RS2 which together outweighed the gains in GO. Trading volumes abated as only €0.16 million worth of shares changes hands today. Download a copy of today’s Equity Market Summary.
  • The RF MGS Index partly erased yesterday’s decline as it rebounded by 0.07% to 1,095.342 points. Uncertainties related to the imposition of new trade tariffs between the US and China as well as fresh US sanctions on Russia dominated financial markets. Meanwhile, the European Central Bank today issued a report providing an update on the performance of the euro zone economy. In its assessment, the ECB made ample reference to the increased level of risks arising from trade disputes. However, the central bank also maintained its positive outlook on the single currency area on the back of “solid and broad-based growth”.
  • Bank of Valletta plc lost 1.3% to the €1.55 level across 28,511 shares. Last week, the international credit rating agency S&P downgraded its long-term Issuer Default Rating on BOV to “BBB” from “BBB+” and maintained its outlook as “Negative”. S&P noted the increased reputational and operational risks for the Maltese banking sector in general, whilst for BOV it highlighted the risks in relation to the case of the Deiulemar Trust. On the other hand, S&P acclaimed BOV’s resilient profitability and contained credit losses.
  • Also among the large caps, RS2 Software plc tumbled 3.4% back to the €1.15 level albeit on just 1,000 shares. The company still has to announce the date of the publication of its interim financial statements.
  • A single deal of 15,000 shares forced the equity of Plaza Centres plc to move 1% lower to the €1.02 level.
  • Within the same sector, Malta Properties Company plc held on to the €0.51 level after opening 2% lower at €0.50. A total of 6,000 shares changed hands.
  • GO plc also ended unchanged at the €3.38 level across 9,713 shares. The company is scheduled to publish its interim financial results tomorrow.
  • FIMBank plc (20,601 shares) and PG plc (31,900 shares) traded flat at USD0.545 and €1.36 respectively. The trade finance specialist is due to publish its interim financial results on 14 August whilst PG should be publishing its financial statements covering the financial year ended 30 April 2018 by the end of this month.
  • Meanwhile, HSBC Bank Malta plc added 0.5% to regain the €1.88 level on light volumes totalling 2,386 shares. Shareholders as at the close of trading on 14 August will be entitled to a net interim dividend of €0.026 per share.