Daily Market Highlights (22.03.2019)

  • The MSE Equity Price Index resumed its upward trend as it rebounded by 0.39% to 4,733.382 points. Today’s uplift was largely motivated by the strong uplifts in the share prices of FIMBank and BOV which, coupled with the gain in Farsons, outweighed the declines in five other shares including HSBC and GO. Meanwhile, several other equities closed the day flat. Download a copy of today’s Equity Market Summary.
  • The RF MGS Index moved higher for the third consecutive day as it added a further 0.17% to a near eleven-month high of 1,113.777 points. Bond yields in the euro area continued to drift lower with the 10-year benchmark German Bund yield falling again into negative territory after more than two years in positive territory. The downward pressure on yields extended further following indications given yesterday by the US Federal Reserve not to increase interest rates this year and start slowing the pace of its balance sheet reduction in May. Furthermore, fresh economic data published today was very disappointing as the preliminary reading of a closely-watched index gauging the level of sentiment of purchasing managers (“PMI”) in the manufacturing and services sectors across the euro area pointed to a substantial drop compared to the previous forecast of a small rebound. This took place amid further signs of stress in the manufacturing sector, particularly that in Germany. In fact, German manufacturing PMI extended the decline seen in recent months and slid to the lowest level in over six years.
  • FIMBank plc surged 5.7% to an over two-month high of USD0.74 albeit on just 16,666 shares. Tomorrow, the trade finance specialist is due to publish its 2018 full-year results.
  • Bank of Valletta plc erased some of yesterday’s sharp decline as the equity regained the €1.41 level (+2.2%) on activity totalling 15,823 shares. Shareholders as at close of trading on 6 June will be entitled to one bonus share for every ten shares held.
  • The other positive performing equity today was Simonds Farsons Cisk plc with a gain of 0.6% to recapture the €8.75 level across 2,000 shares.
  • Malta Properties Company plc slumped 9.4% from its highest level since end November 2015 of €0.64 back to the €0.58 level albeit on light trading volumes. On Wednesday, MPC published its 2018 financial results revealing a significant improvement in profitability to €10.6 million largely due to the gains made on the sale of property as well as the upward revaluation of other real estate holdings. The Directors are recommending a final net dividend of €0.01 per share to all shareholders as at the close of trading on 9 May 2019.
  • Within the same segment, Malita Investments plc lost 1.7% to the €0.87 level across 26,800 shares. Shareholders as at close of trading on 3 April will be entitled to a final net dividend of €0.01417 per share.
  • A single deal of just 9,000 shares forced the equity of Medserv plc to drop by 4.3% back to the €1.12 level.
  • GO plc eased by 0.8% to the €4.90 level on strong volumes totalling 44,543 shares having a market value of €0.22 million.
  • Also among the large companies, HSBC Bank Malta plc retracted back to the €1.63 level (-0.6%) across 28,224 shares.
  • In contrast, both Malta International Airport plc (200 shares) and RS2 Software plc (57,500 shares) traded unchanged at €6.55 and €1.40 respectively.
  • Similarly, ten deals totalling 101,544 shares left the equity of BMIT Technologies plc at the €0.52 level.
  • PG plc (€1.38), Plaza Centres plc (€1.02) and Santumas Shareholdings plc (€1.42) all ended the day flat on insignificant volumes.