MSE Share Index reaches 2-month high

The MSE Share Index advanced by 0.3% today to close at a new 2- month high of 3,119.939 points. This morning’s uptick was mainly due to the 0.4% rise in HSBC Bank Malta plc’s share price (which accounts for more than 28% of the local equity index) to €2.75 on increased volumes totalling 28,231 shares.

Moreover, various other equities traded higher today. A single deal of 1,416 Simonds Farsons Cisk plc shares was struck at yet another 45-month high of €2.20 ahead of the Group’s half-year results publication on Wednesday. The latest Interim Statement published last May hinted of an expected improved profitability from last year’s level of €2.6 million. The equity of Malta International Airport plc touched a new 2-month high of €1.77 before easing to a close of €1.769 which still represents a 0.5% increase over last week’s close.

Plaza Centres plc and MaltaPost plc recouped some of their respective recent declines on shallow volumes. Plaza’s share price jumped 7.4% higher to regain the €0.58 level on a single trade of 2,000 shares. The equity of the postal operator jumped by 6.2% to the €0.70 level across two trades amounting to 15,500 shares.

On the other hand, Malita Investments plc failed to hold on to the €0.52 where it traded since 7 August as 4,000 shares changed hands at the €0.51 level representing a 1.9% drop from the previous close.

The three other active equities ended this morning’s session unchanged. GO plc maintained the €0.85 level across three totalling 8,500 shares ahead of the Group’s decision on whether or not to participate in Forthnet’s €30 million rights issue. The Directors are expected to meet on this matter by the end of this week.

Very low activity took place in Bank of Valletta plc with 211 shares exchanged at the €2.265 level whilst a single trade of 1,000 Lombard Bank Malta plc shares was transacted at the equity’s multi-year low of €1.90.

On the bond market, the Rizzo Farrugia MGS Index eased marginally lower to 995.282 points despite a further dip in Eurozone yields this morning to around 1.56%. This reflects the comments made by Spain’s Minister for the Economy that his country is in no hurry to make a request for a bailout. Moreover, there were further concerns on slowing economic activity as it was revealed that Germany’s business sentiment index dropped for the fifth consecutive month to its lowest level since early 2010.