RF MGS Index drops to an all-time low

The RF MGS Index declined for the fourth consecutive session as it fell by a further 0.57% to an all-time low of 842.948 points. The Index lost 2.5% since the start of the year. The decline in bid prices reflects the increase in sovereign bond yields as major economies published data indicating a resilient economy that supports higher interest rates for longer. In fact, yesterday the United States reported that both sales and production levels had exceeded forecasts. Meanwhile, today the United Kingdom reported that inflation in September remained unchanged at 6.7% as opposed to an expected decrease, as the lower growth in food prices and household goods was offset by a smaller-than-expected decline in energy costs. Elsewhere in China, the economic data including GDP, retail sales, and production levels all exceeded projections, while unemployment fell to an almost two-year low of 5%. Furthermore, an escalation of geopolitical pressures in the Middle East contributed to a rise in fossil fuel and key raw material prices.

The MSE Equity Price Index remained practically unchanged at 3,598.351 points as the gains in HSBC and IHI were mostly offset by the decline in BOV. Meanwhile, Malta International Airport plc held the €5.50 level on muted activity. Download today’s Equity Market Summary.

International Hotel Investments plc recovered some of yesterday’s losses as it rebounded by 4.5% to the €0.46 level on a single trade of 3,258 shares.

Also among large companies by market capitalisation, HSBC Bank Malta plc advanced by 1.8% to the €1.16 level on two deals totalling 7,000 shares.

In contrast, Bank of Valletta plc shed 2.4% to the €1.21 level on a single trade of 10,000 shares.

This report contains public information only and is not to be construed as investment advice or an offer to buy or sell any securities. Information contained herein is based on data obtained from sources considered to be reliable, but no representations or guarantees are made with regard to the accuracy of the data. Stock markets are volatile and subject to fluctuations which cannot be reasonably foreseen. Past performance is not necessarily indicative of future results. Rizzo, Farrugia & Co. (Stockbrokers) Limited is a company licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap. 370 of the Laws of Malta and a member of the Malta Stock Exchange.