Daily Market Highlights (03.10.2023)

RF MGS Index registers a new all-time low


The RF MGS Index declined by 0.28% to 851.150 points, the lowest level since the index’s inception in 2008, reflecting the surge in yields across the eurozone sovereign bond markets with the German 10-year bund yield climbing to 2.95%. Likewise in the US, 10-year and 30-year Treasury yields rose to the highest levels since 2007 of 4.76% and 4.87% respectively. Today, the chief economist of the ECB Philip Lane highlighted that rising wages could hinder further inflation stabilisation in Europe, despite year-over-year inflation in September hitting a two-year low. He expects wage growth to stabilise in the coming months, but the ECB will not have a clear picture until the second quarter of next year.  Meanwhile, in the US, Atlanta Federal Reserve President Raphael Bostic stated that he does not expect rates to decrease in the foreseeable future, however, noted that there is currently no urgency to increase the federal funds rate either since he expects that the current rates will be sufficient to reduce inflation to target levels over an acceptable timeline. Download today’s Equity Market Summary.

The MSE Equity Price Index increased by 0.07% to 3,675.613 points as the gain in BOV outweighed the decline in Lombard. Meanwhile, four other equities closed unchanged as the total trading activity in local equities climbed to a week high of €0.10 million.

Bank of Valletta plc gained 0.8% to the €1.23 level across six trades totalling 13,400 shares. BOV recovered from an intraday low of €1.21 (-0.8%).

In contrast, Lombard Bank Malta plc shed 2.5% to the €0.78 level as 6,163 shares changed hands. Lombard partially recovered from an intra-day low of €0.75 (-6.3%).

Also in the banking sector, HSBC Bank Malta plc traded flat at the €1.16 level across two deals totalling 5,927 shares.

Malta International Airport plc was today’s most actively traded equity as it closed unchanged at the €5.70 level across four trades totalling 10,000 shares. Yesterday, the Government announced that a new airline will replace AirMalta following the end of March 2024. The new airline will operate the same planes, and offer fewer routes, but is expected to be more efficient and achieve higher seat load factors.

BMIT Technologies plc held the €0.41 level on two deals totalling 8,833 shares.

Trident Estates plc traded flat at the €1.20 level across two trades totalling 11,430 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.