Daily Market Highlights (06.01.17)

  • The MSE Share Index erased yesterday’s decline as it rebounded by 0.23% to a fresh near nine-year high of 4,644.338 points. Activity was spread across eight equities, with three registering gains, another three ended the day in negative territory whilst BOV and MIA closed flat. Trading volumes improved to nearly €0.26 million – the highest in the last five trading sessions. Week-on-week, the local equity index advanced by 0.29%, mainly on the back of the gains in the share prices of four large companies – HSBC (+2.6%), RS2 (+1.0%), BOV (+0.4%) and GO (+0.3%). Download a copy of today’s Equity Market Summary.
  • On the bond market, the RF MGS Index moved lower for the fifth consecutive day as it dropped by a further 0.11% to an over three-week low of 1,136.852 points. Week-on-week, the Index slumped by 1.48% – its worst performance in the first week of the year since inception in 2009 – amid heightened optimism towards economic recovery within the single currency area and recent upbeat inflationary data. Meanwhile, international financial media reports today quoted Mr Yves Mersch – who is an Executive Board member of the European Central Bank (ECB) – as saying that it is still premature for the ECB to declare victory over economic weakness in the euro zone economy. Mr Mersch added that wages were not growing fast enough in the bloc to fuel inflationary pressure.
  • Positive sentiment towards HSBC Bank Malta plc persisted as the equity advanced 1.3% to the €1.95 level – the highest since late March 2014 – across 24,124 shares. The Bank announced today that its Board of Directors is set to meet on 21 February 2017 to consider and approve the preliminary statement of annual results for 2016 and also consider the declaration of a final dividend to be recommended during the Annual General Meeting to be held on 13 April 2017.
  • RS2 Software plc edged 0.2% higher to the €1.838 level.
  • Mapfre Middlesea plc recaptured the €2.25 level (+2.3%) on improved activity totalling 15,000 shares.
  • In contrast, Malta Properties Company plc was the worst performing equity today with a drop of 2.5% back to the €0.58 level across 27,377 shares.
  • Within the same segment, MIDI plc retreated by 0.3% to the €0.35 level across 146,000 shares.
  • Similarly, FIMBank plc eased back to the USD0.90 level across 10,000 shares.
  • Meanwhile, Bank of Valletta plc (34,833 shares) and Malta International Airport plc (2,656 shares) maintained the €2.26 and €4.05 levels respectively. The equity of BOV will continue trading with the entitlement to the 1 for 13 bonus issue until 12 January 2017.