Daily Market Highlights (13.04.12)

  • The local equity market moved back into negative territory as the MSE Share Index shed another 0.3% to a fresh 35-month low of 2,927.347 points as the 1.4% drop in BOV offset the 0.6% rise in Lombard’s share price. Download a copy of the Equity Market Summary. During this shortened week, the local equity benchmark retreated by 0.8% mainly due to the weekly declines in the share prices of the two large banks.
  • On the bond market, the Rizzo Farrugia MGS Index ended this week 0.2% higher at 984.618 points. The rise in the local MGS benchmark contrasts with the recovery in Eurozone yields from last Monday’s 28-week low of 1.66% to around the 1.75% level. At the start of the week, markets were gripped due to escalating fears on the region’s sovereign debt crisis but investor sentiment, although still fragile, improved by the end of the week.
  • Earlier this week, BOV announced the allocation policy with respect to the recent €40 million issue of Notes which carry a coupon of 4.25% and mature in 2019. The Bank revealed that applications for the first €25,000 will be accepted in full with a balance of only 36.19% for applications above this level. Interest on these Notes will accrue as from today. Meanwhile, allotment letters and refunds of unallocated monies will take place by not later than next Wednesday 18 April.
  • BOV’s equity slid by 1.4% during this morning’s session to a new 29-month low of €2.11 across twenty trades totalling 38,942 shares. Other offers outstanding at the closing price with highest bids at the €2.10 level. BOV generally publishes its half-year results (covering the six months ended 31 March) by the end of April.
  • Meanwhile HSBC shares were inactive today as the equity failed to recover this week’s earlier losses and therefore ended the week at its 2012 low of €2.50, representing a 1.6% weekly decline.  Few bids are already placed in the market at €2.51 with lowest offers at €2.537. The Bank is scheduled to hold its Annual General Meeting on 18 April.
  • Lombard Bank shares up 0.6% during this morning’s session to regain the €2.465 level and close the week as the only positive performer. Three trades totalling 20,700 shares transacted today with best bids placed at €2.46 and lowest offers at the €2.47 level. The Bank is scheduled to hold its Annual General Meeting on Tuesday 24 March.
  • RS2 Software is expected to publish its 2011 full-year results this afternoon. These should be followed by 6pm’s results on Monday, Grand Harbour Marina on 18 April and Farsons on 25 April. MIDI will close off the full-year reporting season for companies with a December year end with its financial results publication on 30 April.