Daily Market Highlights (16.08.12)

  • Trading activity on the local equity market hit a new 2012 low as only one trade of 600 IHI shares worth just over €500 was transacted during this morning’s session. The MSE Share Index eased minimally lower to 3,039.869 points reflect the marginal decline in IHI’s share price. Download a copy of the Equity Market Summary.
  • On the bond market, the Rizzo Farrugia MGS Index slipped 0.2% lower to 994.062 points as eurozone yields climbed to 1.587% – the highest level since 2 July. Today’s upturn in benchmark German 10-year bund yields reflects the rise in US Treasury yields as the better-than-forecast economic date published earlier this week reduced expectations of further stimulus measures by the US Federal Reserve during its upcoming monetary policy meeting.
  • This morning, MIH published its 2012 half-year results revealing a net profit of €4.4 million compared to €0.1 million in the first half of 2011. The surge in profitability was the result of the significant increase in revenue to €12.3 million (June 2011: €5.1 million) as the occupancy at Palm city increased to reach the 82% level. The half-year report also updated the market on the Company’s next project, the Medina Tower development.  Since the start of 2012, MIH invested a further €9.1 million in this project thereby raising the Company’s total investment to €13 million (including the initial €3.9 million invested in 2010). Works on site are expected to commence later on this year. The Directors reiterated their view that the project’s business case has increased significantly following the conflict in Libya. Further details on results available here.
  • A single deal of 600 IHI shares was struck at the €0.849 level representing a 0.1% drop from the previous close. Offers are already placed lower at €0.848 ahead of the Group’s half-year results publication sometime over the next two weeks.
  • Nine other companies with a December year-end are expected to publish their respective half-year reports during the last two weeks of August.
  • Still no trades were executed in the newly listed Malita Investments shares with best bids in the market at €0.45 with lowest offers at the €0.53 level compared to the IPO price of €0.50.