Daily Market Highlights (20.02.2020)

HSBC Malta regains the €1.10 level


Following yesterday’s sharp decline, the MSE Equity Price Index recovered by 0.45% to 4,641.353 points across subdued activity. HSBC and MIDI lifted the index higher as both equities traded positively whilst BOV, IHI and PG ended the day unchanged. Trading activity across the equity market fell sharply to just under €0.1 million from €0.76 million yesterday. Download today’s Equity Market Summary.

A single trade of just 2,000 shares saw the equity of MIDI plc rise by 2.9% to the €0.49 level.

HSBC Bank Malta plc rebounded from yesterday’s sharp decline as the equity climbed by 4.8% to recapture the €1.10 level across 50,504 shares. On Tuesday, the bank reported an improvement in adjusted pre-tax profits largely reflecting the positive impact of cost reductions as well as lower expected credit losses. The Board of Directors are recommending a final net dividend of €0.014 per share. Coupled with the interim dividend paid in September 2019 of €0.011 per share, the total dividend for the 2019 financial year amounts to €0.025 per share. The final dividend will be paid on 15 April 2020 to all shareholders as at close of trading on 5 March 2020.

In the same sector, Bank of Valletta plc held onto the €1.04 level as 27,256 shares changed hands.

Also among the large companies, International Hotel Investments plc ended the day unchanged at the €0.77 level across trivial volumes.

Similarly, PG plc closed flat at the €2.00 level across a single trade of 1,300 shares.

The RF MGS Index rose by 0.19% to 1,152.452 points. Prices of Malta Government Stocks trended positively as EU leaders entered into two days of crunch talks on the bloc’s seven-year budget. The starting proposal for national contributions is 1.074% of the bloc’s gross national income (GNI), or a combined €1.09 trillion. While that is only a fraction of the 27 member states’ national budgets, there is little expectation that the leaders will agree on it this week. Member states are said to be split over rebate and spending restrains in the first EU budget since Brexit. The UK’s withdrawal from the EU has subsequently led to a €60-75 billion hole in the forthcoming budget.