Daily Market Highlights (20.05.2021)

MIA share price reaches 14-month high


The MSE Equity Price Index fell by 0.42% to 4,011.037 points largely reflecting the negative performances of RS2 and BOV. On the other hand, MIA climbed to a fresh 14-month high whilst GO and Harvest closed unchanged. Overall trading activity remained subdued as only €0.06 million worth of shares changed hands. Download today’s Equity Market Summary.

Malta International Airport plc reached a new 14-month high of €6.50 on low volumes of 600 shares. On Tuesday, MIA published a quarterly update providing information about its performance in Q1 2021. During this period, revenues and profitability dropped markedly reflecting the impact of the pandemic. Nonetheless, the airport operator explained that recent developments including the easing of restrictions, both locally and in important markets, augur well for the second half of the year.

RS2 Software plc ordinary shares slumped by 3.8% to the €2.04 level after recovering from an intra-day low of €1.82 (-14.2%). A total of 3,750 shares traded. On Tuesday, RS2 confirmed that its German subsidiary RS2 Financial Services GmbH has been granted an E-Money Institution (EMI) licence by the BaFIN, the German Federal Financial Supervisory Authority. The EMI licence allows the Group to provide a wider range of financial services comparing with payment institutions and allows safeguarding client funds for an unlimited period of time.

Bank of Valletta plc lost 1.1% back to the €0.90 level across 13,500 shares.

In the property sector, Trident Estates plc plummeted by 5.6% to the €1.51 level on volumes of 9,790 shares.

Elsewhere, GO plc traded flat at the €3.68 level on trivial volumes.

Harvest Technologies plc also ended the session unchanged at the €1.54 level on a single trade of 20,790 shares.

The RF MGS Index moved higher for the first time this week as it gained 0.11% to 1,099.705 points. Yesterday, the US Federal Reserve published the minutes of the Federal Open Market Committee (‘FOMC’) meeting held at the end of April, showing that the policy-making committee was considering discussions to reduce bond purchases, but only if the current positive economic trends continue. The FOMC noted that US inflation was expected to climb above 2% for some time during 2021 due to a recovery in prices that have been affected by the pandemic and temporary supply bottlenecks. Nonetheless, the FOMC expects inflation to go below the 2% level again in 2022 and stabilising at the 2% level in 2023.

Yesterday, the Treasury announced that it received a total of 121 bids from institutional investors for the three new Malta Government Stocks for a value of €393.3 million (nominal). The Treasury exercised its over-allotment option and allotted €300 million (nominal) in the three fixed rate stocks. The statistics published by the Treasury indicate that €150.1 million (nominal) were allotted in the 0.25% MGS 2026 (III) at a weighted average price of 101.45% (YTM: -0.0133%); €80.1 million (nominal) in the 1.00% MGS 2031 (II) F.I. at a weighted average price of 103.97% (YTM: 0.5874%) and €69.8 million (nominal) in the 1.40% MGS 2046 (I) F.I. at a weighted average price of 99.85% (YTM: 1.4071%).