Daily Market Highlights (22.06.12)

  • MSE Share Index moved lower for the second consecutive session with a further 0.4% drop to 3,051.442 points following declines in the three largest banks’ equities listed on the Malta Stock Exchange. Meanwhile the only other two active equities, namely MIA and RS2, closed unchanged. Download a copy of the Equity Market Summary. On a weekly, basis the local equity benchmark also closed in negative territory with a 0.3% decline mainly due to the weekly declines in HSBC, BOV and MIDI which offset the positive performances of GO and MIA.
  • On the bond market, the Rizzo Farrugia MGS Index again edged marginally higher to close the week at 985.831 points representing a 0.2% weekly increase. This contrasts the weekly increase in eurozone yields from 1.471% last Friday to over 1.55% this week on the back of the pro-bailout party win in the Greek elections, the weakening of Germany’s safe haven status and the downgrade of fifteen international banks.
  • This afternoon the Treasury published the results relating to the issue of three new Malta Government Stocks. The Treasury announced that it received a total of 5,119 applications for a value exceeding €191.5 million (nominal) compared to the total €180 million on offer. The announcement also revealed that a total of €179.69 million (nominal) was allotted in the three fixed-rate stocks as follows: €48.05 million in the 3.75% MGS 2017 (IV); €52.49 million in the 4.3% MGS 2022 (II) FI  and €79.14 million in the 5.1% MGS 2029 (I). Further details available here.
  • BOV’s share price eased minimally lower to €2.069 across five trades totalling 8,880 shares. Best bids in the market at €2.062 whilst lowest offers pitched at the €2.07 level. Equity ended the week marginally lower as investors await news regarding the appointment of a new Chairman after Mr Roderick Chalmers tendered his resignation for personal reasons last week.
  • Lower volumes in HSBC amounting to just 400 shares as its share price slipped 1.2% back to the €2.50 level. However bids already placed minimally higher whilst lowest offers pitched at the €2.54 level. The Bank’s equity ended the week 0.8% lower.
  • Lombard Bank’s equity slumped 1.8% back to its multi-year low of €2.20 on a single deal of 1,300 shares. Equity ended the week unchanged with other offers unsatisfied at the closing price whilst best bids in the market at the €2.10 level.
  • Meanwhile MIA held on to the €1.78 level across 1,000 shares to end the week 0.6% higher. Further offers unsatisfied at the last trading price whilst best bids pitched at the €1.77 level.
  • RS2 Software shares also unchanged at the €0.50 level on a deal of 2,667 shares. Lowest offers in the market at €0.505 whilst best bids placed at the €0.45 level.
  • Although inactive during this morning’s session, GO registered its seventh consecutive weekly increase with a further 2.6% to €1.18 level and also rank as the week’s best performer for the third time in a row. The quad-play operator jumped a staggering since it reached an all-time low of €0.70 on 14 May 2012 after the Group revealed the creation of a new subsidiary to manage its property portfolio and seek the best way to extract value from the said properties.