Daily Market Highlights (26.01.12)

  • MSE Share Index gains 0.2% to 3,066.560 points as trading volumes diminish. HSBC and MIA traded higher today whilst BOV edged minimally lower. The only other active equity was Middlesea Insurance plc. Download a copy of the Equity Market Summary.
  • On the bond market, the Rizzo Farrugia MGS Index recovered by 0.2% to regain the 987.274 points as Eurozone yields tumbled back below the 2% after the US Federal Reserve yesterday evening announced that it plans to maintain rates at the historically low levels of between 0% to 0.25% until late 2014. Moreover the Chairman of the US Federal Reserve, Ben Bernanke indicated that a third round of quantitative easing remains an option as the US economy is still vulnerable and has not entered a new growth phase.
  • Tomorrow, the Treasury will publish the prices of the 3 new Malta Government Stock issues announced earlier this week. The Treasury will be issuing €150 million (with an over-allotment option of up to another €150 million) in the following stocks: (i) 4.25% MGS 2017 (III) (Fungibility Issue); (ii) 4.3% MGS 2022 (II) and (iii) 5.2% MGS 2031 (I) (Fungibility Issue). The subscription period for the General Public will take place between Wednesday 1 February and Friday 3 February. On the secondary market, high volumes sustained in the 5.20% MGS 2031 with a further €1.78 million (nominal) changing hands during this morning’s session. The price of this stock reversed yesterday’s 35 basis points decline to regain the 102% level in line with the Central Bank’s bid price.
  • MIA’s equity reversed yesterday’s declines as its share price was lifted by 1.2% during this morning session to regain the €1.75 level. Three trades totalling 10,000 shares executed today with further offers unsatisfied at the last traded price. The company is shortly expected to provide a detailed analysis of its 2011 traffic results.
  • HSBC edged 0.4% higher today to regain the €2.56 level across four trades totalling 5,386 shares. Further offers unsatisfied at the closing price whilst best bids pitched at the €2.54 level. The Bank generally publishes its full-year results by the end of February.
  • Meanwhile BOV eased minimally lower to €2.249 across six trades totalling 5,590 shares. Other offers remained unsatisfied at the last traded price whilst best bids still in the market at the €2.20 level.
  • Middlesea failed to recover from yesterday’s 10% tumble as a further 252 shares of the Insurance Group were traded at the €0.72 level – the equity’s 20-month low. Other bids in the market at the last closing price whilst lowest offers pitched at the €0.775 level.