Daily Market Highlights (26.07.12)

  • MSE Share Index retreated by 0.1% to 3,126.626 points as GO and MIA trade lower whilst BOV ended this morning’s session unchanged. Shallow trading activity registered during today’s session with just over €20,000 worth of shares changing hands. Download a copy of the Equity Market Summary.
  • On the bond market, the Rizzo Farrugia MGS Index edged 0.1% higher to 993.308 points as Eurozone yields slid back to the 1.23% level this morning. However, later on in the day, benchmark German bund yields surged to a 2-week high of 1.34% after the European Central Bank’s President Mario Draghi stated that the ECB will do whatever is necessary to save the euro. This statement also eased some of the concerns over Spain and Italy with Spanish 10-year yields dropping back to the 7% level whilst Italy’s borrowing costs eased closer to the 6% level. Mr Draghi’s statement also lifted the euro which regained the USD1.23 level against the US Dollar. Similarly, equity markets rallied with the FTSE 100 currently 1.3% higher and the German DAX up 1.7%.
  • MIA’s share price retreated by 1% to €1.77 as the equity turned ex-dividend. The net interim dividend of €0.03 per share will now be paid on 10 September. The half-year results for the six months ended 30 June 2012 revealed a 13% increase in net profit to €4.48 million. The airport operator also announced a revised forecast for the 2012 passenger numbers which are now expected to grow by 1.5% to a new record of 3.56 million passenger movements. Further details on results available here.
  • GO’s equity also in negative territory as it eased by 1% to €1.05 across two small deals totalling 1,096 shares. Like many other listed companies with a December year end, the quad play telecom operator still has to announce the date of its interim results publication.
  • On the other hand, BOV maintained the €2.09 price level as 4,296 shares changed hands today. Earlier this week, BOV announced the appointment of Mr Frederick Mifsud Bonnici as the new Chairman.
  • No activity recorded in HSBC shares ahead of the Bank’s interim results publication tomorrow. Lowest offers in the market already placed below the last closing price of €2.895 with highest bids at the €2.70 level.
  • The new share issue of Malita Investments plc was closed earlier on this afternoon due to oversubscription. Malita will be exercising the over-allotment option of the additional 10 million shares and as such it will issuing and listing 30,000,000 new ‘B’ shares. The Company will be publishing the allocation policy by 2 August in accordance with the Prospectus dated 2 July 2012.