Daily Market Highlights (26.09.11)

  • Local equity market initiates last week of September in negative territory. MSE Share Index down 0.3% this morning to 3,080.465 points as declines in IHI and GO offset BOV’s 0.8% rise. Meanwhile a further five equities, including HSBC, MIA and Farsons, closed unchanged. Download a copy of today’s Equity Market Summary.
  • On the bond market, the Rizzo Farrugia MGS Index eased 0.2% to 995.456 points as Eurozone yields regained the 1.73% level. The drop in yields reflects efforts by European leaders to stem the Eurozone debt crisis. In fact, European leaders are discussing a number of measures including improvements to the EU’s €440 billion rescue fund and injecting funds to strengthen the capital of banks in order to be able to sustain a potential Greek default.
  • Lack of support for GO’s shares still evident as the equity slides another 1.8% lower to the €1.10 level on low volumes of 500 shares. Further offers already placed below the last closing price whilst best bids only pitched at the €1.05 level. GO’s share price has tumbled 43.2% since the beginning of 2011 as investors became increasing wary of the widening losses at the Greek telecommunications company Forthnet (in which GO has an indirect investment). Furthermore, last week, Forthnet announced a number of changes in its issued share capital and a €30 million rights issue. More detail on this capital restructuring exercise is available here.
  • Following the increase of almost 10% in IHI’s share price during the week ending Friday 16 September, last week IHI’s equity slipped 5% lower from €0.80 to €0.76 and retreated by a further 2.6% this morning to close at the €0.74 level. Almost 6,000 shares changed hands today with bids already in the market at €0.76 and lowest offers at the €0.80 level.
  • On a positive note, BOV continued to build on last week’s 1.2% rise as its share price gained a further 0.8% to regain the €2.55 level across nine trades totalling over 15,000 shares.
  • Meanwhile HSBC traded unchanged at the €2.63 level on volumes of over 8,300 shares. Other offers unsatisfied at the closing price whilst best bids still in the market at the €2.62 level.
  • Simonds Farsons Cisk ended today’s session unchanged at the €1.795 level ahead of the publication of the Group’s half-year results, covering the six months ended 31 July, due next Wednesday 28 September. A total of 2,000 shares changed hands today with few other offers unsatisfied at the last traded price whilst best bids still in the market at the €1.70 level.