Daily Market Highlights (27.04.2017)

  • The MSE Share Index moved back into negative territory today as it slipped 0.1% lower to a fresh 3-month low of 4,693.829 points largely due to the declines in RS2 and MIA but also due to the sharp decline in GlobalCapital. On the other hand, IHI was the only positive performing equity with another four equities, including BOV and HSBC, ending today’s session unchanged. Download a copy of today’s Equity Market Summary.
  • Following the worst daily drop in nearly seven weeks yesterday, the RF MGS Index extended its decline by a further 0.07% to a fresh four-week low of 1,119.442 points. Euro zone sovereign yields continued to gain ground this morning ahead of the European Central Bank’s (ECB) monetary policy meeting in the afternoon as fresh economic data continued to point towards sustained recovery within the single currency area. In particular, a survey gauging the level of confidence among businesses and consumers in the euro zone surged to its highest level since October 2007. Similarly, industrial sentiment rose strongly to a near six-year high.
  • This afternoon, Bank of Valletta plc published its interim results covering the six months ended 31 March 2017. The Bank reported an 8.1% increase in pre-tax profits to just over €74 million as the €5.3 million net reversal of impairments (as opposed to a charge of €8.1 million in the previous comparable period) and the surge in share profits from associate companies to €8.9 million offset the 8.3% decline in total operating income to €123.2 million and the 8.5% increase in non-interest expenses to €63.4 million. The Directors also declared a net interim gross dividend of €0.045 per share (net: €0.0293) representing a 24% increase over the previous interim dividend. Nonetheless, the Directors noted that within a 12-month period the Bank will be seeking to raise €150 million in fresh equity capital. On the secondary market, BOV shares maintained the €2.25 level across twelve deals totalling 505,067 shares.
  • No changes also in the share price of HSBC Bank Malta plc at the €2.06 level on volumes of 11,648 shares.
  • MIDI plc also ended today’s session unchanged at the €0.30 level on a single trade of 10,000 shares. Similarly, Malita Investments plc held on to the €0.74 level across 46,000 shares.
  • Meanwhile, new sell orders forced the share price of RS2 Software plc into negative territory as the equity touched a 5-month low of €1.539 before minimally recovering to close the session at the €1.54 level which still represents a 2.5% drop from the previous closing price.
  • Likewise, the equity of Malta International Airport plc trended lower today with a minimal decline to €4.15 on shallow volumes of 2,150 shares.
  • The only other negative performing equity was GlobalCapital plc as it slumped by 11.8% to a new all-time low of €0.30 on heightened volumes of 244,5050 shares.
  • On the other hand, the share price of International Hotel Investments plc edged 1.1% higher to regain the €0.649 level on a small trade of 700 shares.