Daily Market Highlights (30.03.11)

  • Subdued investor sentiment persists as local equity market registers sixth successive negative session. MSE Share Index down marginally today to a new 4-month low of 3,463.776 points as declines in HSBC and BOV offset the increases in the share prices of MIA and GO. The local equity benchmark ends the first quarter of 2011 with a loss of 8.4% as GO and IHI register double digit declines and the two large banks drop by over 9.5% each. Download a copy of today’s Equity Market Summary.
  • Likewise, the Rizzo Farrugia MGS Index eased 0.1% this morning to yet another 21-month low of 973.904 points as the benchmark Eurozone yields hit the 3.35% level. The MGS Index is down 1.9% since the start of 2011. Markets now eagerly await next month’s monetary policy meeting of the European Central Bank following recent comments made by high ranking officials of the Bank on a strong possibility of an interest rate increase.
  • This morning BOV’s equity eased 0.2% lower to the €2.905 level on volumes of just over 12,300 shares. During the first quarter of 2011, BOV reversed most of the gains registered during the previous quarter as its share price slid 9.6%. The Bank generally publishes its half-year results to 31 March by the end of April.
  • HSBC also shed €0.005 to close today’s session at the €2.945 level across seven trades totalling just over 11,000 shares. Similar to the trend in BOV, HSBC’s equity retreated by 9.5% during the first three months of 2011 thus wiping out most of the gains recorded during the three months ended 31 December 2010.
  • On the other hand, MIA edged a further 0.6% higher to regain the €1.77 levels on low volumes of 2,800 shares during the final trading to gain entitlement to the final dividend. Following last year’s 38.3% jump, MIA’s share price still ranks amongst the best performing equities with a year-to-date increase of 6.6% on the back of a record number of passenger movements in 2010 which mainly drove the Group to record profitability and dividend levels.
  • In contrast to the recent sharp downturn, GO’s share price this morning edged 0.7% higher to close at the €1.51 level across five trades amounting to 4,870 shares. Despite today’s marginal recovery, the equity of the quad play operator is still 22% lower than its value at the beginning of the year reflecting shareholders’ disappointment with respect to the €19.2 million loss for 2010 and the 50% cut in net dividends to €0.05 per share. GO’s equity will trade with the entitlement to the recommended dividend until 4May. Further details on results available here.
  • A single trade of 1,600 RS2 Software shares executed at the €0.35 level, unchanged from the previous close. The IT equity ranks as the second worst performing equity during the first quarter of 2011 with a 27.1% plunge. RS2 still has to announce the date of the 2010 financial results publication.
  • The only other active equity, IHI, traded unchanged at the €0.83 level on a small deal of 501 shares. IHI’s share price closed the first quarter of this year 12.2% lower after a drop of 10.6% drop in March following the political unrest in Libya. IHI’s share price had previously climbed by 25.8% rise in December 2010 and January 2011.
  • 6pm Holdings plc announced that it published a Prospectus with respect to a rights issue of 10,788,000 new ordinary shares at the price of £0.25 per share. Shareholders are entitled to subscribe to 1.4384 new shares for every share held. The rights issue opens on Monday 11 April and closes on Friday 29 April at 14.00 hours. Further details available here.