The local market registered a well spread bout of activity during the mid-week session, with trades being executed in as many as 10 different companies listed on the Malta Stock Exchange, although both volumes and the number of trades were relatively subdued. The Index declined 0.03 per cent to terminate the session at 3,971 points.
HSBC Bank Malta was the day's most actively traded equity with a grand total of 16,985 shares carrying a market consideration of €57,710 being exchanged across 10 trades. The equity gained slightly during the session but, nevertheless, still closed the day unchanged at €3.39.
Bank of Valletta, the largest banking equity in asset terms declined slightly as few sellers came to the market following last week's gain. As a result the equity registered a slight decline in price to terminate the session at €4.698 on a total turnover of 4,831 shares.
On the contrary, FIMBank gained slightly as investors purchased 26,202 shares at the $1.91 level.
RS2 Software, the financial sector IT services provider, shed 0c4 or 0.5 per cent as 2,000 shares were purchased from the offer side with investors asking €0.825 for their holdings.
Grand Harbour Marina was the day's biggest loser as investors sold 2,600 shares down to the €2.15 level. This represents a 15c or 6.5 per cent discount to its previous traded price. Trading activity left an outstanding demand for 4,913 shares at €2.10 against supply of 5,000 shares offered at €2.50.
Activity in Go diminished slightly when compared to the past few days with just a single transaction of 3,000 shares going through the floor of the exchange at €2.31, which represents a 1c or 0.4 per cent premium to its previous traded price.
Plaza Centre was the day's top gainer with the equity advancing 3c or 4.3 per cent as 1,000 shares were purchased up to the €1.73 level, while to the contrary Maltapost retreated by 2c or 2.5 per cent as 5,000 shares were sold down to the €0.78 level.
Elsewhere in the market, small trades in International Hotel Investments and Malta International Airport did not affect their previous closing prices of €1.04 and €2.95 respectively.
Weekly UK economic review
In line with what was highly anticipated, the Bank of England kept the benchmark interest rate unchanged as policy makers judged the fastest inflation in more than a decade outweighed the risk that the economy is sinking into a recession.
In terms of economic data, the British economy contracted during the first three months through July according to the National institute for Economic and Social research. Gross Domestic product (GDP) dropped 0.2 per cent in the June to August period and fell 0.1 per cent in the three months to July. These figures are appreciably lower than anticipated on account of the downward revision to second-quarter GDP growth figures published in the previous month. UK manufacturing production also declined in July to the lowest level in one and a half years as oil rose to a record during that period, dragging on economic growth. Factory output fell 0.2 per cent from June, declining for a fifth month.
Meanwhile, to the market's surprise, producer prices dropped by the most in at least 22 years in August after oil prices and raw material costs fell and economic growth stalled. In conclusion, UK house prices continued its freefall last month as the squeeze on mortgage lending appears to be the key issue which is keeping the housing market from showing any real signs of recovery.
This article has been prepared by Bank of Valletta p.l.c. (the Bank), which is licensed to conduct investment services business by the MFSA, for your general information only. This information is not a solicitation or offer by the Bank to acquire or sell securities. Nor does it constitute any form of advice by the Bank. Appropriate advice should be obtained before making any such decision. Past performance is not necessarily a guide to future performance and the value of your investments may fall or rise.