Financial News

The Malta Stock Exchange ended the first trading day of the new year on a positive note as the Index added over 12 points, or 0.37 per cent, to close at 3473.378.

Bank of Valletta gained another 3c, or 0.78 per cent, yesterday to close at €3.90. This was on top of the 7c gain witnessed in the previous trading session as the bank's shares moved out of the €3.80 range it traded in for most of the last part of 2009.

The day's biggest mover was Crimsonwing plc which closed up by 1c, or 2.56 per cent, at €0.40. However, trading in the IT solutions provider remained thin as 40,000 shares were traded in a single deal.

Middlesea Insurance plc was also actively traded yesterday as 18,121 shares were exchanged across 10 deals, pushing the price up by 0c1, or 0.12 per cent, at €0.805.

HSBC Bank Malta plc shares also appreciated during the session as the equity gained 1c9 or 0.59 per cent to close at €3.249. Six deals were struck and a total of 2,587 shares traded hands.

Other companies which traded throughout the day included non-movers International Hotel Investments plc closing at €0.80 with 15,000 shares traded in two deals; Go plc closing at 2.10 with 2,000 shares traded in a single deal; Simonds Farsons Cisk plc closing at €1.70 with 8,877 shares spread across three trades and Maltapost plc with 40,000 shares traded in a deal that saw the shares close at €0.70.

The week ahead - Economic indicators for week starting January 4

In the US, attention will be focused on data from the labour market, mainly the unemployment rate and the change in the non-farm payrolls which are due to be published on Friday.

Here the market expects the December unemployment rate to show a slight increase from the previous month's figure. Today, we shall also have the November Factory Orders data, together with the ABC consumer confidence figure. Finally, among other releases, we shall be able to judge the state of the housing market via the Pending Home Sales, and the MBA Mortgage applications data to be released today and tomorrow.

After the release of the eurozone's December Manufacturing Purchasing Managers Index (PMI) yesterday, the Services PMI, also for December, is due to be released tomorrow, together with the November Producers Price Index (PPI) and the seasonally adjusted Industrial New Orders data for October. However, attention will probably be centred around the December inflation estimate to be released today and the unemployment rate and final third quarter reading of the area's Gross Domestic Product (GDP) figure both due on Friday. Finally, we shall also have a number of confidence indicators, together with the area's retail sales figures for the month of November.

In the UK, the headlines will be grabbed by the Bank of England's rate setting meeting on Thursday.

Here the market is not expecting any changes in either the interest rates nor in the Asset Purchase Programme. The UK's calendar this week, among others, will also feature the Services PMI, the PPI Input and Output data together with the Nationwide Consumer Confidence reading, all for December.

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.