Financial news

The MSE index closed marginally lower during the last session of the week at the Malta Stock Exchange as declines in the share prices of the major listed banks dragged the index down by 0.325 per cent, to close the week at 5,069.312 points.

Trading in International Hotel Investments shares was quite active with over 60,533 shares being exchanged across nine transactions. The session commenced on a positive note when 10,341 shares were executed at the €1.09c2 level. This trend continued during the session with the price moving up to €1.12 where a total of 6,451 shares were exchanged at this level. However towards the end of the session, sellers came into the market moving back the price down to its initial opening price of €1.07.

In the rest of the market, volumes remained particularly subdued as evidenced by the activity in the two major banks where just over 5,346 shares were traded in aggregate. A mere 2,000 shares were traded in HSBC Bank Malta plc, with the share price moving down 0.71 per cent or 1c5 to close the day at Lm2.11. At the end of the session 1,500 shares were best bid at Lm2.10c6 against supply for 3,667 shares offered at Lm2.11.

Similarly trading in Bank of Valletta shares ended the week on a negative note with the share price losing 0.76 per cent or 2c8 to close the day at Lm3.67. The day's trading activity consisted of just 3,346 shares which were exchanged across nine transactions. At the end of the session there was unsatisfied demand for 1,529 shares at the day's closing price.

Maltacom plc bucked the negative trend with the price moving up 2c5 or 1.25 per cent to close the day at the Lm1.45 level. Elsewhere in the market trading activity in Datatrak Holdings did not alter its previous closing price of 25c. Today's activity consisted in 10,000 shares which were exchanged over two transactions.

European indexes decline

Yesterday, European equity markets opened lower as gains for construction and building groups were offset by falling technology stocks and utilities. By midday, the FTSE Eurofirst 300 was down 0.2 per cent, Frankfurt's Xetra Dax fell 0.3 per cent and the CAC 40 in Paris shed 0.1 per cent.

Shares in the London Stock Exchange provided a major talking point in midday trade in an otherwise lacklustre London market as a large number of shares changed hands halfway through the session. In the wider market, the FTSE 100 was 0.2 per cent lower and the mid-cap FTSE 250 was 0.1 per cent weaker.

Falls in technology and bank shares were partly offset by strength in the property sector, leaving Tokyo's main stock indices slightly down. The Nikkei 225 closed 0.4 per cent lower. The broader Topix fell 0.1 per cent.

US stock-index futures fell after International Business Machines Corp. missed analysts' sales estimates, raising concern that earnings growth may be slowing. Shares of IBM, the world's largest computer-services company, declined in Europe. Citigroup Inc., the biggest US bank, retreated as it reported earnings. General Electric Co., the world's second-largest company by market value, rose.

The financial news was compiled by Valletta Fund Management (tel. 8007 2344) and Bank of Valletta plc (Tel 2131 2020). BOV and VFM are licensed by the MFSA to conduct investment services business.