MSE index down 12.13 per cent in first two month of 2009.

This week the Malta Stock Exchange Index closed at 2,818.996 points, at a loss of 1.54%, bringing the year to date loss at 12.13%. During the week, 13 equities were negotiated, with eight closing in negative territory, four closing in positive territory and one remaining stable. Plaza Centres plc was the best performer as its share price increased by 1.19% and closed the week at Eur1.70 while 6pm Holding plc lost most ground as its share price dropped by 15.71% and closed at £0.59.

During the week 369 deals were registered on the stock exchange for a turnover of over Eur10m.  In the equity market 259 transactions were carried out for a total value of Eur753,663.  In the corporate bond market 58 transactions for a total value of Eur347,703 were executed. While in the government bond market 44 transactions were executed for a value of over Eur3m.  Seven transactions were carried out in the Treasury Bills market for a value of over Eur5.8m.    

The Central Bank of Malta Stockbroker sharply reduced its Malta Government Stock bid prices as eurozone yields recovered to the 3.05% level on Monday. Five Malta Government Stocks and seven corporate bonds were traded during the day.  Then on Tuesday the Central Bank of Malta Stockbroker raised its Malta Government Stock bid prices as eurozone yields eased back. During the day there was low activity in the Malta Government bond market while the few traded corporate bonds remained generally stable.  There was low trading activity in both government and corporate bond markets on Wednesday.  On Thursday the Central Bank of Malta Stockbroker lowered indicative bid prices for the second successive day as eurozone yields rose. Various corporate and government stocks were negotiated on Friday during which session they had a mixed performance.

This week Bank of Valletta plc (BOV) appreciated by 0.04% as 105,206 shares were negotiated across 101 deals for a total value of Eur226,430.  On Monday the share price of BOV dropped by 4.98% to Eur2.135 as 16,156 shares were negotiated across 18 deals. On Tuesday the Bank continued to lose ground as its share price dropped by 4.78% to Eur2.033 as 29,130 shares were negotiated across 33 deals. This trend continued on Wednesday as BOV dropped by a further 0.15% to Eur2.03 when 16,780 shares were negotiated across 19 deals. Finally on Thursday it turned positive as it appreciated by 3.55% to Eur2.102 as 2,213 shares were negotiated across four deals. On Friday BOV was the best performer of the day as its share price appreciated by 6.95% to Eur2.248 when 40,927 shares were traded across 27 deals making it also the most active equity of the day.

Following last week’s publication of HSBC Bank Malta plc (HSBC) Annual Results for 2008, on Monday, the share price of the Bank appreciated by 2.63% to Eur2.34 as 27,075 shares were negotiated across 29 deals.  On Tuesday its share price started to lose ground as it dropped by 4.27% to Eur2.24 when 27,765 shares were negotiated across 21 deals. On Wednesday HSBC continued to drop and lost 5.67% to Eur2.113 the result of 11,511 shares negotiated across 11 deals. On Thursday it was the most active traded equity as ten deals for a total volume of 16,000 shares led to an increase of 4.12% in the share price which closed at Eur2.20.  On Friday HSBC saw its share price gain 1.82% to Eur2.24 as 12 deals were executed for a total volume of 14,410 shares.  Shareholders on the Bank’s books on February, 27, 2009 will be entitled to the net dividend of Eur0.062 per share. This dividend will be paid on April, 20, 2009 following shareholders’ approval at the Annual General Meeting scheduled for April, 1. During the week HSBC lost 1.75% and closed at Eur2.24 as 96,761 shares were negotiated across 83 deals.

During this week the share price of Lombard Bank Malta plc (Lombard) appreciated by 0.41% and closed at Eur2.46 as four deals were executed for a total volume of 42,050 shares.  On Monday Lombard appreciated by 1.22% to Eur2.48 as 40,050 shares were negotiated across three deals. On Tuesday a single deal of 2,000 shares led to a drop of 0.81% in Lombard’s share price which closed at Eur2.46.

Fimbank plc (Fimbank) lost ground on Monday as its share price dropped by 0.67% to $1.49 as 15,048 shares were negotiated across three deals. The share price of Fimbank remained stable at $1.49 on Friday as 6,813 shares changed hands across four deals.

This week the share price of Go plc (Go) dropped by 11.71% and closed at Eur1.501 as 31,120 shares were negotiated across 21 deals. A single trade of 1,500 shares led to a drop of 0.94% to Eur1.684 in the share price Go on Monday. On Thursday Go saw its share price lose a further 4.99% and reached an all-time low of Eur1.60 as 13,120 shares were negotiated across nine deals. On Friday Go was the equity which lost most ground as its share price dropped by 6.19% to Eur1.501 as 16,500 shares were negotiated across 11 deals.

As mentioned above, during this week the share price of 6pm Holding plc (6pm) lost most ground as 10,000 shares were negotiated across six deals.  On Monday 6pm lost most ground among the traded equities as its share price dropped by 15.71% to £0.59 on a single deal of just 1,500 shares. 6pm retained this share price on Tuesday as four deals for a total volume of 7,500 shares were executed. On Wednesday a single trade of 1,000 shares left the share price still unchanged.

During this week a single deal of just 2,000 Crimsonwing plc shares resulted in a drop of 5.63% to Eur0.469 in the share price of the Company.

On Monday Malta International Airport plc saw its share price increase by 0.95% to Eur2.45 as 35,600 shares were negotiated across 20 deals.

On Tuesday the share price of Middlesea Insurance plc remained stable at Eur2.575 as 1,000 shares were negotiated across four deals.

As mentioned above, Plaza Centres plc (Plaza) was the best performer as 11,000 shares changed hands across three deals.  On Tuesday a single deal of 3,000 shares led to a drop of 0.06% to Eur1.679 in the share price of Plaza. Then on Thursday the share price of Plaza appreciated by 1.25% to Eur1.70 as 8,000 shares changed hands across two deals.

During the week the share price of Simonds Farsons Cisk plc (SFC) dropped by 0.05% and closed at Eur1.899 as 8,000 shares were negotiated across six transactions.  On Tuesday SFC retained its previous share price of Eur1.90 as 3,000 shares changed hands across five transactions.  On Thursday its share price dropped by 0.05% to Eur1.899 on a single deal of 5,000 shares.

The share price of Maltapost plc (Maltapost) dropped by 3.92% and closed at Eur0.759 as 1,115 shares were negotiated across two deals.  On Wednesday a single deal of 115 shares led to a drop of 0.25% in the share price of Maltapost which closed at Eur0.788.  Then on Thursday another single deal of 1,000 shares led to a drop of 3.68% in the share price of Maltapost which closed at Eur0.759.  The postal operator is expected to pay the final net dividend of €0.04 per share next Wednesday 4 March, following the approval by shareholders during the Company’s recent Annual General Meeting.  On Friday the Directors of Maltapost issued a statement where they stated that for the period October, 1, 2008 to-date, the Company continued to achieve the operational performance targets which were set at the beginning of the Financial Year.

Finally, a single trade of 1,000 shares led to a drop of 4.94% in the share price of RS2 Software plc which closed at Eur0.75 on Friday.

This article which was compiled by Jesmond Mizzi Financial Services Limited (JMFS) does not intend to give investment advice and the contents therein should not be construed as such.  JMFS is licensed to conduct investment services by the MFSA.  The directors or related parties, including the company, and their clients are likely to have an interest in securities mentioned in this article.  For further information contact JMFS at 67/3, South Street, Valletta or on Tel: 21224410 or email [email protected]