Profit-taking drags MSX lower in January

Muscat: The benchmark index of the Muscat Stock Exchange (MSX) declined in January by 154 points to close at 4,703 points amid the poor performance of most of the stocks listed on the stock exchange.
In November and December 2022, the index had risen by more than 490 points.

January’s trading was characterised by investors’ tendency for profit-taking to reap gains after the rise in shares in November and December 2022, at a time when investors feared that public shareholding companies listed on the stock exchange will reduce the amount of profits they pay to shareholders. This pushed the prices of 50 securities to decline while 25 securities saw an increase in the prices while prices of 16 securities remained unchanged.

The statistics issued by the MSX showed a decline in all sectoral indices except for the service sector index, which rose by 65 points, benefiting from the rise in the shares of energy companies besides Omantel and Al Maha Petroleum Products Marketing Company.

In January, the Muscat Stock Exchange witnessed a decline in most of its indices. The trading value declined to about OMR52.4 million compared to about OMR84.5 million in December, recording a decrease of about 38 per cent. The number of executed transactions decreased by 24 per cent, from 12,354 to 9,342 transactions. At the end of January, the market value of the securities listed on the stock exchange fell to OMR23.53 billion, registering losses of OMR200 million.

Bank Muscat acquired 17.9 per cent of the total trading value, with the value of its traded shares amounting to OMR9,390,000. Barwani dollar sukuk came next with transactions worth OMR7,479,000, followed by the National Bank of Oman with transactions worth OMR4 million, representing 7.6 per cent of the total trading value.

The shares of energy companies emerged at the forefront of the companies that rose the most in terms of the percentage of the share’s rise, as the share of Al Batinah Energy rose by 27.5 per cent and closed at 37 baisas, the share of Phoenix Energy rose by 25.5 per cent and closed at 54 baisas, and the share of Al Suwadi Energy rose to 36 baisas, recording an increase of 24.1 per cent, SMN Power Holding rose by 17.3 per cent and closed at 54 baisas, and Sembcorp Salalah's share rose to 77 baisas, registering an increase of 16.6 per cent.

The share of Oman Refreshments recorded the highest losses, declining by 25 per cent, and closed at OMR1.240, the share of Al-Saffa Foods fell to 200 baisas, down by 21.8 per cent and Al Khaleejia Mushroom Production declined by 16.8 per cent and closed at 198 baisas.