Friday 03 / May / 2024
Muscat: Trading volumes remained tepid and the MSM30 Index ended lower at 5,470.86 points, down by 0.12 per cent. The MSM Sharia Index closed at 840.96 points, down by 0.01 per cent. HSBC Bank was the most active in terms of volume, while Oman Telecommunications Company (Omantel) was the most active in terms of turnover. Al Jazeera Steel, up by 2.23 per cent was the top gainer on Wednesday, while Construction Materials was the top loser, down by 3.33 per cent.
As many as 416 trades were executed on Wednesday, generating turnover of OMR1.6 million with 7.63 million shares changing hands. Out of 39 traded securities, 11 advanced, seven declined and 21 remained unchanged. Foreign investors switched to net buyers for OMR163,000 while Omani investors were net sellers of OMR156,000 followed by GCC and Arab investors for OMR7,000 worth of shares.
Financial Index closed at 7,077.35 points, down by 0.19 per cent. Taageer Finance, Takaful Oman, Global Financial Investment and Bank Muscat gained 1.85 per cent, 0.63 per cent, 0.56 per cent and 0.48 per cent, respectively. Al Sharqia Investment, Al Anwar Holding, BankDhofar and Oman & Emirates Holding declined by 1.75 per cent, 1.21 per cent, 0.91 per cent and 0.80 per cent, respectively.
Industrial Index advanced by 0.42 per cent to end at 7,117.82 points. Al Jazeera Steel, Oman Fisheries, Oman Cement and Al Anwar Ceramics gained 2.23 per cent, 1.72 per cent, 1.36 per cent and 1.31 per cent, respectively. Construction Materials, down by 3.33 per cent, was the only loser.
Services Index declined by 0.07 per cent to close at 3,020.43 points. Port Services, Al Batinah Power and Al Suwadi Power increased by 1.27 per cent, 1.05 per cent and 1.05 per cent, respectively. Omantel and Ooredoo Oman declined by 1.34 per cent and 0.63 per cent, respectively.
European shares fall
European shares fell for an eighth day, following a global selloff amid growing anxiousness as polls indicated a tightening race between Hillary Clinton and Donald Trump for the US presidency.
The Stoxx Europe 600 Index extended its lowest level since July, with automakers and banks falling the most, while the euro advanced. A gauge of volatility expectations climbed for an eighth day, its longest streak in more than five years.
The US presidential election is increasing anxiety in a market that is already suffering from skepticism about the economic recovery and concern about the path of central-bank stimulus.
“From a European perspective, people are afraid that a Trump presidency may mean even more protectionism and for a region that is dependent on exports and global trade, that’s something we don’t like,” said Michael Woischneck, who manages about $180 million as a senior equities manager at Lampe Asset Management in Dusseldorf, Germany. “The earnings season has not been too good for us and we’ve seen some big disappointments so that’s also bringing us down.”
The Stoxx 600 fell 0.5 per cent at 11:02 a.m. in London, taking its eight-day slump to 3.1 per cent. The VStoxx Index, which tends to move in opposite directions, added 1.9 per cent to its highest level since July.
The US is the biggest trade partner for the European Union outside of the region’s countries. An ABC News/Washington Post poll showed Trump with 46 per cent support to Clinton’s 45 per cent, while a Bloomberg survey signaled the Democratic nominee held a slim advantage with independent voters. Trump has vowed to re-negotiate international trade deals.
The election comes as the earnings season is in full steam. While Stoxx 600 companies that have reported so far have mostly beaten profit estimates, analysts see a 4.1 per cent contraction in net income this year. With a valuation of about 14 times estimated earnings, members of the Stoxx 600 are 13 per cent cheaper than those on the S&P 500 Index.
