Friday 15 / November / 2024
Muscat: Oman’s Muscat bourse managed to maintain its market capitalisation at OMR17.03 billion, thanks to the listing of a number of securities and sukuk and listing of rights issue of several listed companies.
The market capitalisation for the securities and sukuk issues increased to touch OMR2 billion by the end of May due to listing of government development bonds, worth of OMR100 million. The market capitalisation of the closed joint stock companies increased by OMR52 million to touch OMR6.12 billion. However, the regular market registered OMR153.70 million loss in market capitalisation and declined to OMR7.49 billion.
During May 2016, MSM was affected by a number of factors thatpulled down the index and trading volumes. These factors include the fluctuation of oil prices which heightened fears for higher than expected deficit in the state budget. The 30 per cent increase in the selling by non-Omani investors compared to only 12.3 per cent purchases affected the sentiment of local investors. The local investment funds sought to absorb the excess supply but their purchases were not more than 59 per cent of the value of trading compared to 51 per cent sales.
The market also witnessed capital gains for a number of stocks whose prices increased in March and April 2016 which led to more downward movement.
By the end of May 2016, MSM 30 index lost its early gains when it crossed the May 9, 6,000-barrier to close at 6,019 point; the best closing since August 20, 2015. The index failed to go beyond this point and on the back of selling pressure for capital gains and the decline in a number of Gulf and world financial market, the Muscat Securities Market index witnessed continuous decline to close at 5,810 points ; a loss of 131 points after three months of upward movement.
The statistical bulletin issued on MSM pointed out that the biggest loser was the financial sector, which lost 4 per cent or 312 points. MSM index 30 declined by 2.2 per cent. While the industry sector index lost about 40 points, the Sharia market index lost about 8 points and the service sector index managed to go up by 30 points.
The value of trading decreased to OMR104.20 million compared to OMR126 million in April. Ominvest received 11 per cent of the value of trading or OMR11.40 million followed by Bank Muscat with about OMR8.80 million and Galfar Engineering and Contracting OMR8.50 million.
While the price of 43 stocks decreased, 23 stocks increased and 20 stocks maintained the same price level. The top gainer stock was Oman Hotels and Tourism which closed at 616 baisas, up by 155 per cent, thanks to the recommendations made by the board members to distribute 200 per cent cash dividend i.e 200 baisas per share in addition to 27 per cent stock dividend.
While the price of National Gas Company's stock increased by 47 per cent in May 2016 to hit 516 baisas, the price of Renaissance Services Company's stock increased by 18 per cent to close at 285 baisas.
The top loser was HSBC's stock which closed at 103 baisas; a loss of about 17 per cent. Al Batinah Development and Investment Holding ' share declined by 12.1 per cent to close at 87 baisas and Oman Fisheries Company ' share declined from 67 baisas to 59 baisas; a decline by 12 per cent.
