Wednesday 30 / April / 2025
Muscat: The Omani stock market experienced a shorter but positive trading week with its main major index closing with a 0.66 percent increase, marking the second consecutive week of gains in the new year, according to an analyst.
“The market is emerging from a period of uncertainty last year, during which the main index recorded a decline and significant volatility,” said Ahmed Negm, Head of Market Research MENA at XS.com.
“However, it was able to rebound after hitting a low for the year and was able to recover a large part of the losses incurred in December,” he further added.
However, trading volumes in addition to the value of stocks exchanged on the stock market decreased by more than half. “Lower volumes could hinder the market’s rebound and could weigh on its performance, exposing it to price corrections in the coming days,” said Ahmed Negm.
All sectors recorded positive performances this week, led by the industrial sector. The latter ended the week up by 0.67 percent, rebounding compared to the previous week. The sector’s performance stabilised and rebounded to a certain extent during the last few weeks following a prolonged sell-off throughout 2023. Notable positive performers included stocks like Galfar Engineering and Construction, up by 1.82 percent, and Oman Cable Industry, up by 2.68 percent, the latter continuing its solid bullish trend that began in 2021.
The financial sector also saw a positive uptick of 0.29 percent, led by stocks such as Bank Muscat, which rose by 1.12 percent and represented more than 50 percent of the sector's total volume. Furthermore, the Services sector grew by 0.27 percent, with stocks like Oman Telecom, climbing by 2.21 percent, continuing its bullish trend from 2019, and Abraj Energy Services, which increased by 0.67 percent.
In the region, the performance of the main Gulf Cooperation Council (GCC) indices was positive excluding Saudi Arabia's, said Ahmed Negm.
“The positive performance follows the rebound in US major indices during this week. Traders could continue to gauge the next steps of the US monetary policy and monitor important economic indicators such as labour and inflation data,” he added. Geopolitical tensions were an important source of concern for investors and could negatively impact sentiment and performances. The volatility and uncertainty in oil markets added another layer of risks.
