MSM index ends higher

The top gainer was National Bank of Oman, up by 7.33 per cent, while Bank Nizwa was the day’s top loser, down by 2.50 per cent

MUSCAT: Shares on the Muscat bourse edged up on better buying support at lower levels. The MSM 30 Index closed at 5,948.14 points, up by 0.34 per cent. The MSM Sharia Index marginally down by 0.08 per cent to close at 912.05 points.

SMN Power led in terms of volume as well as turnover. Sunday’s top gainer was National Bank of Oman, up by 7.33 per cent, while Bank Nizwa was the day’s top loser, down by 2.50 per cent.

As many as 450 trades were executed during the trading session generating turnover of OMR3.86 million with 9.39 million shares changing hands. Out of 37 traded securities, three advanced, 14 declined and 20 remained unchanged.

Omani investors were net buyers for OMR597,000, while foreign investors were net sellers for OMR458,000 followed by GCC and Arab investors for OMR139,000 worth of shares.

Financial Index increased by 0.24 per cent to close at 7,316.21 points. National Bank of Oman was the only gainer and was up by 7.33 per cent to close at OMR0.322. Bank Nizwa, Al Anwar Holding, HSBC Bank Oman and Al Madina Investment declined by 2.50 per cent, 2.15 per cent, 1.65 per cent and 1.64 per cent, respectively.

Industrial Index ended at 7,327.66 points, marginally declined by 0.08 per cent. National Aluminium was the only gainer and was up by 0.87 per cent to close at OMR0.233. Oman Fisheries, Al Maha Ceramics and Oman Textile Holding fell by 1.75 per cent, 0.87 per cent and 0.54 per cent, respectively.

Services Index declined by 0.10 per cent to close at 3,274.61 points. SMN Power was the only gainer in the sector and was up by 1.06 per cent to close at OMR0.760. Renaissance Ser- vices and ACWA Power Barka declined by 1.14 per cent and 0.49 per cent respectively.

Dubai stocks fall

Dubai’s stocks sank to the lowest level in more than two months, leading most Middle Eastern markets lower, on concern that Saudi Arabia’s debt downgrade will drive up borrowing costs across the region.

The DFM General Index dropped 2.1 per cent to close at 3,430.93, the lowest level since August 24. Saudi Arabia’s Tadawul All Share Index lost 1.5 per cent after Standard & Poor’s cut the country’s credit rating, citing an increase in the kingdom’s budget deficit after the slump in oil prices.

Abu Dhabi’s ADX General Index fell 0.5 per cent and Qatar’s gauge slipped 0.2 percent. Bahrain’s All Share Index and Kuwait’s measure both rose 0.1 per cent.

"The downgrade will have implications for banks and financial services sector across the region," said Muhammad Shabbir, the head of regional equities at Rasmala Investment Bank in Dubai. "Banks’ credit ratings could come under pressure, not just for Dubai but for all across the Gulf Cooperation Council. This has implications for the costs of borrowing."

S&P lowered Saudi Arabia’s rating on Friday to A+, five steps below the top grade, with a negative outlook. Saudi Arabia, Opec’s biggest producer, has suffered as crude’s 40 per cent slide in the past 12 months strains government spending in a country that gets at least 80 percent of its revenue from energy. Dubai is one of the seven members of the UAE, whose oil reserves are the eighthlargest in the world. Gulf banks are seeing surplus cash decline because of the slump in crude.