Muscat: The MSM30 index continued its surge on the third day and closed at 5695.76 points, up by 0.40 per cent. Gulf Investment Services remains the most active in terms of volume, while Bank Muscat in terms of turnover. United Finance was the top gainer for the day and closed up by 6.43 per cent, while Financial Services was the top loser and closed down by 4.23 per cent.
A total number of 1,232 trades were executed in yesterday's trading session generating turnover of RO4.75 million with over 17.44 million shares traded. Out of 52 traded stocks, 21 advanced, 11 declined and 20 remained unchanged. Foreign investors switched to net buyers for RO744,000 while Omani investors switched to net sellers for RO634,000 worth of shares followed by GCC and Arab investors for RO110,000 worth of shares.
Financial Sector Index closed at 6560.26 points, up by 1.02 per cent. United Finance, Taageer Finance, Dhofar Insurance, Global Financial Investment and Ominvest gained by 6.43 per cent, 3.57 per cent, 3.53 per cent, 2.22 per cent and 1.9 per cent. Financial Services, Gulf Investment Services, Al Batinah Holding, Oman and Emirates Investment and DIDIC declined by 4.23 per cent, 2.13 per cent, 1.82 per cent, 0.96 per cent and 0.54 per cent, respectively.
The Industrial Sector Index was up by 0.04 per cent and closed at 7349.83 points. NAPI, Voltamp Energy, Jazeera Steel, Galfar Engineering and Oman Cables increased by 1.50 per cent, 1.05 per cent, 0.66 per cent, 0.56 per cent and 0.18 per cent, respectively. Oman Ceramics, Dhofar Cattlefeed, Salalah Mills and Anwar Ceramics declined by 3.18 per cent, 0.54 per cent and 0.47 per cent, respectively.
Services Sector Index closed at 2856.54 points, up by 0.07 per cent. OHI, Muscat Gases, Omantel and Nawras increased by 1.39 per cent, 0.61 per cent, 0.41 per cent and 0.22 per cent, respectively. Shell Oman and Al Maha declined by 0.29 per cent and 0.06 per cent, respectively.
Abu Dhabi bank falls
Abu Dhabi Islamic Bank PJSC fell the most in eight months on speculation the United Arab Emirates' second-biggest shariah-compliant lender may recommend a full- year dividend that's below expectations.
The stock retreated 3.1 per cent, the biggest drop since April 12, to 3.08 dirhams at the close in the UAE capital. About 2.56 million shares were traded yesterday, more than 13 times the three-month daily average. Abu Dhabi Islamic was the biggest decliner in percentage terms on the benchmark ADX General Index, which rose less than 0.1 per cent.
The lender last month raised $1 billion from the sale of Tier-1 perpetual sukuk, which don't mature, paying a coupon of 6.375 per cent. The notes, which can be treated as equity, come as Abu Dhabi Islamic seeks to boost its Tier-1 capital ratio to more than 15 per cent from 13.7 per cent at the end of September as part of plans to expand lending. The lender paid a 0.2442 dirham cash dividend for 2011, data compiled by Bloomberg show.
"Investors are worried the 2012 dividend won't meet expectations," said Nabil Farhat, a partner at Abu Dhabi-based Al Fajer Securities. Abu Dhabi Islamic, whose shares have dropped 2.5 per cent this year, reported a 3 per cent advance in third-quarter profit.
Tier 1 capital, which guards against business losses, includes common stock, retained earnings, and perpetual preferred stock and debt.
One analyst recommends investors buy the shares of Abu Dhabi Islamic, while three have a hold rating on the stock and one advises selling it, according to data compiled by Bloomberg.