The Muscat Stock Exchange (MSX) experienced a remarkable surge in activity last week, reaching a ten-year high and signaling a period of growing investor confidence. The main index closed above the 6,100-point level for the first time since 2015, fueled by robust local investment and optimistic expectations for corporate performance. This positive momentum suggests a strong start to 2026 for the Omani market, attracting both domestic and potentially international attention.
Muscat Stock Exchange Reaches Decade High: A Detailed Analysis
The MSX’s impressive climb reflects a broader trend of economic recovery and increased stability within Oman. On January 5th, the index surpassed the 6,000-point mark, a level not seen since May 2016, and continued its ascent to ultimately close the week at 6,126 points – the highest since August 2015. This represents a substantial gain of 230 points, effectively doubling the previous week’s increase.
Key Sector Performance Driving the Gains
The rally wasn’t limited to a few stocks; it was broad-based, with significant contributions from several key sectors. The financial sector led the charge, experiencing a substantial increase of 588 points to close at 10,572 points. This was followed by strong performances in the industrial and service sectors, which saw gains of 284 and 76 points respectively. Even the Sharia index participated, rising by 27 points to 556.
This diversified growth indicates a healthy and sustainable uptrend, rather than a bubble driven by speculation in a single area. The Oman stock market is demonstrating resilience and attracting a wider range of investors.
Leading Companies Fueling the Momentum
Several prominent companies played a pivotal role in driving the MSX’s positive performance. Bank Muscat, Bank Dhofar, and National Bank of Oman were among the leading contributors, alongside OQ Gas Networks and Ominvest. Voltamp Energy, Al Safa Foods, Al Jazeera Steel Products, Omantel, and Ooredoo also demonstrated strong performance.
Additionally, a number of finance, energy, and industrial firms contributed to the overall positive sentiment. The participation of these established players underscores the underlying strength of the Omani economy and the potential for continued growth.
Increased Trading Activity and Market Capitalization
The surge in investor confidence translated directly into increased trading activity. Trading value jumped by an impressive 65 percent, exceeding OMR 266 million compared to OMR 160.5 million the previous week. The number of executed transactions also rose significantly, increasing by 22 percent to 26,686.
The market capitalization of listed securities also benefited from the rising share prices and new listings. It increased by OMR 815.2 million, closing Thursday’s trading at OMR 32.932 billion. This growth in market capitalization is a key indicator of the increasing value and attractiveness of the MSX index.
New Listings and Sukuk Offerings
Last week also saw the listing of the tenth issue of sovereign sukuk, valued at OMR 200 million, further diversifying investment options. The capital increase of Eshraq Sembcorp Jinko on the closed market, raising the company’s capital to OMR 48.4 million, also contributed to the positive market dynamics. These new offerings demonstrate the MSX’s commitment to expanding its product range and attracting new capital.
Stock Performance: Winners and Losers
While the overall trend was positive, not all stocks experienced gains. 61 securities saw price increases, while 14 declined, and 15 remained unchanged. Lifa mandatory convertible bonds (2024) led the gainers, rising 36 percent to close at 98 baisa. Al Sharqiyah Investment, Dhofar Food and Investment, Ominvest, and Bank Nizwa also posted significant gains.
Conversely, Majan Glass experienced the largest decline, falling 22.2 percent to 14 baisa. Muscat Insurance, Oman Cables Industry, Musandam Power, and Oman Cement also saw their share prices decrease. Analyzing these fluctuations provides valuable insights into sector-specific challenges and opportunities within the Omani financial market.
Company Disclosures and Future Outlook
Ooredoo Oman announced a significant benefit from its parent company, Ooredoo Group, with an exemption from service fees estimated at OMR 7.1 million. This is expected to positively impact the company’s net profits for 2025 by approximately OMR 6.3 million.
Looking ahead, the MSX’s performance will likely be influenced by the upcoming announcement of preliminary financial results from public shareholding companies. Continued positive earnings reports and sustained investor confidence are expected to support further growth in the coming weeks and months. The current trajectory suggests a promising outlook for the Muscat Stock Exchange and the broader Omani economy.
