Oman: MSX index expected to remain exposed to price corrections

Oman: MSX index expected to remain exposed to price corrections

Muscat: The Omani stock market reopened this week with a negative performance, continuing its decline after hitting a record in March, according to an industry expert.

“The main index could remain exposed to price corrections for some time as traders continue to secure their gains,” said Fadi Reyad, Chief Market Analyst at CAPEX.com Mena.

“However, after this extended decline, investors could start considering returning to the market in the coming days to weeks,” he further added. In the meantime, traders could remain cautious next week as they wait for the central bank meetings in the US and Europe, both of which could raise interest rates.

Central banks' meetings next week could be the main focus for traders globally as they try to determine the direction of monetary policy in the US and Europe. Their respective decisions could have strong and wide-reaching consequences on stock markets, currencies and energy prices as well as costs of financing and the strength of the world’s economy.

The Federal Reserve’s decision could impact the Omani financial market as the cost of financing could go up significantly, impacting the performance of smaller businesses and non-financial public companies, Fadi Reyad said. The latter could be confronted with some additional difficulties in