May 28, 2022

ModularPhonesForum

Complete News World

The broad decline of heavyweight companies on the Oslo Stock Exchange pushed it down significantly: the main index fell by 1.66%

The broad decline of heavyweight companies on the Oslo Stock Exchange pushed it down significantly: the main index fell by 1.66%

The main index on the Oslo Stock Exchange has fallen sharply since the start on Friday morning, after closing with a new major listing on Thursday afternoon. At the time of closing, the Oslo Stock Exchange ended down 1.66 percent.

So far this year, Borsen’s level is up just under seven percent, while the rise over the past month is just over 2 percent.

These were the most traded stocks on the Oslo Stock Exchange on Friday:

  • Equinor fell 2.24 percent.
  • Norsk Hydro fell 6.41 percent.
  • Yara shares fell 3.77 percent.
  • DNB shares fell 1.12 percent.
  • Aker BP shares fell 2.56%.

Nordea Markets interest and credit strategist Lars Moland believes that it is not unusual for the stock market to correct now.

The impact of higher interest rates on the stock market since November of last year. We clearly see that things have gone badly for growth stocks. These are the companies that have done the best in the last two years when interest rates were low. He tells DN that it’s not abnormal with the correction here.

We should go back to the 80s

The developments here at home come after a broad fall in the stock market in Asia in the morning and after All major indices on Wall Street fell Thursday night, Norwegian time. The decline came after Central Bank Governor Jerome Powell pointed to a sharp rise in interest rates.

See also  A massive fall on Wall Street

The US Federal Reserve may not be afraid to cause a small shock to the stock market. It has been somewhat supportive of the financial market since the financial crisis, but we are in a completely different situation today. Now you want to reduce the activity and get some reasonable prices on the shares. This makes it even more noisy and confusing, Moland says.

He says there was a problem of very high inflation in the United States in particular, while now American politicians and the central bank are being pressured to bring down inflation.

We have to go back to the 1980s to find a similar level of price growth. The central bank and Biden both get a lot of pepper for the fact that inflation is high, because people feel they are getting bad advice.

Harder to grow stock

Of the 25 largest companies in Borsen, only six ended the day higher.

Moland still thinks Norwegian stocks are doing better than many companies on US stock exchanges.

– In Norway, we are more fortunate, because we did not have many companies with high prices. We have many valuable shares, and the Oslo Stock Exchange has also received good help from the high oil prices. Norwegian stocks have done really well this year, it comes down to the composition of the sector and we haven’t had such price extremes, except for a few.

Moland believes that going forward, this will be heavier for growth stocks, as interest rates will be higher.

See also  Lucid Air - Confirms New Range Record

Result season begins

The end of the first quarter is nearing and some of Børsen’s companies have already started reporting season.

In addition to the submitted reports can The oil company BW Energy announced before the start of trading that the development of the Maromba field will continue Offshore in Brazil, which the company acquired in 2019. The company will also buy floating production vessel (FPSO) Polvo from BW Offshore for US$50 million (445 million NOK). BW Energy’s share is down about 1.1 percent since the start.

he isLambi Cambi is the stage for the change of the president After Per Audun Lillebø has been nominated as the new Chairman of the Board of Directors, and will therefore step down from the position of Senior Manager. He will be succeeded by Eric Fadence, who will take over as CEO after the company’s general meeting in May. (Conditions)Copyright Dagens Næringsliv AS and/or our suppliers. We would like you to share our cases using a link that leads directly to our pages. All or part of the Content may not be copied or otherwise used with written permission or as permitted by law. For additional terms look here.