Flooded Salalah streets. Mohammed Mahjoub / AFP Photo
Flooded Salalah streets. Mohammed Mahjoub / AFP Photo
Flooded Salalah streets. Mohammed Mahjoub / AFP Photo
Flooded Salalah streets. Mohammed Mahjoub / AFP Photo

Oman floods: two children dead and six missing as rescue efforts continue


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Two children have drowned and six people are missing amid continuing flash floods across parts of Oman, according to Oman Television and witness reports.

The two unnamed children, both boys under the age of 10, drowned in different towns.

The Met department advises the public to take precautions during thunderstorms. Wadis are flooded and sea conditions are dangerous
Oman meteorological department

One was found floating in the southern resort city of Salalah and the other in Jalan Bani Hassan, a town in eastern Oman.

All of the missing people are reported to have been swept away by surges of floodwater in wadis in the eastern city of Sur. Two of the missing people are expatriates who were spotted trying to cross a wadi.

“They were trying to get back their personal belongings from the wadi but the water was too strong. One got swept away while the other, as he was trying to save him, was also pulled away by the water. That was the last time I saw them,” 44-year-old Hamed Al Araimi, an Omani living in Sur, told The National.

The Civil Defence and Ambulance Department said the other missing people are Omanis who were reported by witnesses trying to cross wadis in their vehicles on Saturday evening. The rescue team is still searching for them.

The meteorological department on Sunday issued its latest warning for people to take precautions in the unpredictable weather.

“The Met department advises the public to take precautions during thunderstorms. Wadis are flooded and sea conditions are dangerous. Follow our latest weather bulletins and reports,” it said.

Heavy rain and thunderstorms hit several areas of Oman from Thursday, causing floods, ruining crops and disrupting the electricity supply.

The torrential rain came at a time when Omanis were enjoying the week-long Eid holiday, which started on Friday. On Friday evening, the authorities extended the current stay-home period — aimed at keeping down the number of Covid-19 cases — by a day, from July 20 from July 23.

The country has been operating under an 8pm to 4am stay-home order since June 2. However, from Friday to Monday this was extended by three hours, to start at 5pm.

How Tesla’s price correction has hit fund managers

Investing in disruptive technology can be a bumpy ride, as investors in Tesla were reminded on Friday, when its stock dropped 7.5 per cent in early trading to $575.

It recovered slightly but still ended the week 15 per cent lower and is down a third from its all-time high of $883 on January 26. The electric car maker’s market cap fell from $834 billion to about $567bn in that time, a drop of an astonishing $267bn, and a blow for those who bought Tesla stock late.

The collapse also hit fund managers that have gone big on Tesla, notably the UK-based Scottish Mortgage Investment Trust and Cathie Wood’s ARK Innovation ETF.

Tesla is the top holding in both funds, making up a hefty 10 per cent of total assets under management. Both funds have fallen by a quarter in the past month.

Matt Weller, global head of market research at GAIN Capital, recently warned that Tesla founder Elon Musk had “flown a bit too close to the sun”, after getting carried away by investing $1.5bn of the company’s money in Bitcoin.

He also predicted Tesla’s sales could struggle as traditional auto manufacturers ramp up electric car production, destroying its first mover advantage.

AJ Bell’s Russ Mould warns that many investors buy tech stocks when earnings forecasts are rising, almost regardless of valuation. “When it works, it really works. But when it goes wrong, elevated valuations leave little or no downside protection.”

A Tesla correction was probably baked in after last year’s astonishing share price surge, and many investors will see this as an opportunity to load up at a reduced price.

Dramatic swings are to be expected when investing in disruptive technology, as Ms Wood at ARK makes clear.

Every week, she sends subscribers a commentary listing “stocks in our strategies that have appreciated or dropped more than 15 per cent in a day” during the week.

Her latest commentary, issued on Friday, showed seven stocks displaying extreme volatility, led by ExOne, a leader in binder jetting 3D printing technology. It jumped 24 per cent, boosted by news that fellow 3D printing specialist Stratasys had beaten fourth-quarter revenues and earnings expectations, seen as good news for the sector.

By contrast, computational drug and material discovery company Schrödinger fell 27 per cent after quarterly and full-year results showed its core software sales and drug development pipeline slowing.

Despite that setback, Ms Wood remains positive, arguing that its “medicinal chemistry platform offers a powerful and unique view into chemical space”.

In her weekly video view, she remains bullish, stating that: “We are on the right side of change, and disruptive innovation is going to deliver exponential growth trajectories for many of our companies, in fact, most of them.”

Ms Wood remains committed to Tesla as she expects global electric car sales to compound at an average annual rate of 82 per cent for the next five years.

She said these are so “enormous that some people find them unbelievable”, and argues that this scepticism, especially among institutional investors, “festers” and creates a great opportunity for ARK.

Only you can decide whether you are a believer or a festering sceptic. If it’s the former, then buckle up.

The biog

DOB: 25/12/92
Marital status: Single
Education: Post-graduate diploma in UAE Diplomacy and External Affairs at the Emirates Diplomatic Academy in Abu Dhabi
Hobbies: I love fencing, I used to fence at the MK Fencing Academy but I want to start again. I also love reading and writing
Lifelong goal: My dream is to be a state minister

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Updated: July 26, 2021, 1:09 PM