The Qatar Stock Exchange (QSE) is all set to review its index methodology as part of broader measures to improve the liquidity in the market.
“Given the changes in the market dynamics since the inclusion of Qatar into MSCI (Morgan Stanley Composite Index) and Standard & Poor’s-Dow Jones emerging market indices, starting October 2014, the management will enter into consultation with the market participants and issuers on improving liquidity in the market,” a bourse spokesman said in a communiqué.
Following these consultations, the index committee - chaired by Dr Saif Saeed al-Suwaidi and comprising independent members, brokers and listed companies’ representatives, along with an observer representing the Qatar Financial Markets Authority (QFMA) - will review the index methodology applied to QSE indices and publish in November 2014 any changes that will be effective from January 1, 2015.
The QSE highlighted that there was no change in the index review announced on September 17. As announced the review will be applied as of October 1 and until the implementation of adopted changes on the methodology.
“The QSE continues its endeavours to develop the market and continuously improve the market structure for the benefit of investors, intermediaries and issuers,” the spokesman said.
Qatar shares extend losses
on transport and realty
Transport and real-estate stocks yesterday extended the bearish run on the Qatar Stock Exchange to the second day.
Domestic institutions continued to be net sellers but with lesser intensity as the 20-stock Qatar Index (based on price data) fell 0.13% to 14,117.77 points amid marginal contraction in volumes.
Net buying interests from local retail investors and foreign institutions also faded in the market, which is, however, up 36.01% year-to-date.
The Total Return Index was down 0.13% to 21,056.53 points, the All Share Index by 0.02% to 3,569.95 points and the Al Rayan Islamic Index by 0.14% to 4,772.73 points.
However, non-Qatari retail investors were seen net buyers in the bourse, where trading was largely skewed towards realty and banking stocks.
Market capitalisation was down 0.09%, or QR70mn, to QR751.38bn.
Transport stocks shrank 0.49%, followed by real estate (0.37%), insurance (0.13%) and banks and financial services (0.08%); whereas consumer goods rose 0.25%, industrials (0.23%) and telecom (0.07%).
About 67% of the stocks were in the red with major shakers being Doha Bank, Commercial Bank, Dlala, Ezdan, Barwa, Nakilat, United Development Company, Mesaieed Petrochemical Holding, Qatari Investors Group and Salam International Investment.
However, QNB, Industries Qatar, Aamal Company and Mazaya Qatar were seen to buck the overall bearish trend.
Domestic institutions’ net profit-booking sunk to QR102.75mn against QR159.38mn on Sunday.
Foreign institutions’ net buying shrank to QR29.53mn compared to QR58.55mn the previous day.
Qatari retail investors’ net buying also fell to QR70.83mn against QR107.67mn on Sunday.
However, Non-Qatari individual investors turned net buyers to the tune of QR2.39mn compared with net profit-takers of QR6.77mn the previous day.
Total trading volume fell 4% to 16.28mn shares, value by 6% to QR567.98mn and transactions by 1% to 5,133.
The telecom sector’s trade volume plummeted 72% to 0.59mn equities, value by 64% to QR18.73mn and deals by 25% to 337.
The insurance sector saw its trading volume plunge 42% to 0.14mn stocks, value by 34% to QR9.07mn and transactions by 32% to 102.
The market witnessed a 24% decline in the industrials sector’s trade volume to 0.83mn shares but there was an 11% rise in value to QR77.99mn and 8% in deals to 1,243.
The real-estate sector’s trade volume was down 5% to 9.17mn equities and value by 8% to QR189.46mn, but deals rose 2% to 1,324.
However, the consumer goods sector saw its trade volume expand 94% to 0.97mn stocks and value by 3% to QR39.89mn. Transactions fell 21% to 334.
The transport sector’s trade volume soared 85% to 0.5mn shares, value by 50% to QR15.88mn and deals by 33% to 201.
The banks and financial services sector reported a 34% surge in trade volume to 4.07mn equities, 1% in value to QR216.96mn and 3% in transactions to 1,592.
