Five of the seven sectors saw buying interests, which helped the Qatar Stock Exchange (QSE) close in the positive trajectory this week.
The bullish outlook of domestic institutions rather led the 20-stock Qatar Index gain 0.63% this week, which saw Qatar lifts its self-imposed moratorium on North Field by proposing a new export-oriented gas project with a capacity of 2bn cubic feet per day.
In comparison, Abu Dhabi gained 3.86%, Dubai (2.97%), Muscat (1.13%), Saudi Arabia (1.06%) and Kuwait (0.01%); while Bahrain was down 0.19% this week which saw Commercial Bank receive shareholders’ approval for $5bn certificate of deposits.
Qatari bourse’s year-to-date gains were seen at 0.18% against 22.3% in Kuwait, 10.89% in Bahrain, 1.51% in Abu Dhabi and 1% in Dubai; whereas Muscat and Saudi Arabia fell 2.93% and 1.87% respectively.
Buying pressure was seen more within telecom, banking, insurance and realty in the QSE this week, which saw Masraf Al Rayan disclose the setting up of a committee to oversee the three-way merger with International Bank of Qatar and Barwa Bank.
Large and small cap equities saw robust demand this week which also saw Masraf Al Rayan shareholders’ approve $2bn sukuk issue.
Islamic stocks were seen outperforming the main index as well as other indices this week which saw Capital Intelligence, a global credit rating agency, affirmed QIIB's financial strength rating at ‘A-’ with a 'stable' outlook.
However, non-Qatari individual investors turned net sellers and there was lower buying support from foreign institutions this week which saw QIIB shareholders’ approve $2bn sukuk issue.
Overall trade turnover and volumes declined this week which saw real estate, banking and telecom sectors together account for more than 85% of the volumes.
In volumes, realty sector constituted 32% of the total, banks and financial services (31%), telecom (23%), industrials (7%), transport (4%), consumer goods (3%) and insurance (1%) this week which saw listed companies have reported about 13% decline year-on-year in cumulative net profit to QR38.3bn in 2016.
In value, banks and financial services’ share was 42%, real estate (20%), industrials (15%), telecom (12%), consumer goods (6%), transport (4%) and insurance (1%) this week which saw an estimated 5.9% expansion in non-hydrocarbons sector overcome a 2.5% fall in hydrocarbons as Qatar registered a real economic growth of 1.7% year-on-year in the fourth quarter of 2016.
Opening the week almost flat at 10,398 points, the market then fell on the subsequent day to touch a low of 10,344 points but was gripped by strong buying interests for the next two days to take the index to a high of 10,467 points. Notwithstanding a mild profit booking on the last day, the benchmark settled 65 points higher this week which saw Samba Financial Group view that Qatar’s finance are in a “much better shape” than the headline fiscal deficit.
The 20-stock Total Return Index rose 1.27%, All Share Index All Share Index (comprising wider constituents) by 1.09% and Al Rayan Islamic Index by 1.54% this week which saw no trading in treasury bills and government bonds.
The telecom index soared 6.05%, banks and financial services (1.61%), insurance (1.13%), realty (0.8%) and industrials (0.12%); whereas transport and consumer goods fell 0.92% and 0.33% respectively this week which saw Ezdan and Masraf Al Rayan dominate the trading ring in volumes and value.
Market capitalisation swelled 0.75% or more than QR4bn to QR560.51bn as large and small equities gained 0.81% and 0.69%; while mid and microcaps declined 0.39% and 0.22% respectively this week.
Small and microcap scrips have reported year-to-date gains of 2.72% and 1.3%; while mid and large caps shrank 6.83% and 0.19% respectively.
Among the major gainers were Ooredoo, Qatar Industrial Manufacturing, United Development Company, Medicare Group, Barwa, QNB, Industries Qatar, Aamal Company, Qatar Insurance, Vodafone Qatar and Gulf Warehousing this week.
Nevertheless, the major loser included Al Khaleej Takaful, QIIB, Doha Bank, Milaha, Commercial Bank, Nakilat, Alijarah Holding, Qatar Electricity and Water, Gulf International Services, Mesaieed Petrochemical Holding and Mazaya Qatar.
Domestic institutions turned net buyers to the tune of QR19.77mn compared with net sellers of QR43.22mn the previous week.
However, non-Qatari individual investors turned net sellers to the extent of QR9.39mn against net buyers of QR12.41mn the week ended March 30.
Foreign institutions’ net buying declined substantially to QR57.46mn compared to QR98.06mn the previous week.
Local retail investors’ net profit booking rose marginally to QR67.71mn against QR67.26mn the week ended March 30.
Total trade volume fell 32% to 40.53mn shares, value by 21% to QR1.24bn and transactions by 27% to 15,354 this week.
There was 64% plunge in the insurance sector’s trade volume to 0.29mn equities, 54% in value to QR16.04mn and 50% in deals to 295.
The telecom sector’s trade volume plummeted 51% to 9.32mn stocks, value by 39% to QR142.54mn and transactions by 57% to 1,457.
The banks and financial services sector saw 36% shrinkage in trade volume to 12.39mn shares, 29% in value to QR514.52mn and 24% in deals to 6,046.
The transport sector’s trade volume tanked 29% to 1.65mn equities, value by 30% to QR53.5mn and transactions by 19% to 1,018.
The industrials sector reported 9% decline in trade volume to 2.97mn stocks but on 9% rise in value to QR187.25mn, even as there was 5% fall in deals to 2,790.
The consumer goods sector’s trade volume shrank 8% to 1.11mn shares and value by 10% to QR70.09mn, while transactions were up 1% to 1,370.
The market witnessed 2% fall in the real estate sector’s trade volume to 12.8mn equities, 1% in value to QR251.7mn and 29% in deals to 2,378.
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