Qatar Stock Exchange witnessed more than 95% of the stocks extend gains to lift its key barometer surpass 8,200 levels and market capitalisation add more than QR10bn, expecting big push in the private sector apparently due to huge budget spending for 2018.
An across the board buying – notably in the realty, insurance, telecom and industrials – led the 20-stock Qatar Index surge for the fourth consecutive day by 2.16% to 8,206.87 points.
"The market approached the strong support level at 7,500 points before seeing some gains and eyes now have shifted towards the horizontal line at 8,200 points, which if broken would anticipate further upward correction to 8,375 points and may be more to 8,660 points," Kamco said in its technical analysis.
Analysts said the budgeted QR29bn worth contracts for the private sector in 2018 is expected to give a major thrust not only to sector but also the economy as a whole at a time when Qatar is facing economic blockade.
The bullish outlook of Gulf funds and the substantially weakened net selling by local retail investors helped in sustaining the bullish momentum in the market, whose year-to-date losses were contained at 21.37%.
Islamic equities were seen outperforming the main index in the bourse, whose capitalisation gained 2.36% to QR451.64bn.
Trade turnover and volumes were on the increase in the market, where banking, real estate and telecom sectors together accounted for about 75% of the total volume.
The Total Return Index gained 2.16% to 13,762.44 points, Al Rayan Islamic Index by 2.78% to 3,237.92 points and All Share Index by 2.65% to 2,342.95 points.
The realty index shot up 4.96%, insurance (4.4%), telecom (3.85%), transport (3.71%), industrials (3.05%), consumer goods (1.4%) and banks and financial services (1.3%).
Major gainers included Mazaya Qatar, Ezdan, Vodafone Qatar, Ooredoo, Nakilat, Qatar Insurance, Industries Qatar, Commercial Bank, Qatar National Cement, Alijarah Holding, Qatari German Company for Medical Devices and Gulf Warehousing.
The Gulf institutions turned net buyers to the tune of QR10.2mn compared with net sellers of QR7.61mn on Tuesday.
Local retail investors’ net profit booking weakened influentially to QR2.12mn against QR15.19mn the previous day.
However, domestic funds’ net selling rose considerably to QR28.58mn compared to QR4.39mn on December 12.
The non-Qatari retail investors turned net sellers to the tune of QR0.86mn against net buyers of QR1.94mn on Tuesday.
The GCC individuals were also net sellers to the extent of QR0.23mn compared with net buyers of QR0.06mn the previous day.
Non-Qatari institutions’ net buying declined perceptibly to QR21.63mn against QR25.16mn on December 12.
Total trade volume rose 68% to 20.43mn shares, value by 55% to QR331.22mn and deals by 44% to 5,220.
The banks and financial services sector’s trade volume more than tripled to 5.64mn equities and value more than doubled to QR124.18mn on more than doubled transactions to 1,563.
The insurance sector’s trade volume more than tripled to 0.58mn stocks and value grew 18% to QR9.18mn on more than doubled deals to 167.
The real estate sector reported 47% surge in trade volume to 4.99mn shares, 41% in value to QR59.7mn and 36% in transactions to 1,147.
The telecom sector’s trade volume soared 37% to 4.67mn equities and value by 30% to QR41.64mn, while deals fell 13% 499.
There was 34% expansion in the industrials sector’s trade volume to 2.93mn stocks, 69% in value to QR53.47mn and 75% in transactions to 1,063.
The consumer goods sector’s trade volume shot up 21% to 0.46mn shares, while value fell 3% to QR17.67mn despite 30% higher deals to 411.
The transport sector saw 8% jump in trade volume to 1.16mn equities but on 18% fall in value to QR25.39mn and 22% in transactions to 350.
In the debt market, there was no trading of treasury bills and sovereign bonds.
