The initial concerns on the US inflation data had its lingering effect on the Qatar Stock Exchange (QSE), which closed this week on a weaker note as its key index lost 155 points and capitalisation eroded QR11bn.
The foreign institutions were seen net profit takers as the 20-stock Qatar Index tanked 1.39% this week, the latter part of which finally saw consumer inflation in the US ebbing to lowest level in more than a year, prompting markets to view the worst phase of interest hike is over.
The markets now await the outcome of the US Federal Reserve’s decision on the interest rate, which is the key trigger, sources said.
The telecom, banking and transport counters witnessed higher than average selling pressure this week which saw the country’s largest lender QNB report net profit of QR14.35bn during 2022.
The domestic institutions were seen increasingly into net selling this week which saw Meeza get approval from the Qatar Financial Market Authority for its initial public offering, which is being priced through book-building process, the first of its kind in the country’s capital market.
The Gulf retail investors were also increasingly bearish this week which saw Qatar register 4.3% real growth during the third quarter of 2022.
The Islamic index was seen declining slower than the other indices this week which saw Qatar’s hospitality sector witness 300% year-on-year increase in rooms’ yield in November 2022.
More than 53% of the traded constituents were in the red this week which saw a total of 1.76mn Masraf Al Rayan-sponsored exchange traded fund QATR worth QR4.36mn trade across 85 deals.
Trade turnover and volumes were on the increase in the main market this week, which saw as many as 0.34mn Doha Bank-sponsored QETF valued at QR4.02mn change hands across 75 transactions.
Market capitalisation was seen eroding QR10.73bn or 1.7% to QR621.2bn on the back of large and midcap segments this week which saw the industrials and banking sectors together constitute about 67% of the total trade volume in the main market.
The Total Return Index declined 1.39%, All Share Index by 1.66% and All Islamic Index by 0.52% this week, which saw no trading of sovereign bonds.
The telecom sector index tanked 3.53%, banks and financial services (3.3%), transport (3.27%), insurance (0.37%) and real estate (0.09%); while consumer goods and services gained 2.22% and industrials (1.7%) this week which saw no trading of treasury bills.
Major losers in the main market include QLM, QNB, Qatar General Insurance and Reinsurance, Ooredoo, Qatar Islamic Bank, Lesha Bank, Mekdam Holding, Milaha, Gulf Warehousing and Nakilat this week, which saw Mazaya Qatar disclose its intent to exit Marina Project.
Nevertheless, Qatar Oman Investment, Dlala, Gulf International Services, Qatari German Medical Devices, Zad Holding, Commercial Bank, Alijarah Holding, Al Meera, Salam International Investment, Mesaieed Petrochemical Holding and Qamco this week.
The foreign funds turned net sellers to the tune of QR137.06mn compared with net buyers of QR307.83mn the previous week.
The domestic institutions’ net selling shot up perceptibly to QR15.32mn against QR10.22mn the week ended January 5.
The Gulf retail investors’ net profit booking grew marginally to QR1.38mn compared to QR1.24mn a week ago.
However, the Gulf institutions’ net buying strengthened substantially to QR161.41mn against QR32.28mn the previous week.
The Arab institutions’ net buying weakened expanded marginally to QR0.24mn compared to QR0.01mn the week ended January 5.
The local retail investors’ net selling shrank drastically to QR1.61mn against QR283.94mn a week ago.
The foreign individuals’ net profit booking weakened considerably to QR3.08mn compared to QR28.58mn the previous week.
The Arab individuals’ net selling declined perceptibly to QR3.21mn against QR16.13mn the week ended January 5.
Total trade volume in the main market increased 33% to 802.42mn shares, value by 77% to QR2.77bn and deals by 68% to 97,079.
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