Apprehensions that rising risks in the global banking sector may cause a recession and cut fuel demand on Monday led a sell-off in the bourses, including Qatar Stock Exchange, which plunged more than 130 points, while capitalisation eroded QR7bn.
The banking sector witnessed higher than average net selling pressure as the 20-stock Qatar Index tanked 1.32% to 9,778.27 points, although UBS agreed to buy the embattled Credit Suisse in stock.
The market, which was skewed towards decliners, however touched an intraday higher of 9,952 points.
The domestic institutions were increasingly net sellers in the main market, whose year-to-date losses widened to 9.45%.
More than 61% of the traded constituents were in the red in the main bourse, whose capitalisation was seen eroding QR7.08bn or 1.24% to QR564.07bn, mainly on account of mid and small cap segments.
The foreign institutions were seen increasingly into net selling in the main market, which saw a total of 0.02mn exchange traded funds (sponsored by Masraf Al Rayan and Doha Bank) valued at QR0.17mn changed hands across 11 deals.
The Arab retail investors were increasingly net profit takers in the main bourse, which saw no trading of sovereign bonds.
The Islamic index declined slower than the othe4r indices in the main market, which saw no trading of treasury bills.
The Total Return Index shed 1.32%, the All Share Index by 1.32% and the Al Rayan Islamic Index (Price) by 0.88% in the main bourse, whose trade turnover and volumes were on the increase.
The banks and financial services sector index tanked 1.9%, followed by industrials (0.88%), transport (0.77%), real estate (0.65%), consumer goods and services (0.64%) and telecom (0.02%); while insurance gained 0.41%.
Major losers in the main market included Qatar General Insurance and Reinsurance, QLM, Widam Food, Mannai Corporation, Qatari German Medical Devices, QNB, Qatar Islamic Bank, Commercial Bank, Industries Qatar, Qamco, Estithmar Holding, Mazaya Qatar and Milaha.
Nevertheless, Qatar National Cement, Beema, Qatar Insurance, Gulf International Services and Masraf Al Rayan were among the gainers in the main market.
In the venture market, Al Faleh Educational Holding saw its shares appreciate in value.
The domestic institutions’ net selling increased noticeably to QR17.5mn compared to QR14.29mn on March 19.
The foreign institutions’ net profit booking grew perceptibly to QR7.5mn against QR6.65mn the previous day.
The Arab individuals’ net selling strengthened markedly to QR2.85mn compared to QR0.71mn on Sunday.
The Gulf individual investors were net sellers to the tune of QR0.66mn against net buyers of QR0.19mn on March 19.
The local retail investors’ net buying declined notably to QR20.57mn compared to QR29.74mn the previous day.
However, the Gulf institutions turned net buyers to the extent of QR11.78mn against net sellers of QR1.25mn on Sunday.
The Arab institutions were net buyers to the tune of QR0.29mn compared with net sellers of QR0.04mn on March 19.
The foreign retail investors’ net profit booking eased remarkably to QR4.14mn against QR7mn the previous day.
In the main market, trade volumes surged 11% to 123.41mn shares, value by 40% to QR377.09mn and deals by 66% to 16,259.