Foreign institutions’ buying support lifts QE

By Santhosh V Perumal

Business Reporter

Foreign institutions’ buying support yesterday lifted the Qatar Exchange amid marginally higher liquidity.

Although domestic institutions turned profit takers, the 20-stock Qatar Index (based on price data) rose 0.45% to 9,806.58 points. The market is up 17.32% year-to-date.

Notably telecom and banking outperformed the benchmarks. The index that tracks Shariah-principled stocks were seen to under-perform as it was on a decline.

The overall market liquidity improved, especially on higher volumes in the insurance and real estate counters.

Major movers included QNB, Commercial Bank, United Development Company and Ooredoo; even as Qatar Islamic Bank, Industries Qatar, Qatari Investors Group, Gulf International Services, Barwa, Mazaya Qatar and Milaha lost their sheen.

The 20-stock Total Return Index also gained 0.45% to 14,011.35 points and All Share Index (with wider constituents) by 0.44% to 2,468.11 points, while Al Rayan Islamic Index fell 0.21% to 2,804.72 points. All the three indices factored in dividend income as well.

Telecom stocks appreciated 1.53%, banks and financial services (0.92%) and consumer goods (0.25%); whereas transport fell 0.73%, industrials (0.13%) and insurance and realty (0.10% each).

Total market capitalisation expanded 0.52% or about QR3bn to QR535.28bn. Large caps rose about 1%, while small and micro caps fell. Foreign institutions turned bullish as they were net buyers to the tune of QR21.53mn against net sellers of QR15.52mn the previous day. However, domestic institutions turned profit takers as they were net sellers to the extent of QR9.90mn compared with net buyers of QR24.74mn on Monday.

Qatari individual investors were increasingly bearish as their net selling rose to QR0.84mn against QR0.66mn the previous day.

Non-Qatari individuals were also increasingly profit takers as their net selling surged to QR10.78mn compared to QR8.57mn on Monday.

Total trading volume was up 9% to 8.92mn stocks, value by 2% to QR351.23mn and transactions by 7% to 4,286.

The insurance sectors’ trading volume more than doubled to 0.10mn shares and value almost tripled to QR6.04mn on more than doubled deals to 83.

There was an 83% jump in real estate sector’s trading volume to 4.35mn equities, 99% in value to QR95.46mn and 40% in transactions to 1,002. The banking sector witnessed an 8% rise in trading volume to 1.93mn shares, 20% in value to QR102.45mn and 19% in deals to 1,149.

However, the transport sector trading volume plummeted 45% to 0.54mn stocks, value by 45% to QR20.42mn and transactions by 45% to 322.

The market witnessed a 44% plunge in telecom sector’s trading volume to 0.23mn shares; while value rose 2% to QR11.18mn. Deals were down 8% to 154.

The consumer goods sector’s trading volume tanked 44% to 0.92mn equities, value by 42% to QR46.54mn and transactions by 19% to 633.

The industrials sector’s trading volume fell 17% to 0.85mn stocks and value by 16% to QR69.14mn whereas deals gained 22% to 943.

In the debt market, there was no trading of treasury bills and bonds.