By Santhosh V Perumal

Business Reporter

Domestic and foreign institutions’ penchant for buying yesterday lifted the Qatar Exchange.

Buying interests – especially in industrials, banking and transport equities – led to the 20-stock Qatar Index (based on price data) gain 0.82% to 10,353.15 points.

The key index has been remaining above the 10,000 mark since November 11.

However, local retail investors hurriedly booked profits in the market, which is up 23.86% year-to-date.

The index that tracks Shariah-principled stocks was seen to gain slower than the other key barometers.

Overall market liquidity was on the fall despite more than doubled volumes in the transport sector.

More than 51% of the traded stocks extended gains with prime movers being QNB, Qatar Islamic Bank, Masraf Al Rayan, al khaliji, Industries Qatar, Barwa, Vodafone Qatar and Nakilat.

However, Doha Bank, Alijarah Holding, Salam International Investment and United Development Company bucked the trend.

The 20-stock Total Return Index rose 0.82% to 14,792.28 points, All Share Index (with wider constituents) by 0.86% to 2,580.84 points and Al Rayan Islamic Index by 0.5% to 3,029.74 points. All the three indices factored in dividend income as well.

Industrials stocks appreciated 1.16%, banks and financial services (1.02%), transport (0.99%), telecom (0.66%), insurance (0.19%) and real estate (0.14%); while consumer goods fell 0.17%.

Market capitalisation expanded about 1% or more than QR5bn to QR555.39bn. Large cap equities gained more than 1% and small and mid caps rose about 1% each; while micro caps fell marginally.

Domestic institutions were net buyers to the tune of QR47.61mn compared to QR7.63mn on Tuesday.

Foreign institutions turned net buyers to the tune of QR7.31mn against net sellers of QR24.46mn the previous day.

Qatari individual investors were net sellers to the extent of QR47.57mn compared with net buyers of QR10.36mn on Tuesday.

Non-Qatari individuals also turned profit takers as they were net sellers to the tune of QR7.35mn against net buyers of QR6.44mn the previous day.

Total trading volume fell 6% to 14.78mn stocks, while value rose 7% to QR422.48mn but transactions were down 3% to 6,007.

The consumer goods sector’s trading volume plummeted 73% to 1mn shares, value by 58% to QR25.56mn and deals by 49% to 679.

The banks and financial services sector reported 15% plunge in trading volume to 2.55mn equities and 13% in value to QR119.39mn but on a 9% rise in transactions to 1,727.

The real estate sector’s trading volume was down 1% to 4.06mn shares, whereas value rose 19% to QR92.3mn and deals by 1% to 1,128.

However, the insurance sector’s trading volume jumped more than five-fold to 0.26mn stocks and value more than quadrupled to QR14.08mn on more than doubled transactions to 220.

The transport sector’s trading volume more than doubled to 1.48mn shares and value surged 20% to QR34.31mn but on a 16% fall in deals to 380.

The market witnessed 66% surge in industrials sector’s trading volume to 0.88mn equities, 84% in value to QR72.28mn and 44% in transactions to 1,082.

The telecom sector’s trading volume expanded 21% to 4.56mn stocks and value by 35% to QR64.56mn whereas deals were down 9% to 791.

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

 

UAE markets rise ahead of Dubai Expo win

The UAE stock markets rose yesterday on last-minute bets that Dubai would win the right to host the 2020 World Expo. Most other Gulf bourses also climbed, while Egypt extended losses to a nearly four-week low.

Dubai’s main index advanced 0.5% to its highest finish since November 10, although it gave back almost half of its intra-day gains. The measure is 1.8% below the multi-year high hit in October.

Trading was heaviest in stocks which retail investors believe would benefit most if Dubai hosts the Expo. Dubai Investments, which owns land around the proposed expo site, rose 3.1%. Emaar Properties climbed 1.3% and Union Properties added 2.7%.

The optimism spread to neighbouring Abu Dhabi, with the index there also rising 0.5%. Abu Dhabi National Building Materials jumped 8.9%; the stock is now up 116% this year, following five years of losses.

In Egypt, the benchmark index declined 0.6% to its lowest close since November 3. The market dropped for a fifth consecutive session from a 34-month high.

Profit-taking was exacerbated by the government’s apparent difficulty in the transition back to civilian rule. Arrests of activists after new regulations on protests have shaken support in some quarters for the military-led interim government.

“The market plunged on noise about the pace of political progress...Prices should hold at these levels as the profit-taking phase is over,” said Mohamed Radwan, director of international sales at Pharos Securities.

Egypt will hold a referendum on an amended constitution in December, the group drafting it said on Tuesday. That contradicted a statement on Sunday by the prime minister, who said it would be held in late January.

Elsewhere, in Saudi Arabia the index ticked up 0.03% to 8,301 points, in Oman the index slipped 0.4% to 6,726 points, in Kuwait the index advanced 0.5% to 7,838 points, whereas the Bahrain index eased 0.02% to 1,197 points.