QE closes stable despite strong telecom, insurance and industrials sell pressure

By Santhosh V Perumal/Business ReporterThe Qatar Exchange appeared to be stable and remained below the 11,400 mark yesterday despite strong selling in telecom, insurance and industrials stocks.Local retail investors’ strong buying was rather contained by robust profit-booking by domestic institutions as the 20-stock Qatar Index (based on price index) settled mere 0.05% lower at 11,343.38 points.Foreign institutions were seen marginally paring their exposure to the market, which is up 9.29% year-to-date.Real estate stocks notably witnessed considerable buying interests in the bourse, where trading volume rose and skewed towards realty, industrials and banking sectors.The index that tracks Shariah-principled stocks markedly outperformed the other indices.The 20-stock Total Return Index was down 0.05% to 16,705.26 points and the All Share Index (with wider constituents) by 0.12% to 2,886.37, while the Al Rayan Islamic Index gained 0.61% to 3,440.66 points. All the three indices factored in dividend income as well.Telecom stocks plunged 1.24%, followed by insurance (1.09%), industrials (0.92%), banks and financial services (0.26%) and consumer goods (0.24%), while real estate surged 6.43% and transport (0.24%).More than 68% of the stocks were in the red with other major losers being Industries Qatar, Mesaieed Petrochemical Holding, Ooredoo, Commercial Bank, International Islamic, Qatar Islamic Bank, Qatar Insurance and Qatar Islamic Insurance.However, Barwa, United Development Company, Ezdan, Qatari Investors Group and Vodafone Qatar were seen to buck the trend.Market capitalisation eroded 0.58%, or about QR4bn, to QR637.72n.Domestic institutions turned net sellers to the tune of QR15.18mn against net buyers of QR270.6mn on Wednesday.Foreign institutions were net profit-takers to the extent of QR3.73mn compared with net buyers of QR4.85mn the previous day.Qatari retail investors turned net buyers to the tune of QR15.1mn against net sellers of QR274.4mn on Wednesday.Non-Qatari individual investors were net buyers to the extent of QR3.9mn compared with net sellers of QR1.05mn the previous day.Total trading volume rose 26% to 19.78mn stocks, value by 3% to QR829.71mn and transactions by 6% to 9,539.The real estate sector’s trading volume more than quadrupled to 9.47mn equities and value also more than quadrupled QR240.36mn on more-than-tripled deals to 2,198.The transport sector’s trading volume witnessed a 40% surge to 0.67mn shares, but value fell 5% to QR16.19mn and transactions were down 4% to 233.However, the insurance sector’s trading plummeted 86% to 0.38mn stocks and value by 84% to QR20.97mn but on a 41% jump in deals to 190.The consumer goods sector saw its trading volume plunge 31% to 0.78mn equities, value by 34% to QR58.41mn and transactions by 37% to 700.The banks and financial services sector reported a 28% slippage in trading volume to 2.26mn shares, 24% in value to QR135.23mn and 30% in deals to 1,511.The telecom sector’s trading volume tanked 11% to 0.87mn stocks, while value soared 95% in value to QR33.79mn and transactions by 20% to 421.The industrials sector’s trading volume was down less than 1% to 5.34mn equities, value by 11% to QR280.13mn and deals by 11% to 3,831.