Increased buying interests from Gulf institutions and lower net profit-booking by local retail investors on Wednesday led Qatar Stock Exchange steer back into positive trajectory as its key index gained 22 points.
Stronger buying, especially in transport, real estate and industrials, drove the 20-stock Qatar Index up 0.22% to 10,031.02 points as crude futures strengthened on hopes of production freeze ahead of the April 17 Doha meeting of the members of Organisation of the Petroleum Exporting Countries (Opec) and non-Opec producers.
Non-Qatari and Gulf individual investors’ bullish outlook also helped sustain the positive rally in the bourse, which is however down 3.82% year-to-date.
Micro and mid-cap equities witnessed modest demand from investors in the market, where trading turnover and volumes were on the decline.
The index that tracks Shariah-principled stocks was seen gaining faster than the other indices in the market, where industrials, transport, banking and consumer goods stocks together constituted about 82% of the total trading volume.
Market capitalisation was up 0.13%, or QR71mn, to QR537.01bn with micro and mid-cap equities gaining 0.76% and 0.14%; even as small and large caps fell 1.09% and 0.15% respectively.
The Total Return Index rose 0.22% to 16,164.9 points, the All Share Index by 0.21% to 2,796.25 points and the Al Rayan Islamic Index by 0.73% to 3,933.18 points.
Transport stocks gained 1.86%, followed by realty (1.19%), industrials (0.39%) and consumer goods (0.11%); while telecom shrank 0.83%, insurance (0.68%) and banks and financial services (0.31%).
More than 64% of the stocks extended gains with major movers being Gulf Warehousing, Ezdan, Vodafone Qatar, Industries Qatar, Aamal Company, Gulf International Services, Mesaieed Petrochemical Holding, Barwa, Alijarah Holding, Islamic Holding Group, Masraf Al Rayan and Widam Food.
However, QNB, Ooredoo, Qatari Investors Group, Qatar Islamic Bank, Salam International Investment, United Development Company and Al Khaleej Takaful bucked the trend.
The GCC (Gulf Cooperation Council) institutions’ net buying increased to QR21.95mn against QR12.36mn on April 5.
Local retail investors’ net selling fell considerably to QR6.47mn compared to QR26.95mn the previous day.
Non-Qatari individual investors turned net buyers to the tune of QR7.24mn against net sellers of QR14.03mn on Tuesday.
The GCC individual investors were also net buyers to the extent of QR1.57mn compared to QR6.7mn on April 5.
However, domestic institutions turned net sellers to the tune of QR32.65mn against net buyers of QR11.46mn the previous day.
Non-Qatari institutions’ net buying weakened perceptibly to QR8.35mn compared to QR23.82mn on Tuesday.
Total trade volume fell 24% to 7.84mn shares, value by 6% to QR349.58mn and deals by 16% to 5,222.
There was a 71% plunge in the real estate sector’s trade volume to 0.74mn equities, 65% in value to QR18.48mn and 61% in transactions to 405.
The banks and financial services sector’s trade volume plummeted 53% to 1.53mn stocks, value by 48% to QR62.6mn and deals by 16% to 1,246.
The telecom sector reported a 24% shrinkage in trade volume to 0.57mn shares, 36% in value to QR13.03mn and 36% in transactions to 392.
The industrials sector’s trade volume tanked 21% to 1.92mn equities, value by 9% to QR105.07mn and deals by 95% to 88.
However, the transport sector’s trade volume more than tripled to 1.58mn stocks and value grew more than five-fold to QR92.41mn on more-than-doubled transactions to 983.
The consumer goods sector’s trade volume doubled to 1.38mn shares, value soared 23% to QR50.6mn and deals by 10% to 739.
The insurance sector saw a 33% expansion in trade volume to 0.12mn equities and 82% in value to QR7.39mn but on 20% fall in transactions to 88.
In the debt market, there was no trading of treasury bills and government bonds.