The Qatar Stock Exchange lost heavily for the second straight session on Wednesday to settle below 10,300 levels, mainly dragged by Gulf funds’ bearish outlook and lower buying interests from their foreign counterparts.
An across-the-board selling, particularly in the banking counter, led the 20-stock Qatar Index to shed 1.2% to 10,252.5 points, which is up 20.29% year-to-date.
Market capitalisation eroded more than QR9bn, or 1.59%, to QR572.96bn, mainly on account of large cap equities.
However, selling pressure from local retail investors and domestic funds were seen weakening in the market, where Islamic stocks were seen declining slower than the other indices.
Trade turnover and volumes were on the decline in the bourse, where the banking and real estate sectors together accounted for more than 63% of the total volume.
The Total Return Index lost 1.2% to 18,063.77 points, the All Share Index by 1.42% to 3,017.82 points and the Al Rayan Islamic Index (Price) by 0.84% to 2,403.89 points.
The banks and financial services index plunged 2.45%, followed by realty (0.87%), telecom (0.76%), consumer goods (0.58%), industrials (0.4%), insurance (0.33%) and transport (0.04%).
More than 65% of the traded stocks were in the red with major losers being QNB, Qatar Islamic Bank, Islamic Holding Group, Al Khaliji, Qatari Investors Group, Industries Qatar, Mesaieed Petrochemical Holding, Ezdan, Ooredoo and Vodafone Qatar; while Commercial Bank, Qatari German Company for Medical Devices, Qatar Electricity and Water, Aamal Company and Gulf International Services were among the gainers.
The Gulf funds turned net sellers to the tune of QR3.22mn compared with net buyers of QR1.08mn on November 6.
Non-Qatari funds’ net buying declined significantly to QR34.59mn against QR56.44mn the previous day.
Non-Qatari individuals’ net buying also shrank perceptibly to QR2.91mn compared to QR4.32mn on Tuesday.
However, local individuals’ net profit booking weakened considerably to QR29.36mn against QR49.88mn on November 6.
Domestic institutions’ net selling also decreased influentially to QR4.37mn compared to QR10.84mn the previous day.
The Gulf individuals’ net profit booking shrank marginally QR0.54mn against to QR1.12mn on Tuesday.
Total trade volume fell 23% to 4.96mn shares, value by 15% to QR173.22mn and transactions by 12% to 3,731.
The telecom sector reported 43% plunge in trade volume to 0.54mn equities, 44% in value to QR12.02mn and 40% in deals to 347.
The transport sector’s trade volume plummeted 36% to 0.29mn stocks, value by 38% to QR5.61mn and transactions by 30% to 246.
There was 28% shrinkage in the real estate sector’s trade volume to 1.27mn shares and 10% in value to QR29.12mn but on 17% jump in deals to 859.
The industrials sector’s trade volume tanked 24% to 0.69mn equities, while value grew 46% to QR37.46mn despite 20% lower transactions at 624.
The consumer goods sector saw 18% contraction in trade volume to 0.14mn stocks, 43% in value to QR9.26mn and 15% in deals to 318.
The banks and financial services sector’s trade volume was down 7% to 1.86mn shares, value by 21% to QR74.79mn and transactions by 9% to 1,216.
However, the market witnessed 6% growth in the insurance sector’s trade volume to 0.17mn equities and22% in value to QR4.96mn but on flat deals at 121.
In the debt market, there was no trading of treasury bills and sovereign bonds.
