Domestic institutions’ increasing net profit booking pressure had its dampening effect on the Qatar Stock Exchange, which settled sub-10,300 levels and capitalisation eroded about QR6bn this week.
Insurance, banking, telecom and industrials counters witnessed higher than average selling pressure, which led the key barometer lose about 96 points this week which saw Nebras Power, a joint venture of Qatar Electricity and Water Company (60%) and Qatar Holding (40%), acquire a 9.9% stake in Oman's Amin Renewable Energy Company.
Foreign institutions’ weakened buying interests also had its role in dragging the 20-stock benchmark 0.93% this week which saw Siemens Qatar and Manweir, a subsidiary of Mannai Corporation, plan to develop repair services for compressors and steam turbines used in the oil, gas and petrochemicals industries in Qatar.
However, local and non-Qatari retail investors were seen bullish this week, which saw Qatar's Industrial production up more than 1% year-on-year in October 2019, fuelled by mining and manufacturing sectors.
More than 63% of the traded constituents extended gains this week which witnessed global credit rating agency Fitch affirm Doha Bank rating at ‘A’ with “stable” outlook.
Islamic stocks were seen declining slower than the other indices this week which saw a Kamco report that said Qatar had the lowest fiscal breakeven oil price of $48.8 per barrel for 2019 and is expected to be even lower at $45.7 for 2020.
Trade turnover and volumes were on the decline this week which saw as many as 0.4mn Masraf Al Rayan sponsored exchange traded funds QATR valued at QR0.94mn trade across 11 transactions.
The Total Return Index shed 0.93%, Al Rayyan Islamic Index by 0.65% and All Share Index by 0.86% this week which saw a total of 7,485 Doha Bank sponsored QETF valued at QR0.08mn changed hands across six deals.
The insurance index tanked 1.31%, banks and financial services (1.27%), telecom (1.24%) and industrials (1.01%); while realty gained 0.96%, consumer goods (0.85%) and transport (0.42%) this week which saw Fitch affirm its long-term issuer default rating of Masraf Al Rayan at 'A' with a "stable" outlook.
Major losers included QNB, Qatar Islamic Bank, Ahlibank Qatar, QIIB, Masraf Al Rayan, Medicare Group, Qatari Investors Group, Qatar Electricity and Water, Industries Qatar, Gulf International Service, Qatar Insurance and Al Khaleej Takaful; even as United Development Company, Gulf Warehousing, Woqod, Qatar Industrial Manufacturing, Aamal Company, Widam, Mannai Corporation, Alijarah Holding and Commercial Bank were among the gainers.
Market capitalisation fell about 1% to QR566.76bn, mainly on large ad midcap equities this week which saw banking, industrials and realty sectors constitute more than 79% of the trading volume.
The banks and financial services sector accounted for 40% of the trading volume, industrials (22%), real estate (17%), telecom (10%), consumer goods (5%), and insurance and transport (3% each) this week.
In terms of value, banks and financial services accounted for 62%, industrials (12%), consumer goods (11%), telecom (6%), realty (5%), transport (3%) and insurance (2%) this week.
Domestic funds’ net selling grew significantly to QR71.5mn against QR23.64mn the week ended November 14.
Non-Qatari funds’ net buying weakened influentially to QR57.61mn compared to QR67.3mn the previous week.
However, non-Qatari individuals turned net buyers to the tune of QR10.8mn against net sellers of QR3.3mn a week ago.
Local retail investors were also net buyers to the extent of QR2.98mn compared with net sellers of QR40.36mn the previous week.
Total trade volume fell 20% to 266.52mn shares, value by 3% to QR1.03bn and transactions by 12% to 25,754.
The industrials sector’s trade volume plummeted 39% to 59.16mn equities, value by 19% to QR118.49mn and deals by 20% to 5,061.
The consumer goods sector reported 39% plunge in trade volume to 13.35mn stocks but on 56% growth in value to QR112.67mn and 10% in transactions to 2,914.
The transport sector’s trade volume tanked 30% to 7.81mn shares, value by 27% to QR26.84mn and deals by 50% to 808.
The real estate sector saw 18% shrinkage in trade volume to 45.59mn equities, 4% in value to QR50.76mn and 28% in transactions to 1,633.
The banks and financial services sector’s trade volume declined 17% to 106.83mn stocks, value by 9% to QR636.63mn and deals by 9% to 11,975.
However, there was 84% surge in the telecom sector’s trade volume to 25.47mn shares, 40% in value to QR61.87mn and 6% in transactions to 2,609.
The insurance sector’s trade volume shot up 40% to 8.31mn equities and value by 31% to QR21.5mn, whereas deals were down 1% to 754.