Foreign funds’ overall bullish outlook helped the Qatar Stock Exchange surpass the 10,000 mark this week, indicating investors’ confidence in the country’s economy and its corporate sector amidst Covid-19 challenges.
Buying support from foreign individuals also reinforced the positive sentiments this week, which saw a global credit rating agency Fitch expect Qatar to repay $20bn in debt by 2021, including more than $10bn this year, on top of scheduled maturities, to reduce the debt liabilities.
The telecom, industrials, banking and consumer goods counters witnessed higher than average demand this week which saw Mwani Qatar report that general cargo and container movement as well as handling of building materials through Hamad, Doha and Al Ruwais ports saw robust expansion year-on-year this September.
About 66% of the traded constituents gained as the 20-stock Qatar Index rose 0.26% this week, which saw Qatar Financial Centre (QFC) chief executive Yousuf Mohamed al-Jaida view that QNB’s green bond endorses Doha’s commitment to ESG (environment social governance) principles and sustainable investments even during this difficult time.
Trading volume and value were on the increase this week, which saw the Planning and Statistics Authority figures hinting that infrastructure and related activities are in full steam this August as the registration of new trailers and heavy equipment grew robustly year-on-year and month-on-month.
The domestic and Gulf funds’ net buying eased this week which saw a QFC survey find that Doha's non-energy private sector economy continued to expand in September as coronavirus-related restrictions were lifted further.
Local individuals continued to be net sellers but with lesser intensity this week which saw 126,867 Masraf Al Rayan sponsored exchange traded funds QATR valued at QR297,328 traded across 13 transactions.
The Arab funds were seen increasingly net sellers this week which saw a total of 109,250 Doha Bank sponsored QETF valued at QR1.07mn change hands across 25 deals.
Market capitalisation saw more than QR7bn or 1.2% jump to QR595.56bn, mainly on large and midcap segments this week which saw five of the seven sectors experience buying interests
The Total Return Index rose 0.26% and the All Share Index by 0.66% and Al Rayan Islamic Index by 0.49% this week which saw the telecom index soar 1.91%, industrials (0.86%), banks and financial services (0.73%), consumer goods and services (0.62%) and transport (0.28%); while insurance and real estate decline 0.37% and 0.3% respectively.
Major gainers included Qatar First Bank, Alijarah Holding, Salam International Investment, Qatar General Insurance and Reinsurance and Ezdan; while Qatari German Medical Devices, United Development Company, Ahlibank Qatar, Qatar Insurance, Qatari Investors Group and al khaliji were among the losers this week which saw banking, industrials and realty sectors together account for about 81% of total trading volume.
The banks and financial services sector account for 28% of the total trading volume, realty (27%), industrials (25%), consumer goods (11%), telecom and insurance (3% each), and transport (2%) this week.
In value, the banks and financial sector’s share was 36%, real estate (27%), industrials (15%), consumer goods and services (10%), transport (5%), and telecom and insurance (4% each) this week.
Foreign funds turned net buyers to the tune of QR79.04mn compared with net sellers of QR7.54mn a week ago.
Foreign individuals were also net buyers to the extent of QR6.31mn against net sellers of QR1.12mn the week ended October 1.
Qatari individuals’ net selling declined notably to QR138.82mn against QR141.36mn the previous week.
The Gulf individuals’ net profit booking eased perceptibly to QR3.32mn compared to QR7.82mn a week ago.
However, domestic funds’ net buying weakened substantially to QR64.43mn against QR124.88mn the week ended October 1.
The Gulf funds’ net buying weakened significantly to QR9.96mn compared to QR37.44mn the previous week.
The Arab individuals’ net selling grew markedly to QR14.94mn against QR4.47mn a week ago.
The Arab institutions’ net profit booking rose marginally to QR0.1mn compared to QR0.03mn the week ended October 1.
Total trading volume rose 31% to 1.88bn shares, value by 19% to QR3.32bn and transactions by 16% at 57,683.
The banks and financial services sector’s trade volume more than doubled to 531.8mn equities, value soared 84% to QR1.21bn and deals by 65% to 17,066.
There was 18% surge in the consumer goods sector’s trade volume to 204.89mn stocks but on 22% fall in value to QR331.58mn and 16% in transactions to 7,115.
The insurance sector’s trade volume shot up 13% to 56.96mn shares, value by 16% to QR116.74mn and deals by 34% to 2,601.
The transport sector reported 11% expansion in trade volume to 37.13mn equities, 23% in value to QR148.64mn and 1% in transactions to 3,053.
The real estate sector’s trade volume increased 9% to 502.59mn stocks, value by 11% to QR903.83mn and deals by less than 1% to 11,901.
The industrials sector saw 8% jump in trade volume to 477.92mn shares but on less than 1% dip in value to QR482.58mn despite 6% higher transactions at 11,668.
However, the telecom sector’s trade volume was down 1% to 64.05mn equities and value by 33% to QR131.91mn, while deals grew 26% to 4,279.