The Qatar Stock Exchange drove along the negative trajectory to remain below 10,000 levels this week; mainly on domestic institutions’ substantially increased net profit booking.
The consumer goods, realty, telecom, industrials and insurance counters had higher than average selling pressure to drag the 20-stock Qatar Index 0.41% this week, which saw Nakilat and Milaha report QR899.5mn and QR384mn net profit respectively for the first nine months (9M) of 2020.
The Islamic index declined faster than the other indices this week which saw Al Khaliji and Ahlibank Qatar’s January-September 2020 net profit at QR543.54mn and QR500.78mn respectively.
About 64% of the traded constituents were in the red this week which saw Gulf Warehousing Company’s 9M net profit at QR171.06mn.
Trading volume and value were on the decline this week which saw Inma Holding report net profit of QR470mn in January-September this year.
The Gulf individuals turned bearish and there was also increased net selling pressure from the Gulf, Arab and foreign individuals this week which saw Qamco register QR12mn net profit in 9M 2020.
Foreign institutions continued to be net buyers but with lesser vigour this week which witnessed Qatar Islamic Bank’s $750mn sukuk oversubscribe almost three-fold.
However, domestic funds were increasingly net buyers this week which saw Mazaya Qatar report that the sale of Gloria Doha Hotel failed due to the “buyer’s lack of commitment to the contractual obligations.”
Five of the seven sectors experienced selling pressure this week, which saw a total of 350,600 sovereign bonds valued at QR3.51bn change hands across five transactions.
The shakers outnumbered movers by wide margin this week which saw 80,640 Masraf Al Rayan sponsored exchange traded funds QATR valued at QR186,904 traded across six deals.
Trade turnover and volumes were on the decline this week which saw as many as 83,666 Doha Bank-sponsored QETF valued at QR818,324 change hands across 11 transactions.
Market capitalisation saw about QR8bn or 1.28% erosion to QR587.99bn, mainly on large and midcap segments this week which saw Barwa unveil strategy to construct low and middle income group residential communities at key locations in the country.
The Total Return Index declined 0.41%, the All Share Index by 0.56% and Al Rayan Islamic Index by 1.21% this week which saw Qatar’s Industrial Production Index (IPI) decline 2.7% and 4.9% on a monthly and yearly basis respectively in August 2020.
The consumer goods and services sector index plummeted 2.7%, realty (2.62%), telecom (2.45%), and industrials and insurance (1.18% each); while transport gained 0.69% and banks and financial services 0.24% this week which saw Qatari German Medical Devices (QGMD) incur net loss of QR0.6mn in 9M 2020.
Major losers included Qatar General Insurance and Reinsurance, QGMD, Baladna, Ezdan, Ahlibank Qatar, Aamal Company, Vodafone Qatar, Ooredoo, Woqod, Mannai Corporation, Industries Qatar, Inma Holding and Qatar Oman Investment; even as Commercial Bank, Qatar Islamic Insurance, Nakilat, Masraf Al Rayan and Qatar First Bank were among the gainers this week which saw industrials, realty and banking sectors together account for about 79% of total trading volume.
The industrials sector accounted for 35% of the total trading volume, real estate (23%), banks and financial services (20%), consumer goods and services (11%), transport (6%), and insurance and telecom (2% each) this week.
In value, the banks and financial sector’s share was 36%, realty (22%), industrials (19%), consumer goods and services (10%), transport (9%), and insurance and telecom (2% each) this week.
Qatari individuals’ net selling increased substantially to QR162.52mn compared to QR98mn the previous week.
The Gulf individuals turned net sellers to the tune of QR36.88mn against net buyers of QR6.81mn the week ended October 15.
The Arab individuals’ net profit booking grew significantly to QR28.52mn compared to QR0.44mn a week ago.
Foreign individuals’ net selling rose considerably to QR20.15mn against QR5.27mn the previous week.
The Arab institutions’ net selling was up marginally to QR1.44mn compared to QR0.02mn the week ended October 15.
Foreign institutions’ net buying eased markedly to QR47.6mn against QR50.32mn a week ago.
However, domestic funds’ net buying shot up extensively to QR176.88mn compared to QR51.86mn the previous week.
The Gulf funds’ net buying expanded noticeably to QR25.08mn against QR5.49mn the week ended October 15.
Total trading volume fell 18% to 1.02bn shares, value by 2% to QR2.14bn and transactions by 2% at 40,558.
The consumer goods sector’s trade volume plummeted 60% to 112.44mn equities, value by 41% to QR219.91mn and deals by 21% to 5,270.
The industrials sector reported 23% plunge in trade volume to 359.88mn stocks, 19% in value to QR396.97mn and 4% in transactions to 9,952.
The insurance sector’s trade volume tanked 15% to 24.54mn shares, value by 17% to QR50.85mn and deals by 38% to 923.
There was less than 1% fall in the real estate sector’s trade volume to 237.87mn equities but on 3% growth in value to QR479.41mn despite 6% lower transactions at 7,532.
However, the transport sector’s trade volume soared 71% to 58.91mn stocks, value by 63% to QR182.66mn and deals by 52% to 3,098.
The banks and financial services sector saw 21% surge in trade volume to 207.14mn shares, 18% in value to QR763.45mn and 9% in transactions to 11,953.
The telecom sector’s trade volume expanded 17% to 20.42mn equities, value by 3% to QR50.75mn and deals by 1% to 1,830.