The fears of increasing geopolitical volatilities and its wider contagion as well as the US rate concerns had their profound impact on the Qatar Stock Exchange (QSE), which saw its key index plummet 482 points and capitalisation erode QR28bn this week.
An across the board selling – particularly in the telecom, consumer goods and industrials – led the 20-stock Qatar Index plunge 482 points this week which saw Industries Qatar (IQ) report net profit of QR3.29bn in the first nine months (9M) of 2023.
More than 78% of the traded constituents were in the red in the main market this week which saw a Kamco Invest report that total value of contracts awarded in Qatar reached $2.1bn at the end of third quarter of 2023.
The foreign institutions were seen net profit takers in the main bourse this week which saw QIIB and Doha Bank report net profit of QR976.9mn and QR932.91mn respectively in 9M-2023.
However, the domestic funds were increasingly into net buying in the main market this week which saw Mesaieed Petrochemical Holding’s 9M net profit at QR848.84mn.
The local retail investors turned bullish in the main bourse this week which saw Vodafone Qatar and Ezdan report net profit of QR392.12mn and QR321.02mn respectively in 9M-2023.
On the negative side, only below the strong support line at 9,585 points could shift the tone to a deeper bearish move and lead to 9,000 points, a Kamco Invest technical analysis said, adding medium-term and long-term investors can re-enter the market at levels higher than 11,150 points and 11,270 points, respectively.
The Gulf institutions were seen net buyers in the main market this week, which saw Aamal Company and Gulf Warehousing register 9M net profit at QR265.44mn and QR167.87mn respectively.
The Arab institutions continued to be net profit takers but with lesser intensity in the main bourse this week which Beema report net profit of QR52.93mn in 9M-2023.
The Islamic index declined faster than the other indices in the main market this week which saw a total of 0.05mn Masraf Al Rayan-sponsored exchange-traded fund QATR worth QR0.1mn trade across 30 deals.
The Gulf individuals continued to be net sellers but with lesser vigour in the main bourse this week which saw as many as 0.01mn Doha Bank-sponsored exchange-traded fund QETF valued at QR0.14mn change hands across 29 transactions.
Market capitalisation was seen eroding QR28.05bn or 4.85% to QR550.49bn on the back of large and midcap segments this week which saw the industrials and banks together constitute more than 60% of the total trade volume in the main market.
The Total Return Index tanked 4.92%, the All Share Index by 4.61% and the All Islamic Index by 5.23% this week, which saw no trading of sovereign bonds.
The telecom sector plunged 6.22%, consumer goods and services (5.99%), industrials (5.3%), banks and financial services (4.37%), transport (3.71%), insurance (3.15%) and real estate (2.19%) this week which saw no trading of treasury bills.
Major shakers in the main market included IQ, MPHC, QNB, Qatar Insurance, Ooredoo, Qatar Islamic Bank, Ezdan, Mannai Corporation, Mazaya Qatar, Widam Food, Qamco, Qatari German Medical Devices, Inma Holding, Milaha, Vodafone Qatar, Dukhan Bank and Baladna. In the venture market, both Al Faleh Educational Holding and Mahhar Holding saw their shares depreciate in value this week which saw Baladna sign pact with Suez Canal Authority.
Nevertheless, Doha Bank, Beema, Lesha Bank, QLM, Qatar National Cement, Aamal Company and Gulf Warehousing were among the gainers in the main bourse this week which saw Mahhar Holding disclose that its subsidiary Petrotec report 45% increase in bookings for locally made products since March 2023 as it views the North Field Expansion with optimism.
The foreign funds were net sellers to the tune of QR113.43mn against net buyers of QR59.92mn the week ended October 19.
However, the domestic institutions’ net buying increased substantially to QR67.13mn compared to QR37.35mn a week ago.
The local retail investors turned net buyers to the extent of QR38.46mn against net sellers of QR23.06mn the previous week.
The Gulf institutions were net buyers to the tune of QR14.97mn compared with net sellers of QR43.39mn the week ended October 19.
The Arab individual investors’ net profit booking declined considerably to QR3.98mn against QR21.58mn a week ago.
The Gulf individuals’ net selling decreased perceptibly to QR2.71mn compared to QR5.343mn the previous week.
The foreign individuals’ net profit booking shrank markedly to QR0.4mn against QR3.78mn the week ended October 19.
The Arab institutions’ net selling wakened marginally to QR0.05mn compared to QR0.13mn a week ago.
The main market witnessed an 18% jump in trade volumes to 842.7mn shares and 2% in value to QR2.16bn but on 2% fall in deals to 82,962 this week.
In the venture market, trade volumes were down 1% to 8.51mn equities, while value grew 2% to QR12.64mn amidst 6% lower transactions at 812.
