US rate cut expectations drive QSE index near 10,400 points; M-cap adds about QR1bn

Expectations of the US rate cut continued to lift sentiments in the Qatar Stock Exchange (QSE), which Tuesday saw its key index gain 39 points to inch towards 10,400 points.

The industrials counter witnessed higher than average demand as the 20-stock Qatar Index rose 0.38% to 10,383.42 points, recovering from an intraday low of 10,322 points.

The Gulf institutions were seen net buyers in the main market, whose year-to-date losses truncated to 4.13%.

As much as 56% of the traded constituents extended gains to investors in the main bourse, whose capitalisation added QR0.9bn or 0.15% to QR599.27bn on the back of microcap segments.

The local retail investors’ weakened net profit booking had its influence in the main market, which saw 0.01mn exchange traded funds (sponsored by Masraf Al Rayan and Doha Bank) valued at QR0.11mn trade across 12 deals.

The foreign funds continued to be net buyers but with lesser intensity in the main bourse, which saw no trading of treasury bills.

The domestic institutions were increasingly net profit takers in the main market, which saw no trading of sovereign bonds.

The Islamic index was seen gaining slower than the other indices in the main bourse, whose trade turnover grew amidst lower volumes.

The Total Return Index rose 0.38%, the All Share Index by 0.25% and the All Islamic Index by 0.31% in the main market.

The industrials sector index gained 0.42%, banks and financial services (0.35%), real estate (0.35%), consumer goods and services (0.1%) and telecom (0.1%); while insurance and transport declined 0.54% and 0.27% respectively. Major gainers in the main market included Commercial Bank, Meeza, Gulf International Services, Qatar Industrial Manufacturing, Qatar Islamic Insurance, QIIB and Industries Qatar. In the venture market, both Al Mahhar Holding and Techno Q saw their shares appreciate in value.

Nevertheless, Qatar General Insurance and Reinsurance, QLM, Inma Holding, Lesha Bank, Milaha, Zad Holding and Qamco were among the shakers in the main bourse.

The Gulf institutions turned net buyers to the tune of QR6.8mn compared with net sellers of QR3.02mn on September 2.

The Qatari individual investors’ net selling declined significantly to QR15.65mn against QR43.79mn the previous day.
However, the domestic institutions’ net profit booking grew substantially to QR21.27mn compared to QR8.92mn on Monday.

The foreign retail investors were net sellers to the extent of QR12.19mn against net buyers of QR4.84mn on September 2.

The Arab individuals’ net selling strengthened markedly to QR2.51mn compared to QR0.83mn the previous day. The Gulf individual investors’ net profit booking rose marginally to QR1.53mn against QR1.33mn on Monday. The foreign institutions’ net buying declined markedly to QR46.37mn compared to QR53.04mn on September 2.

The Arab institutions had no major net exposure for the third straight session. Trade volumes in the main market was down less than 1% to 155.58mn shares, while value grew 1% to QR401.3mn and transactions by 3% to 14,575.

The venture market saw 45% surge in trade volumes to 1.03mn equities, 46% in value to QR2.33mn and 28% in deals to 86.