Qatar shares stay positive despite retail sell pressure

By Santhosh V Perumal/Business Reporter

Yaking cue from global markets, local retail investors resorted to heavy selling but the Qatar Exchange remained in the positive trajectory albeit at lower levels.

Both domestic and foreign institutions together injected (net) QR78mn into the Qatari bourse, which helped its 20-stock Qatar Index (based on price data) gain a marginal 0.06% amidst net selling from foreign retail investors.

The index that tracks Shariah-principled stocks outperformed the market’s key indices.

The market witnessed lower trading volumes, especially on a double-digit decline in the insurance, transport and consumer goods sectors.

Stronger buying in realty, telecom and consumer goods was to a great extent contained by profit-booking at transport counter. The market is up 20.16% year-to-date.

Barwa, Mazaya Qatar, al khaliji, Doha Bank, International Islamic and Qatari Investors Group were among the prime gainers; even as Nakilat, QNB, Industries Qatar and Qatar Islamic Bank bucked the trend.

The 20-stock Total Return Index was up 0.06% to 14,350.76 points, the All Share Index (with wider constituents) by 0.04% to 2,526.74 points and the Al Rayan Islamic Index by 0.24% to 2,881.39 points.

All the three indices factored in dividend income as well.

Under the All Share Index category, real estate stocks appreciated 1.08%, followed by telecom (0.51%) and consumer goods (0.32%); even as transport fell 0.65%, followed by insurance (0.15%), banks and financial services (0.07%) and industrials (0.03%).

Market capitalisation edged up 0.01% to QR548.65bn despite modest gains in small, mid and micro cap equities. Large caps reported losses. Of the 42 stocks, 18 advanced; while 17 declined, five were unchanged and two were not traded.

Foreign institutions continued to be bullish with their net buying at 10.60%, or QR35.93mn, against QR14.29mn the previous day.

Domestic institutions were also bullish as they were net buyers to the tune of 12.32%, or QR41.53mn, compared to QR3.32mn on Monday.

On the retail side, Qatari individual investors were increasingly profit-takers as their net selling surged to 19.59%, or QR66.04mn, against QR8.24mn the previous day.

Non-Qatari individuals continued to be bearish with their net selling at 3.32%, or QR11.19mn, compared to QR9.32mn on Monday.

Total trading volume shrank 28% to 8.56mn stocks; value by 16% to QR337.10mn and transactions by 10% to 4,154.

The insurance sector saw its trading volume plummet 84% to 0.17mn shares, value by 84% to QR9.89mn and deals by 79% to 73.

There was a 53% plunge in transport trading volume to 1.49mn shares, 16% in value to QR64.98mn and 6% in transactions to 889.

The consumer goods saw its trading volume melt 44% to 0.34mn shares, value by 26% to QR21.30mn and deals by 30% to 362.

The realty sector’s trading volume eroded 25% to 2.51mn equities, value by 15% to QR50.21mn and transactions by 2% to 797.

The banking sector’s trading volume was down 9% to 2.34mn, value by 8% to QR100.99mn and deals by 10% to 1,116.

However, the market witnessed an 85% surge in industrials trading volume to 1.26mn shares, 12% in value to QR58.76mn and 27% in transactions to 751.

The telecom sector saw its trading volume go up 22% to 0.45mn shares to more than double the value to QR30.97mn. There was however a 3% fall in deals to 166.

In the debt market, there was no trading of bonds and treasury bills.