Qatar shares extend losses amid increased selling pressure

The Qatar Stock Exchange on Thursday fell for the fifth straight session by more than 96 points to settle a tad above 10,000 levels, mainly dragged by real estate, transport, insurance and banks.

Foreign institutions’ substantially increased selling pressure led the 20-stock Qatar Index to fall about 1% to 10,027.17 points.

A Kamco technical analysis suggests that medium-term and long-term investors can stay in the market with a stop-loss below 10,200 points and 9,700 points, respectively.

Gulf institutions’ increased profit booking also dampened the market, whose sensitive index is down 2.64% year-to-date.

Market capitalisation eroded about QR8bn, or 1.35%, to QR558.73bn mainly owing to large and midcap segments.

Islamic equities were seen declining slower than the main index in the market, where domestic funds were increasingly bullish.

Trade turnover and volumes were on the increase in the bourse, where the industrials, banking and realty sectors together accounted for about 87% of the total volume.

The Total Return Index shed 0.95% to 18,450.84 points, the All Share Index by 1.36% to 3,036.29 points and the Al Rayan Islamic Index (Price) by 0.7% to 2,287.49 points.

The real estate index tanked 2.48%, transport (1.81%), insurance (1.8%), banks and financial services (1.5%), industrials (0.99%) and telecom (0.1%); whereas consumer goods saw 0.35% gains.

More than 64% of the traded constituents were in the red with major losers being QNB, Qatar National Cement, Industries Qatar, Ezdan, Nakilat, Gulf Warehousing, Milaha, Aamal Company, Qatar Islamic Bank, Commercial Bank, Widam Food and Qatar Insurance; even as Doha Bank, Qatari German Company for Medical Devices, Qatar General and Reinsurance and Qatar Oman Investment were among the prime gainers.

Non-Qatari institutions’ net profit booking increased significantly to QR101.25mn against QR23.4mn on Wednesday.

Gulf institutions’ net selling also strengthened perceptibly to QR3.98mn compared to QR0.21mn the previous day.

However, domestic institutions’ net buying soared considerably to QR81mn against QR3.94mn on May 8.

Local retail investors’ net buying grew marginally to QR22.71mn compared to QR22.39mn on Wednesday.

Non-Qatari individuals turned net buyers to the tune of QR6.17mn against net sellers of QR2.05mn the previous day.

Gulf individuals were also net buyers to the extent of QR0.36mn compared with net profit takers of QR0.67mn on May 8.

Total trade volume grew 7% to 9.47mn shares, value by 20% to QR276.56mn and transactions by 35% to 6,145.

The insurance sector’s trade volume soared 31% to 0.17mn equities, value by 52% to QR5.96mn and deals by 4% to 161.

The realty sector reported a 27% surge in trade volume to 2.3mn stocks, 26% in value to QR30.06mn and 1% in transactions to 1,125.

The industrials sector’s trade volume shot up 6% to 3.43mn shares, value by 11% to QR77.29mn and deals by 3% to 1,939.

However, the market witnessed a 16% plunge in the transport sector’s trade volume to 0.31mn equities and 15% in value to QR7.66mn but on 9% jump in transactions to 158.

The consumer goods sector’s trade volume declined 5% to 0.2mn stocks, whereas value grew 29% to QR18.9mn and deals by 25% to 330.

The telecom sector saw a 4% fall in trade volume to 0.55mn shares but on a 53% growth in value to QR10.62mn and 18% in transactions to 367.

Although the banks and financial services sector’s trade volume was flat at 2.5mn equities, there was a 24% increase in value to QR126.06mn and deals by 35% to 2,065.

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