Global fears weigh on QSE sentiments; index tanks 182 points, M-cap erodes QR8bn

Reflecting the global sentiments on higher-than-expected inflation in the US and the re-imposition of lockdown in China, the Qatar Stock Exchange on Sunday saw its key index tank 182 points and capitalisation erode QR8bn.A higher-than-average selling pressure, especially at the banking counter, led the 20-stock Qatar Index fall 1.39% to 12,917.54 points, although it touched an intraday high of 13,013 points.About 76% of the traded constituents were in the red in the market, whose year-to-date gains were at 11.11%.The Gulf institutions were seen net profit takers in the bourse, whose capitalisation saw 1.06% erosion to QR724.55bn, mainly on the back of large and midcap segments.The Islamic index was seen declining slower than the other indices in the market, where the industrials sector alone constituted about 56% of the total trading volume.The foreign institutions’ substantially weakened net buying also had its influence in the bourse, which saw a total of 30,930 exchange traded funds (sponsored by Masraf Al Rayan and Doha Bank) valued at QR0.21mn changed hands across 14 deals.Nevertheless, the Arab individuals were seen net buyers in the market, which saw no trading of sovereign bonds.Total trade turnover and volumes were on the decline in the bourse, which saw no trading of treasury bills.The Total Return Index shed 1.39% to 26,459.32 points, the All Share Index by 1.18% to 4,118.19 points and the Al Rayan Islamic Index (Price) by 1.13% to 2,824.96 points.The banks and financial services sector index tanked 1.51%, industrials (1.09%), consumer goods and services (0.69%), transport (0.68%), real estate (0.6%) and insurance (0.42%); while telecom gained 0.11%.Major shakers in the main market included Commercial Bank, Qatar Islamic Bank, Qatar First Bank, Qatar Industrial Manufacturing, Baladna, Doha Bank, Masraf Al Rayan, Qatari German Medical Devices, Industries Qatar, Qamco, Qatari Investors Group, QLM, Ezdan and United Development Company. In the venture market, both Al Faleh Educational Holding and Mekdam Holding saw their shares depreciate in value.Nevertheless, Gulf International Services, Mannai Corporation, Gulf Warehousing, Qatar National Cement, Widam Food and United Development Company were among the gainers in the main market.The Gulf institutions turned net sellers to the tune of QR10.52mn compared with net buyers of QR22.94mn on June 9.The foreign institutions’ net buying decreased significantly to QR19.24mn against QR51.27mn the previous trading day.However, the Arab individuals were net buyers to the extent of QR11.13mn compared with net sellers of QR3.88mn last Thursday.Qatari individuals turned net buyers to the tune of QR4.04mn against net sellers of QR26.68mn on June 9.The foreign individuals’ net buying expanded marginally to QR2.49mn compared to QR2.09mn the previous trading day.The domestic funds’ net selling weakened markedly to QR25.83mn against QR45.33mn last Thursday.The Gulf individuals’ net profit booking eased perceptibly to QR0.55mn compared to QR0.84mn on June 9.The Arab institutions had no major net exposure against net buying to the tune of QR0.04mn the previous trading day.Total trade volume in the main market fell 20% to 145.97mn shares, value by 30% to QR479.65mn and transactions by 35% to 11,507.There was a 71% plunge in the transport sector’s trade volume to 3.76mn equities, 72% in value to QR21.62mn and 56% in deals to 630.The insurance sector’s trade volume plummeted 69% to 2.12mn stocks, value by 67% to QR6.68mn and transactions by 80% to 114.The market witnessed a 62% shrinkage in the real estate sector’s trade volume to 8.67mn shares, 56% in value to QR11.97mn and 56% in deals to 400.The banks and financial services sector’s trade volume tanked 38% to 25.11mn equities, value by 37% to QR171.33mn and transactions by 31% to 5,307.The telecom sector reported a 30% contraction in trade volume to 4.02mn stocks, 55% in value to QR10mn and 66% in deals to 380.However, the consumer goods and services sector’s trade volume soared 61% to 21.26mn shares and value by 18% to QR44.68mn, whereas transactions shrank 29% to 798.The industrials sector saw less than 1% rise in trade volume to 81.02mn equities but on 3% fall in value to QR213.36mn and 20% in deals to 3,878.In the venture market, trade volumes dipped 54.05% to 0.34mn stocks, value by 50.43% to QR2.33mn and transactions by 36.25% to 153.