Global growth concerns play spoilsport; index tanks 563 points, M-cap erodes QR31bn

Global growth concerns on apprehensions of weaker oil demand and China's fresh Covid-19 curbs played spoilsport in the global bourses, including the Qatar Stock Exchange, which saw its key index plunge 563 points and capitalisation erode more than QR31bn.An across the board selling, notably in the banking and transport counters, led the 20-stock Qatar Index plummet 4.1% this week which saw Industries Qatar give a go-ahead to its subsidiary Qatar Fertiliser to establish the world’s largest blue ammonia plant at an estimated cost of more than $1bn.The foreign institutions were seen net profit takers this week which saw Vodafone Qatar gets the first license from the Qatar Central Bank for electronic payment services.More than 89% of the traded constituents were in the red this week which saw Estithmar Holding unveil its Katara Hills hotel project.The Gulf institutions turned bearish this week which saw Qatar register 78% year-on-year jump in trade surplus in July 2022.The domestic institutions’ net buying weakened substantially this week which saw Qatar’s producers’ price index soar more than 50% year-on-year in July 2022.The Arab individuals’ net buying also shrank perceptibly this week which saw a total of 0.08mn Masraf Al Rayan-sponsored exchange traded fund QATR worth QR0.24mn trade across 33 deals.However, local retail investors turned net buyers this week which saw as many as 0.24mn Doha Bank-sponsored QETF valued at QR3.16mn change hands across 162 transactions.The overall trading turnover and volumes were on the decline in the main market this week, which saw the industrials and banking sectors together constitute more than 64% of the total trade volume.Market capitalisation eroded more than QR31bn or 4.12% to QR733.18bn, mainly on large and midcap segments this week, which saw no trading of sovereign bonds.In the case of venture market, both trade and turnover were on the decline this week which saw no trading of treasury bills in the main market.The Total Return Index tanked 4.1%, All Share Index by 3.97% and All Islamic Index by 3.46% this week, which saw Qatar’s maritime sector witness strong performance in August 2022.The banks and financial services sector index plummeted 4.82%, transport (4.68%), industry (3.47%), real estate (2.89%), insurance (1.76%), consumer goods and services (1.6%) and telecom (0.13%) this week.Major losers in the main market included Ezdan, Milaha, Qatar Islamic Bank, QNB, Mesaieed Petrochemical Holding, Industries Qatar, Commercial Bank, Qatar First Bank, Qatar National Cement, Qatar Industrial Manufacturing, Gulf International Services, Qatar Electricity and Water, Estithmar Holding, Barwa, Mazaya Qatar, Nakilat and Gulf Warehousing. In the venture market, both Al Faleh Educational Holding and Mekdam Holding saw their shares depreciate in value.Nevertheless, Qatari German Medical Devices, Zad Holding, Ahlibank Qatar, Ooredoo and Al Meera Consumer Goods were among the gainers in the main market this week.The foreign funds turned net sellers to the tune of QR32.37mn compared with net buyers of QR43.71mn the week ended August 25.The Gulf institutions were net sellers to the extent of QR24.65mn against net buyers of QR7.65mn the previous week.The domestic institutions’ net buying declined substantially to QR6.57mn compared to QR106.79mn a week ago.The Arab individuals’ net buying weakened perceptibly to QR16.63mn against QR21.84mn the week ended August 25.However, the local retail investors turned net buyers to the tune of QR26.35mn compared with net sellers of QR163.46mn the previous week.The foreign individuals were net buyers to the extent of QR8.16mn against net sellers of QR13.34mn a week ago.The Arab institutions’ net profit booking shrank notably to QR0.7mn compared to QR2.79mn the week ended August 25.Total trade volume in the main market rose 3% to 8640.92mn shares, value by 24% to QR3.67bn and deals by 17% to 94,975.In the venture market, trade volume were seen shrinking 30% to 0.88mn stocks, value by 26% to QR6.23mn and transactions by 20% to 346.