Selling pressure from domestic funds extends bear run on QSE

Increased selling pressure from domestic funds yesterday extended the bearish run on the Qatar Stock Exchange for the second straight session.

The industrials, telecom and banking counters witnessed higher than average selling pressure as the 20-stock Qatar Index closed 0.11% lower at 10,274.56 points.

Gulf individuals and funds were increasingly net profit takers in the market, whose key benchmark is down 0.24% year-to-date.

Market capitalisation saw QR66mn, or 0.12%, decline to QR568.54bn mainly owing to microcap segments.

Islamic equities however saw gains vis-a-vis declines in the other indices in the market, where non-Qatari institutions were increasingly bullish.

Trade turnover grew amidst lower volumes in the bourse, where the industrials and banking sectors together accounted for about 67% of the total volume.

The Total Return Index fell 0.11% to 18,906.05 points and the All Share Index by 0.09% to 3,032.12 points, while the Al Rayan Islamic Index (Price) rose 0.19% to 2,306.06 points.

The industrials index declined 0.26%, telecom (0.21%), banks and financial services (0.15%) and transport (0.03%); whereas real estate gained 0.38%, insurance (0.35%) and consumer goods (0.23%).

More than 64% of the traded constituents were in the red with major losers being Industries Qatar, Ooredoo, Milaha, QNB, Qatar Islamic Bank, Qatari German Company for Medical Devices and Mesaieed Petrochemical Holding; even as Dlala, Aamal Company, Gulf International Services, Ezdan, United Development Company, Mazaya Qatar, Gulf Warehousing, Doha Bank and Masraf Al Rayan were among the gainers. Domestic funds’ net selling increased substantially to QR39.92mn compared to QR12.51mn on

November 6.

Gulf individuals’ net profit booking grew perceptibly to QR5.16mn against QR3.86mn the previous day.

Gulf institutions’ net selling strengthened marginally to QR4.9mn compared to QR4.83mn on Wednesday.

Non-Qatari individuals turned net sellers to the tune of QR3.78mn against net buyers of QR0.76mn on November 6.

However, non-Qatari funds’ net buying expanded significantly to QR54.15mn compared to QR24.71mn the previous day.

Local retail investors’ net profit booking shrank noticeably to QR0.38mn against QR4.26mn on Wednesday.

Total trade volume fell 30% to 62.49mn shares, while value rose 31% to QR211.35mn and transactions by 33% to 5,782.

The consumer goods sector’s trade volume plummeted 79% to 5.45mn equities, value by 27% to QR24.27mn and deals by 1% to 714. There was a 49% plunge in the real estate sector’s trade volume to 6.11mn stocks, 57% in value to QR5.81mn and 8% in transactions to 303.

The banks and financial services sector’s trade volume was down 8% to 19.43mn shares, while value soared 95% to QR117.62mn and deals by 69% to 2,030.

However, the telecom sector saw a 22% surge in trade volume to 2.18mn equities and 26% in value to QR9mn on more than tripled transactions to 1,068.

The transport sector’s trade volume soared 15% to 1.28mn stocks and value by 5% to QR3.95mn, while deals were down 10% to 122.

There was a 5% jump in the industrials’ sector’s trade volume to 22.34mn shares and 25% in value to QR36.63mn but on an 11% fall in transactions to 1,222.

The insurance’s sector’s trade volume was up 1% to 5.7mn equities and value by 4% to QR14.06mn on flat deals at 323.

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

The industrials, telecom and banking counters witnessed higher than average selling pressure yesterday as the 20-stock Qatar Index closed 0.11% lower at 10,274.56 points.