Domestic, Gulf Funds Drag QSE More Than 100 Points; M-Cap Erodes QR6bn

The Qatar Stock Exchange on Monday tanked more than 100 points, mainly dragged by telecom and banking sectors.

The domestic funds were increasingly net profit takers as the 20-stock Qatar Index shrank 0.76% to 13,038.02 points, although it touched an intraday high of 13,242 points.

The Gulf institutions were seen net sellers in the market, whose year-to-date gains were truncated to 12.15%.

About 49% of the traded constituents were in the red in the bourse, whose capitalisation declined QR5.74bn or 0.78% to QR727.03bn mainly on small and microcap segments.

The Islamic index was seen declining slower than the other indices in the market, which saw a total of 5,000 exchange traded funds (sponsored by Doha Bank) valued at QR0.06mn changed hands across four deals.

Trade turnover grew amidst lower volumes in the main market, while the venture market saw rising turnover and volumes.

The foreign institutions’ weakened net buying interests also had its influence in the bourse, which saw no trading of sovereign bonds.

Similarly, the Arabic individuals’ net buying also weakened in the market, which saw no trading of treasury bills.

The Total Return Index shed 0.76% to 26,706.1 points, All Share Index by 0.83% to 4,132.76 points and Al Rayan Islamic Index (Price) by 0.11% to 2,889.86 points.

The telecom sector index tanked 1.95%, banks and financial services (1.57%), realty (0.69%) and industrials (0.25%); while transport gained 1.18%, consumer goods and services (1.06%) and insurance (0.4%).

Major losers in the main market included Ooredoo, Mannai Corporation, QNB, Commercial Bank, Gulf Warehousing, Qatar Islamic Bank, Gulf International Services, Qamco, Barwa, Vodafone Qatar and Nakilat. In the venture market, Mekdam Holding saw its shares depreciate in value.

Nevertheless, Milaha, Ezdan, Woqod, Qatari Investors Group, Qatar Islamic Insurance and Estithmar Holding were among the gainers in the main market. In the junior bourse, Al Faleh Educational Holding saw its shares appreciate in value.

The domestic institutions’ net selling increased substantially to QR49.99mn compared to QR21.24mn on September 4.

The Gulf institutions turned net sellers to the tune of QR2.81mn against net buyers of QR11.96mn the previous day.

The Gulf retail investors were net sellers to the extent of QR1.73mn compared with net buyers of QR2.9mn on Sunday.

The foreign institutions’ net buying weakened significantly to QR20.52mn against QR77.58mn on September 4.

The Arab individuals’ net buying eased noticeably to QR4.52mn compared to QR6.38mn the previous day.

However, Qatari individuals turned net buyers to the extent of QR25.54mn against net sellers of QR76.37mn on Sunday.

The foreign individuals were also net buyers to the tune of QR3.94mn compared with net sellers of QR0.84mn on September 4.

The Arab institutions had no major net exposure against net profit takers to the tune of QR0.37mn the previous day.

Total trade volume in the main market fell 2% to 138.37mn shares, while value jumped 14% to QR514.25mn and deals by 82% to 20,964.

In the venture market, there was 73% expansion in trade volumes to 0.26mn equities and 79% in value to QR2.04mn on more than quadrupled transactions to 148.