Earnings Expectations Lift QSE 112 Points; M-Cap Adds QR5.86bn

Earnings expectations, especially of the blue-chip underlying companies, Thursday masked the apprehensions on sustained high interest rates in the short to medium term as the Qatar Stock Exchange closed more than 112 points higher and capitalisation added about QR6bn.

The foreign funds were increasingly net buyers as the 20-stock Qatar Index soared 1.01% to 10,261.62 points, recovering from an intraday low of 11,135 points.

The telecom and banking counters witnessed higher than average demand in the main market, whose year-to-date gains improved further to 6.53%.

The Gulf institutions were increasingly bullish in the main bourse, whose capitalisation added QR5.86bn or 0.88% to QR668.3bn mainly on large and midcap segments.

The Arab individuals’ weakened net selling had its influence on the main market, which saw a total of 1,200 exchange traded funds (sponsored by Doha Bank) valued at QR0.01mn trade across one deal.

The Gulf institutions continued to be net buyers but with lesser intensity in the main bourse, whose trade turnover and volumes were on the decline.

The Islamic index was seen gaining slower than the main barometer of the main market, which saw no trading of treasury bills.

The local retail investors were increasingly seen net profit takers in the main bourse, which saw no trading of sovereign bonds.

The Total Return Index shot up 1.01%, the All Islamic Index by 0.92% and the All Share Index by 0.89% in the main market.

The telecom sector index surged 3.29%, banks and financial services (1.19%), insurance (0.38%), industrials (0.37%) and consumer goods and services (0.05%); while transport and real estate declined 0.3% and 0.13% respectively.

Major gainers in the main market included Ooredoo, Qatar General Insurance and Reinsurance, Qatar Islamic Bank, Commercial Bank, Medicare Group, Ahlibank Qatar, AlRayan Bank, Salam International Investment, Baladna and Estithmar Holding.

In the junior bourse, Techno Q saw its shares appreciate in value.

Nevertheless, Vodafone Qatar, Mekdam Holding, Al Khaleej Takaful, QIIB, Mannai Corporation and Milaha were among the shakers in the main market.

The foreign institutions’ net buying increased substantially to QR84.81mn compared to QR22.1mn the previous day.

The Gulf institutions’ net buying expanded significantly to QR10.57mn against QR3.31mn on July 30.

The Arab retail investors’ net profit booking eased marginally to QR3.14mn compared to QR4.13mn on Wednesday.

However, the Qatari individuals’ net selling strengthened considerably to QR60.21mn against QR31.16mn the previous day.

The domestic institutions turned net sellers to the tune of QR31.08mn compared with net buyers of QR7.7mn on July 30.

The Gulf individual investors were net sellers to the extent of QR1.63mn against net buyers of QR0.15mn on Wednesday.

The Arab institutions turned net profit takers to the tune of QR0.05mn compared with no major net exposure the previous day.

The foreign retail investors’ net buying weakened perceptibly to QR0.71mn against QR2.03mn on July 30.

The main market saw a 73% surge in trade volumes to 193.61mn shares and value more than doubled to QR621.55mn on 35% jump in deals to 21,682.

In the venture market, a total of 0.03mn equities valued at QR0.08mn changed hands across 10 transactions.