Foreign Funds Boost QSE Sentiments as Index Edges Up; Islamic Equities Outperform

The Qatar Stock Exchange yesterday saw foreign funds turn bullish as its key barometer gained as much as 29 points, a day after the Qatar Central Bank reduced key rate, following the move by the US Federal Reserve.

The telecom, insurance and transport counters witnessed higher than average demand as the 20-stock Qatar Index rose 0.26% to 10,956.78 points. 

The market, which saw a rollercoaster ride throughout the session, had touched an intraday low of 10,925 points.

The Arab individuals were seen bullish in the main market, whose year-to-date gains improved further to 3.65%.

The Gulf funds continued to be net buyers but with lesser intensity in the main bourse, whose capitalisation added QR1.62bn or 0.25% to QR654.74bn, mainly on small cap segments.

The domestic institutions were seen increasingly net profit takers in the main market, which saw as many as 230 exchange traded funds (sponsored by AlRayan Bank) valued at QR530 trade across three deals.

The local retail investors were also increasingly net sellers in the main bourse, whose trade turnover and volumes were on the rise.

The Islamic index was seen outperforming the other indices of the main market, which saw no trading of treasury bills.

The foreign retail investors were seen bearish in the main bourse, which saw no trading of sovereign bonds.

The Total Return Index rose 0.26%, the All Share Index by 0.23% and the All Islamic Index by 0.32% in the main market.

The telecom sector index shot up 2.68%, insurance (1.2%), transport (0.42%), real estate (0.27%) and banks and financial services (0.11%); while industrials declined 0.24% and consumer goods and services 0.09%.

As many as 24 stocks gained, while 24 declined and four were unchanged.

Major gainers in the main market included QLM, Qatar Islamic Insurance, Ooredoo, Al Khaleej Takaful, Qatar Insurance, Gulf International Services and Nakilat.

Nevertheless, Qatar General Insurance and Reinsurance, Meeza, Inma Holding, Lesha Bank, Al Mahhar Holding, Industries Qatar and Qamco were among the shakers in the junior bourse.

The foreign institutions turned net buyers to the tune of QR30.79mn compared with net sellers of QR8.65mn the previous day.

The Arab retail investors were net buyers to the extent of QR1.77mn against net sellers of QR1.5mn on October 29.

However, the domestic institutions’ net selling increased substantially to QR44.43mn compared to QR19.25mn on Wednesday.

The local individual investors’ net selling expanded significantly to QR30.14mn against QR22.12mn the previous day.

The foreign individuals turned net sellers to the tune of QR7.86mn compared with net buyers of QR1.25mn on October 29.

The Gulf individual investors’ net profit booking increased marginally to QR0.28mn against QR0.06mn on Wednesday.

The Gulf institutions’ net buying decreased marginally to QR50.17mn compared to QR50.33mn the previous day.

The Arab institutions had no major net exposure for the fifth straight session.

The main market saw a 6% jump in trade volumes to 113.32mn shares, 22% surge in value to QR365.17mn and 27% in deals to 25,070.

In the venture market, a total of 0.02mn equities valued at QR0.05mn changed hands across three transactions.