US Tariff Tension Weaken QSE Sentiments as Index Falls 61 Points; M-Cap Melts QR3.28bn

The continuing US tariff tension played spoilsport in the Qatar Stock Exchange (QSE), which saw an across the board selling, leading to 61 points decline in the key index and more than QR3bn erosion in capitalisation.

The foreign funds were seen net profit takers as the 20-stock Qatar Index shed 0.56% to 10,769.65 points, although it touched an intraday high of 10,822 points.

The transport and telecom counters witnessed higher than average selling pressure in the main market, whose year-to-date gains truncated to 1.88%.

More than 60% of the traded constituents were in the red in the main bourse, whose capitalisation melted QR3.28bn or 0.51% to QR636.64bn mainly on small and microcap segments. 

The domestic institutions turned bearish in the main market, which saw mere 598 exchange traded funds (sponsored by AlRayan Bank) valued at QR1,358 trade across one deal.

The foreign individuals were seen net sellers but with lesser intensity in the main bourse, whose trade turnover grew amidst lower volumes.

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

However, the local retail investors turned net buyers in the main bourse, which saw as many as 0.1mn sovereign bonds valued at QR1.05bn change hands across two transactions.

The Total Return Index shed 0.56% and the All Islamic Index by 0.35% and the All Share Index by 0.52% in the main market.

The transport sector index shrank 0.81%, telecom (0.68%), banks and financial services (0.56%), insurance (0.41%), industrials (0.39%), consumer goods and services (0.3%) and real estate (0.29%). 

Major losers in the main market included Meeza, Qatar Cinema and Film Distribution, Mannai Corporation, Qatar Oman Investment, Doha Bank, Qatar Islamic Bank, Al Faleh Educational Holding, Industries Qatar, Ezdan, Barwa, Ooredoo, Vodafone Qatar, Nakilat and Gulf Warehousing. In the junior bourse, Techno Q saw its shares depreciate in value.

Nevertheless, Ahlibank Qatar, Estithmar Holding, Al Mahhar Holding, Al Meera and Widam Food were among the gainers in the main market.

The foreign institutions turned net sellers to the tune of QR12.97mn compared with net buyers of QR27.43mn the previous day.

The domestic funds were net profit takers to the extent of QR12.5mn against net buyers of QR1.74mn on July 11.

The foreign individual investors turned net sellers to the tune of QR0.39mn compared with net buyers of QR1.48mn on Sunday.

However, the Gulf institutions turned net buyers to the tune of QR17.08mn against net sellers of QR2.06mn the previous day.

The Qatari individuals were net buyers to the extent of QR9.24mn compared with net sellers of QR23.72mn on July 11.

The Arab individuals’ net profit booking weakened substantially to QR0.44mn against QR3.74mn on Sunday.

The Gulf retail investors’ net selling decreased noticeably to QR0.02mn compared to QR1.12mn the previous day.

The Arab institutions had no major net exposure for the fourth consecutive session. The main market saw 3% shrinkage in trade volumes to 101mn shares but on 24% jump in value to QR345.69mn and 57% in deals to 20,634.

In the venture market, a total of 0.23mn equities valued at QR0.63mn changed hands across 27 transactions.