Domestic and foreign institutions together bought equities worth QR132mn (net) to substantially lift the Qatar Exchange (QE), making it the best performer among the Gulf bourses during the week.
More than 70% of the equities witnessed appreciation in the week that saw international equity index compiler Standard and Poor's-Dow Jones decide to upgrade the QE into 'emerging' market from 'frontier' status; four months after MSCI came out with a similar decision.
There was about QR11bn addition to capitalisation in the week that saw QE 20-stock Qatar Index (based on price data) gain 1.92%.
Industrials sector outperformed the major indices during the week, which otherwise witnessed Saudi Arabia shed 1.55%, Abu Dhabi (0.95%), Kuwait (0.1%) and Bahrain (0.09%); while Dubai and Muscat gained 0.42% and 0.1% respectively.
Local and non-Qatari retail investors were seen booking profit in QE during the week that saw Qatar's bourse being granted full membership in World Federation of Exchanges.
The 20-stock Total Return Index rose 1.92%, All Share Index (comprising wider constituents) by 1.8% and Al Rayan Islamic Index by 1.15% in the week that saw the listed companies report 6.67% jump in cumulative net profit in the first nine months of this year.
QE had reported 17.69% gains year-to-date (YTD), which, however, was lower than Dubai's 80.1% surge, Abu Dhabi (46.18%), Kuwait (33.91%) and Saudi Arabia (18.28%). Muscat and Bahrain were up 15.85% and 12.78% respectively.
There overall market liquidity which was largely skewed towards banking, realty and consumer goods rose marginally mainly on faster growth in volumes in the insurance and real estate stocks in the week.
The sector prospects were rather downcast, especially on weak outlook on the transport, banking and industrials equities in the week.
Of the 42 stocks, 29 advanced; while 11 declined and one was unchanged. Another one was not traded in the week.
Among the major gainers were Industries Qatar (IQ), QNB, Gulf International Services, Barwa, Ezdan Real Estate, Nakilat, United Development Company (UDC), Milaha and Doha Bank; even as Mazaya Qatar, Widam Food, Salam International Investment, Qatar General Insurance and Reinsurance and Doha Insurance bucked the trend in the week.
Industrials equities appreciated the maximum of 3.1%, followed by banks and financial services (1.77%), transport (1.41%), realty (0.97%), telecom (0.65%), consumer goods (0.41%) and insurance (0.29%).
All of the eight industrials, seven of the 12 banking, four of the eight consumer goods; three each of the four real estate and the three transport and two each of the five insurers and the two telecom stocks closed higher in the week.
Market capitalisation expanded 2.03% to QR533.11bn. Large caps rose more than 2% and mid caps in excess of 1% in the review week.
Small, mid and large caps have gained YTD 24.2%, 19.04% and 15.26% respectively; whereas micro caps fell 5.71%.
Domestic institutions turned bullish as they were net buyers to the tune of QR46.76mn against net sellers of QR70.9mn the previous week.
Foreign institutions were also bullish that they were net buyers to the extent of QR85.38mn compared with net sellers of QR40.86mn the week ended October 24.
However, Qatari individual investors turned bearish as they were net sellers to the tune of QR107.02mn against net buyers of QR26.14mn the previous week.
Non-Qatari retail investors were also profit takers that they were net sellers to the extent of QR25.12mn compared with net buyers of QR85.62mn the week ended October 24.
Indicating higher liquidity, total trading volume rose 2% to 34.95mn shares with the real estate sector accounting for 42.06% of the total, followed by banks and financial services (17.97%), consumer goods (14.42%), industrials (10.36%), insurance (6.78%), transport (5.75%) and telecom (2.66%).
The insurance sector's trading volume shot up 76% to 2.37mn shares, realty by 58% to 14.7mn and telecom by 1% to 0.93mn; whereas consumer goods' shrank 34% to 5.04mn, industrials by 27% to 3.62mn, banks and financial services by 19% to 6.28mn and transport by 13% to 2.01mn.
Reflecting weaker expected prospects, total stocks trading value fell 3% to QR1.45bn with the industrials stocks accounting for 23.27% of the total, followed by banking (23.22%), real estate (22.32%), consumer goods (16.67%), insurance (8.55%), transport (3.82%) and telecom (2.16%).
The transport sector's stocks trading value plunged 39% to QR55.53mn, banks and financial services by 21% to QR337.24mn, telecom by 19% to QR31.3mn, industrials by 13% to QR337.86mn and consumer goods by 5% to QR242mn; while insurance's surged 61% to QR124.11mn and realty by 45% to QR324.08mn.
IQ led the trading value with its equities accounting for 15.45% of the total value, followed by UDC (14.79%) and the Medicare Group (10.18%).
Total market transactions was up less than 1% to 15,267 with the banks and financial services sector's share at 25.96%, followed by industrials (22.64%), real estate (20.88%), consumer goods (14.03%), transport (7.31%), telecom (4.8%) and insurance (4.38%).
The telecom sector's deals expanded 57% to 733; realty by 31% to 3,188 and transport by 2% to 1,116; whereas those of consumer goods' tanked 21% to 2,142; banks and financial services by 6% to 3,964; industrials by 5% to 3,456 and insurance by less than 1% to 668.
In the debt market, there was no trading of treasury bills and bonds.
© Gulf Times 2013
