The Qatar Stock Exchange (QSE) closed in the negative this week, which otherwise featured international interventions to diffuse the oil war.
Domestic funds were seen bearish this week which saw the QSE-listed companies cumulatively report QR38.57bn net profit for the year ended 2019.
Foreign and Arab funds were otherwise seen net buyers this week which saw Al Meera Consumer Goods Company replace Gulf International Services Company in the QSE’s main barometer from April 1.
Local retail investors were increasingly net profit takers this week which saw Washington-based the Institute of International Finance say post Covid-19, Qatar's real economy is slated to witness slowdown in 2020; but inflation-adjusted growth will be higher than the world and Middle East and North Africa average.
Consumer goods, telecom and real estate counters witnessed higher than average selling as the 20-stock Qatar Index settled 0.25% lower this week which saw Qatar's producers' price index shrink 10.6% year-on-year in December 2019.
Transport and banking counters witnessed higher than average selling pressure as the 20-stock Qatar Index settled 1.14% lower this week, which saw Moody's, an international credit rating agency, say Qatari banks are well capitalised and profitable; reflecting the solid base to absorb unexpected losses in view of weak oil prices and the pandemic Covid-19.
Local and non-Qatari individual investors continued to be net profit takers but with lesser vigour this week which saw more than 51% of the traded constituents were in the red.
The market had seen stupendous fall on Monday on apprehensions over prolonged lockdown by various governments in view of the pandemic, but witnessed strong gains on the last day, taking cues from the global markets on reports of international pressure to end the oil price war.
The consumer goods index tanked 3.61%, telecom (2.88%) and realty (0.95%); while banks and financial services gained 0.81%, insurance (0.8%), transport (0.35%) and industrials (0.01%) this week which saw as many as 645,981 Masraf Al Rayan sponsored exchange traded funds QATR worth QR1.19mn change hands across 34 transactions.
Trade turnover and volumes were on the decline this week which saw a total of 4,680 Doha Bank sponsored QETF worth QR40,080 changed hands across six deals.
More than 65% of the traded constituents were in the red with major losers being Qatar Islamic Bank, Commercial Bank, Doha Bank, Ahlibank Qatar, Alijarah Holding, Dlala, Qatar Oman Investment, Qatar German Company for Medical Devices, Medicare Group, Woqod, Widam Food, Qatari Investors Group, Aamal Company, Mesaieed Petrochemical Holding, Al Khaleej Takaful, Qatar General Insurance and Reinsurance, Ezdan, Barwa and Ooredoo.
However, QNB, QIIB, Masraf Al Rayan, al khaliji, Salam International Investment, Qatar Insurance and United Development Company were among the gainers this week which saw the Gulf institutions’ net profit booking pressure.
Market capitalisation saw QR78mn or 0.78% fall to QR478.18bn mainly dragged by microcap segments this week which saw Shariah stocks seen declining slower than the main barometer.
The Total Return Index was down 0.25% and Al Rayan Islamic Index by 0.19%, while All Share Index rose 0.11% this week which saw industrials, banking and real estate sectors together constitute more than 72% of the total trading volume.
The industrials sector accounted for 26% of the total volume, banks and financial services (24%), real estate (23%), consumer goods (15%), telecom (7%), transport (4%) and insurance (2%) this week.
In value, banks and financial services’ share was 50%, industrials (15%), consumer goods (11%), realty (10%), telecom (9%), transport (3%) and insurance (1%) this week.
Local retail investors' net selling increased substantially to QR24.58mn compared to QR18.66mn a week ago.
Domestic funds turned net sellers to the tune of QR17.23mn against net buying of QR169.16mn the previous week.
However, foreign funds turned net buyers to the extent of QR27.92mn compared with net sellers of QR145.21mn a week ago.
Non-Qataris were also net buyers to the tune of QR13.89mn against net profit takers of QR5.15mn the previous week.
Total trading volume fell 4% to 501.41mn shares, value by 4% to QR1.34bn and transactions by 8% to 38,178.
The transport sector’s trade volume plummeted 38% to 18.91mn equities, value by 51% to QR45.36mn and deals by 47% to 1,185.
There was 37% plunge in the real estate sector’s trade volume to 114.39mn stocks, 21% in value to QR131.2mn and 20% in transactions to 3,841.
The banks and financial services sector’s trade volume tanked 11% to 118.46mn shares, value by 8% to QR665.46mn and deals by to 15,151.
However, the market witnessed 54% surge in the telecom sector’s trade volume to 34.83mn equities, 29% in value to QR119.83mn and 34% in transactions to 5,227.
The industrials sector’s trade volume soared 41% to 129.07mn stocks and value by 6% to QR205.36mn, while deals were down 5% to 7,840.
The consumer goods sector reported 39% increase in trade volume to 76.7mn shares, value by 40% to QR151.35mn and transactions by 19% to 3,927.