DOHA: Qatari stocks fell by 1.13 percent as blue chips declined and three sector indices ended flat. The benchmark index dipped to 12,400 levels in the intraday trading before settling at 12,612 points.
Banking major QNB declined by 3.11 percent and QIB fell 3.69 percent. Vodafone Qatar edged 2.24 percent down. Market cap decreased by QR8bn.
Total traded value declined to QR682m from the previous session’s QR716m. Traded volume slipped to 10 million shares from 12 million shares. Total transactions fell to 6,698 from 7,318 deals.
The value of real estate stocks plunged to QR81m from the previous session’s QR177m. Insurance sector’s value declined to QR5m from QR7mn. However, the market was up 21.51 percent up year-to-date. “Though Qatar has been pretty soft in the last week, it is still one of the best performing markets in the Gulf year-to-date,” Reuters quoted Akber Khan, director of asset management at Al Rayan Investment in Doha as saying. “Given this, much of the current weakness is about investors locking in profits in stocks they are still able to, as opposed to crystalising losses.”
Qatar’s benchmark is up 21.5 percent this year, second only to Dubai which has gained 24.2 percent. Oil price moves will dominate investors’ attention and it might take a while before the market finds a new equilibrium. “Many investors are waiting to see where oil prices stabilise and for governments to announce budgets for the next fiscal year before they reassess valuations,” Khan said.
Elsewhere, most Middle East bourses slipped as oil market turbulence kept equity investors cautious, although blue chips lifted Saudi Arabia’s index and energy importer Egypt rebounded following a wave of profit-taking. Saudi index rose 0.7 percent, while Kuwait slipped 0.1 percent and Oman lost 0.2 percent. Bourses in the UAE were closed for a national holiday.
The Peninsula/Agencies
