Doha: Qatar Exchange index gained 94.52 points or 0.70 percent when the bourse closed trading yesterday at 13,518.35 points. The market capitalisation increased to QR735.12bn from QR731.29bn registered on Tuesday.
Indices of all sectors entered the green zone, barring consumer goods and services sector, which went down 0.32 percent to 7,677.39 points. The insurance sector rebounded most, gaining 63.96 points or 1.65 percent from Tuesday’s position of 3,879.44 points. The transport sector moved up 1.32 percent to 2,410.7 points. Of the 43 companies listed, 22 advanced, 18 declined and two remained unchanged.
Qatar’s bourse was the only Gulf market to post gains. Doha usually attracts regional investors near the end of every calendar year as they look for stocks offering good dividends.
At 4.0 percent, according to Thomson Reuters data, Qatar has the third-highest expected 2014 dividend yield in the region, trailing Oman and Abu Dhabi. But Oman’s market is much smaller and less liquid while in Abu Dhabi a bulk of dividends comes from Etisalat whose shares can only be held by UAE citizens.
Also, bourse data showed strong foreign institutional buying in Doha, indicating some funds may have continued buying local stocks following the MSCI index review.
Other Gulf markets fell as uncertainty about oil prices prompted investors to sell stocks, while energy importer Egypt posted strong gains.
Brent crude traded below $79 a barrel after Saudi Arabia signalled it was unlikely to push for a major change in Opec oil output despite a collapse in prices. Saudi Arabia’s index fell 1.7 percent to 9,081 points, its lowest level since early March, as most shares declined. Saudi Basic Industries and National Commercial Bank each fell 1.1 percent. The market, however, closed well above its intraday low of 8,922 points, which would have been a 3.4 percent decline.
Dubai’s bourse dropped 2.5 percent after losing support from global funds which were buying several stocks on Tuesday because their weightings increased in MSCI’s emerging markets index.
Emaar Properties tumbled 5.3 percent to Dh10.75, falling below immediate support at Dh11.15 which was its November high until this week.
Abu Dhabi’s index fell 0.9 percent and First Gulf Bank was the main drag, dropping 2.4 percent after also losing support from one-off buying related to MSCI index adjustments.
Egypt’s index rose 1.3 percent in a broad rebound ahead of a central bank meeting widely expected to keep interest rates on hold to support economic growth.
QNA.Reuters
