Heightened global apprehensions over hardening inflation and interest rates had the ripple effect on the Qatar Stock Exchange, which saw plummet lose 809 points in key index and QR46bn in capitalisation this week.
The domestic funds were seen hurriedly squaring off their position as the 20-stock Qatar Index plunged 6.44% this week which saw His Highness the Amir Sheikh Tamim bin Hamad al-Thani outline a strong 4.9% growth projection for this year at the recently concluded Qatar Economic Forum, powered by Bloomberg.
About 33% of the traded constituents were seen touching the 52-week low this week which saw the Finance Minister HE Ali bin Ahmed al-Kuwari stress that the country’s present inflation is mainly imported but government has put in place measures to deal with this "momentary pressure".
An across the board selling – particularly in the industrials, real estate, consumer goods and transport – dragged the market this week which saw HE the Qatar Central Bank (QCB) governor Sheikh Bandar bin Mohamed bin Saoud al-Thani affirm that it has enough tools to contain inflation.
The Gulf institutions were increasingly net profit takers this week which saw the International Monetary Fund (IMF) view that the North Field expansion project has the potential to lift the growth by 5.7% cumulatively and add around 3.5% of gross domestic product in export receipts per year by 2027.
About 96% of the traded constituents were in the red this week which saw Wasata Financial Securities’ announcement that it will start market making activity for Baladna, starting from June 29, 2022.
Nevertheless, the foreign institutions were increasingly net buyers this week which saw the IMF view that the impending FIFA World Cup to drastically lift the prospects for Qatar's tourism, transport, hospitality and catering sectors in view of the high footfalls expected this year.
The local retail investors were seen bullish this week which saw the IMF ask Qatar to accelerate structural reforms and leverage global trends, such as digitalisation and climate actions, to build a more inclusive, diversified, and greener economy.
The Gulf individuals were also seen increasingly into net buying this week which saw a total of 1.49mn Masraf Al Rayan-sponsored exchange traded fund QATR worth QR3.84mn trade across 191 deals.
The Arab individuals continued to be net buyers but with lesser intensity this week which saw as many as 0.2mn Doha Bank-sponsored QETF valued at QR1mn change hands across 28 transactions.
The overall trading turnover declined amidst higher volumes in the main market this week, which saw the industrials and banking sectors together constitute more than 69% of the total trade volume.
Market capitalisation was seen eroding more than QR46bn or 6.53% to QR659.72n, mainly on large and midcap segments this week, which saw no trading of sovereign bonds and treasury bills.
The Total Return Index tanked 6.44%, All Islamic Index by 8.33% and All Share Index by 5.73% this week.
The industrials sector plummeted 12.28%, real estate (8.9%), consumer goods and services (7.89%), transport (6.71%), telecom (3.55%), banks and financial services (2.68%) and insurance (2.51%) this week.
Major shakers in the main market included Qatari German Medical Devices, Estithmar Holding, Salam International Investment, Qamco, Alijarah Holding, Doha Bank, QIIB, Masraf Al Rayan Bank, Qatar First Bank, Baladna, Industries Qatar, Gulf International Services, Mesaieed Petrochemical Holding and Mazaya Qatar. In the venture market, both Al Faleh Educational Holding and Mekdam Holding saw their shares depreciate in value this week.
Nevertheless, Qatar Islamic Bank made gains this week which saw the QFB to finance a Qatari consortium of investors that aims to participate in the acquisition of a 10.8% stake in Ennismore, one of the world’s largest and fastest growing lifestyle hospitality company majority owned by international hospitality conglomerate group, Accor.
In the main market, the industrials sector accounted for 45% of the total trade volume, banks and financial services (24%), consumer goods and services (14%), real estate (10%), transport and telecom (3% each) and insurance (1%) this week.
In terms of value, the banks and financial sector’s share was 43%, industrials (37%), consumer goods and services (8%), transport and realty (4% each), telecom (2%) and insurance (1%) this week.
The domestic funds’ net selling grew substantially to QR405.52mn compared to QR209.99mn the week ended June 16.
The Gulf institutions’ net profit booking rose markedly to QR31.83mn against QR23.13mn the previous week.
The Arab individuals’ net buying declined significantly to QR2.97mn compared to QR24.36mn a week ago.
However, the foreign funds’ net buying grew noticeably to QR267.55mn against QR242.74mn the week ended June 16.
Qatari individuals turned net buyers to the tune of QR148.52mn compared with net sellers of QR40.76mn the previous week.
The foreign individuals’ net buying expanded perceptibly to QR9.29mn against QR1.82mn a week ago.
The Gulf individuals’ net buying shot up markedly to QR4.59mn compared to QR2.1mn the week ended June 16.
The Arab institutions’ net buying rose notably to QR4.45mn against QR2.87mn the previous week.
Total trade volume in the main market rose 3% to 983.51mn shares, while value fell 36% to QR3.13bn and transactions by 28% to 80,764.
The industrials sector’s trade volume shot up 15% to 444.84mn equities, value by 15% to QR1.15bn and deals by less than 1% to 24,445.
The consumer goods and services sector reported 38% surge in trade volume to 139.93mn stocks but on 15% slump in value to QR262.99mn amidst 2% higher transactions at 7,055.
The telecom sector’s trade volume soared 23% to 26.16mn shares, while value shed 25% to QR72.48mn and deals by 48% to 2,829.
The market witnessed 7% jump in the real estate sector’s trade volume to 102.66mn equities but on 21% contraction in value to QR128.88mn and 25% in transactions to 3,893.
However, the banks and financial services sector’s trade volume plummeted 37% to 234.34mn stocks, value by 57% to QR1.35bn and deals by 41% to 36,995.
There was a 30% plunge in the insurance sector’s trade volume to 8.26mn shares, 17% in value to QR27.26mn and 38% in transactions to 889.
The transport sector’s trade volume tanked 22% to 27.33mn equities, value by 23% to QR128.41mn and deals by 9% to 4,658.
The venture market reported 32.89% expansion in trade volumes to 1.98mn stocks, 30.06% in value to QR12.72mn and 23.24% in transactions to 684.