Apprehensions over further Covid-19 restrictions had its ripple effect on the global bourses, including the Qatar Stock Exchange this week, which otherwise saw domestic institutions and the Gulf individuals turn bullish.
The Gulf institutions witnessed increased buying interests amidst an overall bearish trend in the exchange this week, which saw Commercial Bank post QR1.3bn net profit in 2020.
A substantial fall in net selling pressure of the local retail investors notwithstanding, the 20-stock Qatar Index plummeted 192 points or 1.79% this week, which saw Al Khaliji post QR683mn net profit in 2020.
About 79% of the traded constituents were in the red this week, which saw Qatar's share in the overall Middle East trade expected to significantly increase with the robust technological infrastructure supporting the Hamad Port's second container terminal.
An across the board selling, especially in the real estate and transport sectors, was instrumental in dragging the bourse this week, which saw Qatar's commercial banks’ total domestic credit grow more than 9% in December 2020.
The foreign institutions continued to be net buyers but with lesser intensity this week, which saw a total of 305,736 Masraf Al Rayan-sponsored exchange traded fund QATR valued at QR738,448 change hands across 43 transactions.
Market capitalisation saw about QR10bn, or 1.6%, decline to QR612.51bn, mainly on mid and small cap segments this week, which saw a total of 25,541 Doha Bank-sponsored QETF valued at QR269,326 traded across six deals.
The Islamic equities were seen declining slower than the conventional ones this week, which saw the Arab funds and retail investors turn net profit takers.
Foreign institutions’ net buying fell substantially to QR66.93mn compared to QR218.24mn the week ended January 21.
The Arab institutions turned net sellers to the tune of QR9.53mn against net buyers of 0.08mn the previous week.
The Arab individuals were also net sellers to the extent of QR7.47mn compared with net buyers of QR8.7mn a week ago.
The foreign individuals turned net sellers to the tune of QR0.51mn against net buyers of QR1.32mn in the week ended January 21.
However, domestic funds were net buyers to the extent of QR22.13mn compared with net sellers of QR32.68mn the previous week.
The Gulf institutions’ net buying strengthened considerably to QR13.9mn against QR2.9mn a week ago.
The Gulf individuals turned net buyers to the tune of QR3.09mn compared with net sellers of QR0.21mn the week ended January 21.
Qatari retail investors’ net profit booking shrank notably to QR88.56mn against QR198.47mn the previous week.
Major losers included Dlala, United Development Company, Gulf International Services, Ahlibank Qatar, Nakilat, Commercial Bank, Qatar Islamic Bank, Doha Bank, Barwa, Ezdan, Ooredoo, Qatar Electricity and Water and Investment Holding Group; even as Al Khaleej Takaful, Qatari Investors Group, Vodafone Qatar, Baladna, Qatar National Cement and Inma Holding this week, which saw the banks and industrials sectors together account for about 49% of the trading volume.
The banks and financial sector accounted for 26% of the total trading volume, industrials (23%), real estate (18%), consumer goods and services (16%), insurance (8%), telecom (6%) and transport (3%) this week.
In value, the banks and financial sector’s share was 43%, industrials (15%), consumer goods and services (13%), realty (11%), insurance (8%), and transport and telecom (5% each).
Total trading volume fell 3% to 942.04mn shares, value by 2% to QR2.57bn and transactions by 2% to 50,865.
The consumer goods and services sector saw a 28% plunge in trade volume to 146.63mn equities, 36% in value to QR324.23mn and 18% in transactions to 6,591.
The banks and financial services sector’s trade volume plummeted 21% to 243.66mn stocks, value by 3% to QR1.1bn and deals by 3% to 18,475.
However, the telecom sector’s trade volume more than doubled to 58.65mn shares and value expanded 14% to QR130.06mn but on a 14% decline in transactions to 3,165.
There was a 35% surge in the insurance sector’s trade volume to 76.72mn equities, 36% in value to QR205.83mn and 21% in deals to 3,864.
The industrials sector’s trade volume soared 18% to 216.69mn stocks, value by 27% to QR392.31mn and transactions by 16% to 9,321.
The transport sector reported a 13% expansion in trade volume to 30.86mn shares, 11% in value to QR135.76mn and 10% in deals to 2,610.
The real estate sector’s trade volume was up less than 1% to 168.82mn equities, while value declined 5% to QR283.93mn and transactions by 9% to 6,839.