Qatar shares edge higher on foreign buying interest

25/10/2010 00:00 AST

Qatari shares gained 0.59% yesterday as buying interest from foreign institutions largely overcame strong profit-booking by local investors in the Qatar’s bourse, which closed 0.59% higher yesterday.

Led by Industries Qatar, the 20-stock benchmark settled at 7,773.74 points, up 11.75% year-to-date. IQ hit a 24-week high yesterday.

Industrial stocks witnessed maximum interest as its group index rose 2.15%, followed by services (0.83%) and banks and financial institutions (0.16%), insurance fell 1.09%.

Of the 43 stocks, 21 gained, while 15 fell, five were unchanged and two not traded.

Market capitalisation rose 0.38% or about QR2bn to QR408.66bn mainly on 0.61% and 0.27% gains in mid and large caps respectively.

Total trading volume dropped 4% to 6.73mn equities, value by 15% to QR217.67mn and transactions by 1% to 3,761.

Banks and financial institutions’ trading volume plummeted 29% to 1.31mn equities, value by 45% to QR51.07mn and deals by 38% to 828.

The services sector saw its trading volume fall less than 1% to 4.24mn stocks and value by 31% to QR93.49mn but transactions gained 10% to 2,011.

The insurance sector’s trading volume however shot up 67% to 0.05mn shares and value by 88% to QR2.67mn whereas deals fell 31% to 38.

Industries saw a 33% rise in trading volume to 1.13mn shares, value more than doubled to QR70.44mn and transactions by 56% to 884.

Foreign institutions were extremely bullish as they were net buyers to the tune of 21.10% compared to net sellers of 5.55% in the previous day.

A higher 31.01% were into buying against 28.12% last Thursday, while a much lower 9.91% were into selling compared with 33.67%.

Domestic institutions continued to be bullish but with lesser intensity as their net buying fell to 1.81% from 2.98% in the previous day.

A lower 24.55% of them bought stocks compared with 29.46% last Thursday, while a marginally higher 22.74% sold against 21.97%.

Local retail investors’ profit-booking became intense as their net selling surged to 22.34% from 0.04% in the previous day.

A lower 30.41% of them were into buying against 32.40% on Tuesday, while a much higher 53.75% were into selling compared with 32.44%.

Non-Qatari retail investors turned bullish as they were net buyers to the tune of 0.44% against net sellers of 1.89% in the previous day.

A higher 14.03% of them bought stocks against 10.03% last Thursday and a higher 13.59% sold compared with 11.92%.

Actively traded stocks (in terms of volume) were Nakilat (772,168 shares); Masraf Al Rayan (729,855); Barwa (682,011); Industries Qatar (515,645) and Medicare Group (491,619).

Gulf Times