External Factors Drag QSE Down 111 Points M-Cap Erodes QR5.14Bn

(MENAFN- Gulf Times) Lack of clarity on the US' tariff policies and regional geopolitical tensions had their impact on the Qatar Stock Exchange (QSE), which saw its key index plummet as much as 111 points and capitalisation melt in excess of QR5bn this week.
More than 81% of the traded constituents were in the red as the 20-stock Qatar Index knocked off 1.07% this week which saw the listed companies cumulatively report net profit of QR51.17bn in 2024.
The Arab individual investors were seen net profit takers in the main bourse this week which saw Lesha Bank acquire an indirect stake in Edinburgh Airport.
The local retail investors were also seen bearish in the main market this week which saw Gulf Warehousing (GWC) sign strategic service agreement with Huwaei.
The domestic institutions' weakened net buying had its influence in the main bourse this week which saw a total of 0.13mn AlRayan Bank-sponsored exchange traded fund QATR worth QR0.29mn trade across 30 deals.
The foreign funds continued to be net sellers but with lesser intensity in the main market this week which saw as many as 0.01mn Doha Bank-sponsored exchange-traded fund QETF valued at QR0.16mn change hands across 21 transactions.
The insurance counter witnessed higher than average selling pressure in the main bourse this week which saw no trading of sovereign bonds.
The Islamic index was seen declining slower than the main barometer of the main market this week, which saw Knight Frank, a global property consultancy, find that leading international hotel brands accounted for 60% of Qatar's total 40,755 hotel rooms during 2024.
Market capitalisation eroded QR5.14bn or 0.85% to QR600.7bn on the back of large and midcap segments this week which saw Mekdam Holding "aggressively" pursue opportunities within the QR3bn pipeline under negotiation as it seeks to strengthen its presence in high-growth sectors such as technology and engineering.
Trade turnover and volumes were on the decrease in the main market; while the junior market's trade volume and value were on the rise this week which saw no trading of treasury bills.
The Total Return Index shrank 0.45%, the All Islamic Index by 0.62% and the All Share Index by 0.53% this week which saw the industrials and banking sectors together constitute about 57% of the total trade volumes.
The insurance sector index plummeted 3.76%, industrials (1.05%), realty (1.01%), telecom (0.61%), consumer goods and services (0.39%) and banks and financial services (0.3%); while transport gained 0.71% this week which saw Moody's report that said Qatar meets more than 40% of its total freshwater demand from desalination, with significant government subsidies to cover production costs.
Major losers in the main market included Mekdam Holding, Commercial Bank, Qatar Islamic Insurance, Qatar General Insurance and Reinsurance, Qatar Cinema and Film Distribution, QIIB, AlRayan Bank, Dukhan Bank, Qatar Oman Investment, Qatari German Medical Devices, Salam International Investment, Mannai Corporation, Al Faleh Educational Holding, Qamco, Qatar Insurance, Mazaya Qatar, Barwa and Vodafone Qatar. In the junior bourse, Techno Q saw its shares depreciate in value this week.
Nevertheless, Estithmar Holding, Milaha, GWC, Mesaieed Petrochemical Holding and Woqod were among the movers in the main bourse this week.
The Arab individuals were net sellers to the tune of QR17.26mn against net buyers of QR11.83mn the week ended March 20.
The Qatari retail investors turned net sellers to the extent of QR11.47mn compared with net buyers of QR26.7mn a week ago.
The domestic institutions' net buying declined noticeably to QR160.37mn against QR185.4mn the previous week.
However, the Gulf funds were net buyers to the tune of QR42.48mn compared with net sellers of QR4.63mn the week ended March 20.
The foreign individual investors' net buying expanded markedly to QR11.52mn against QR2.55mn a week ago.
The Gulf retail investors' net buying strengthened marginally to QR1.78mn compared to QR0.75mn the previous week.
The foreign institutions' net selling decreased significantly to QR102.63mn against QR222.6mn the week ended March 20.
The Arab funds had no major net exposure compared with net buyers to the extent of QR0.05mn a week ago.
The main market witnessed a 32% plunge in trade volumes to 587.77mn shares, 29% in value to QR1.58bn and 48% in deals to 71,475 this week.
In the venture market, trade volumes jumped more than nine-fold to 0.98mn equities and value by more than nine-fold to QR2.8mn on 11% jump in transactions to 41.

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