The Qatar Stock Exchange (QSE) maintained its bullish trend for the third consecutive session, rising by 27 points as global market momentum continued to drive the index higher. Strength in oil prices played a key role in the positive performance, as the 20-stock Qatar Index climbed 0.25% to reach 10,877.05 points, recovering from an intraday low of 10,838 points.
Market Overview
The transport and insurance sectors saw stronger-than-usual demand, contributing to the overall growth. The QSE’s market capitalisation grew by QR1.1 billion, or 0.17%, to QR650.6 billion, primarily driven by gains in microcap segments. Around 60% of the traded constituents posted gains, further reinforcing investor confidence.
Institutional buying, particularly from Gulf-based investors, was evident in the market, with year-to-date gains improving to 2.89%. While Arab funds remained optimistic, their activity was less pronounced than Gulf institutions. The local retail investors showed reduced net selling, which helped to bolster the market, despite lower volumes.
Sector Performance
The market’s sector indices displayed a mixed performance. The transport sector surged by 1.19%, while the insurance sector gained 0.58%. The banking and financial services index saw a modest increase of 0.19%, and the industrials sector rose by 0.13%. On the other hand, the consumer goods and services sector slipped by 0.35%, and the real estate and telecom sectors saw small declines of 0.19% and 0.17%, respectively.
Overall, 31 stocks gained value, while 20 declined, and one remained unchanged. Among the major movers were companies like Qatar General Insurance and Reinsurance, Inma Holding, and Commercial Bank. On the downside, stocks like Woqod, Baladna, and Vodafone Qatar experienced declines. In the venture market, Techno Q saw a decrease in share value.
Trading Activity and Investor Sentiment
The trading volume in the main market decreased by 10%, with 110.01 million shares exchanged. However, trade value rose slightly by less than 1%, totalling QR313.76 million, as the number of deals increased by 18% to 24,351. The venture market saw modest activity, with 0.06 million shares valued at QR0.14 million changing hands in 23 transactions.
Investor sentiment was generally positive, with Gulf institutions showing a stronger net buying trend of QR7.67 million, up from QR3.2 million the previous day. Conversely, foreign institutions reduced their net buying to QR16.02 million, down from QR23.34 million. Local retail investors, while still net sellers, significantly reduced their selling activity, with their net sales dropping to QR17.17 million, compared to QR24.34 million the previous day.
Outlook and Key Trends
The positive momentum in the QSE reflects broader global market strength and an optimistic outlook for the region, bolstered by gains in sectors like transport and insurance. Despite fluctuations in individual stocks, institutional investors continue to play a pivotal role in sustaining the market’s upward trajectory.
Looking ahead, continued interest from Gulf investors and a stabilising macroeconomic environment could further enhance the QSE’s growth potential. However, market fluctuations, particularly in sectors like real estate and telecom, suggest that volatility may persist in the short term.
For more insights into regional market trends, you can also explore the latest Qatar Real Estate transactions or the Doha Bank and PayTabs partnership that is shaping Qatar’s digital commerce sector.
