Qatar Stock Exchange Continues Positive Momentum with Index Gain of 68 Points

This week, the Qatar Stock Exchange achieved a notable index gain of 68 points, with capitalisation rising by QR2.63 billion. Despite some net selling trends among Gulf institutions and retail investors, domestic institutions maintained their status as net buyers, supported by increased activity in key sectors. The QSE also launched the Al-Nukhba programme aimed at enhancing company capabilities.

The Qatar Stock Exchange (QSE) exhibited a positive trend this week, with its key index gaining 68 points, alongside a capitalisation increase of QR2.63 billion. Noteworthy is the continued presence of domestic institutions as net buyers, despite a reduction in their activity intensity, which contributed to a 0.66% rise in the 20-stock Qatar Index.

In a strategic move, QSE eliminated the minimum trading commission of QR30, replacing it with a proportional commission rate of 0.00275, aiming to enhance trading efficiency. Increased demand was noted across the transport, telecom, real estate, and consumer goods sectors. Additionally, QSE launched the Al-Nukhba programme aimed at improving the skills of family-owned and private companies in Qatar.

Despite prevailing concerns regarding U.S. tariffs, foreign funds reported diminished net profit bookings, affecting market performance. The total assets of commercial banks in Qatar registered a year-on-year growth of 3.3%, reaching QR2.04 trillion in January 2025. However, Gulf institutions showed a trend toward net selling, trading AlRayan Bank-sponsored exchange-traded fund QATR worth QR0.12 million across 22 transactions this week.

Arab individuals expressed bearish sentiments, illustrated by the sale of Doha Bank-sponsored exchange-traded fund QETF valued at QR0.08 million across seven transactions. Retail foreign investors likewise transitioned to net sellers, with 1,000 sovereign bonds traded for QR10 million in a single deal. During this period, the Islamic index outperformed others in the market.

Notably, Doha Bank’s oversubscribed $500 million global bond drew significant interest, with 55% of investments from Europe and Asia, while market capitalisation rose by 0.43% to QR616.07 billion. However, trading volumes and turnover saw declines, evidenced by the absence of treasury bills trading and a collective drop in market activity.

Indexes reflect various performances: the Total Return Index increased by 0.75%, the All Islamic Index by 0.79%, and the All Share Index by 0.63%. The transport sector index surged by 3.07%, partly driven by a notable uptick in Qatar’s maritime sector.

Approximately 57% of traded constituents observed gains, with prominent stocks including Qatar General Insurance and Reinsurance, Vodafone Qatar, and Ooredoo. Conversely, several firms such as Gulf International Services and Baladna recorded declines. The venture market also witnessed depreciation in Techno Q shares this week.

The weekly fluctuations in foreign institutions’ net selling dropped significantly to QR136.98 million from QR463.31 million. Contrarily, Gulf institutions increased their net profit booking to QR23.77 million, while foreign individuals shifted to net profit taking amounting to QR12.52 million. Overall, trade volumes experienced a notable decrease of 46%, with a decline of 43% in value and a 26% reduction in deals to 63,524 this week.

In conclusion, the Qatar Stock Exchange demonstrated resilience with a positive index gain and increased capitalisation despite external trade concerns. The market dynamics included a notable shift in domestic institutional investment patterns, and the introduction of strategic initiatives such as the Al-Nukhba programme. While significant portions of various sectors showed growth, notable declines among certain stocks and the overall trade volume slump reflect the complexities of the current market environment.

Original Source: www.gulf-times.com