Qatar Exchange’s new headquarters at Al Dana Tower, West Bay, is pictured yesterday. Shaival Dalal
Doha: Qatar Exchange was down yesterday 33.58 points or 0.39 percent to 8,480.35 points from the previous closing of 8,513.93 while Egypt’s bourse continued falling sharply hitting an 11-week low after the financial market regulator set stricter limits on transactions. Most other Gulf markets also retreated.
The volume of shares traded at the Qatari bourse fell to 4,861,450 from 4,994,497 on Monday, and the value of shares increased to QR181,800,746.02 from QR286,439,009.30 on Monday.
Among the top losers were Industries Qatar whose share dropped 0.18 percent to QR170, Commercial Bank of Qatar lost 0.59 percent to QR67, al khalij Commercial Bank fell 6.41 percent to QR16.20 and United Development Company was down 0.58 percent to QR17.20.
The Qatar Banking and Financial sector dropped 0.39 points while the Insurance sector added 2.88 points. The Qatar industrial sector was up 0.18 points and the Services sector fell 0.43 points.
Elsewhere, the Egyptian stock market watchdog said it was limiting the transfer of local shares into internationally traded global depositary receipts. The ruling was the latest development in a dispute over a share purchase offer that could lead to the country’s largest listed firm, Orascom Construction Industries (OCI), delisting from the market against the government’s wishes.
By constraining the freedom of company owners to move their assets and restricting capital flows, the new regulations are seen as another blow to confidence from a government which has antagonised much of the pre-revolution business community.
“There is a lack of transparency in the OCI case and this is a clear case of mismanagement from the authorities,” said Osama Mourad, a Cairo-based independent financial analyst and former chief executive of Arab Finance Brokerage.
Egypt’s public prosecutor on Sunday barred OCI’s chief executive Nassef Sawiris from leaving the country, as part of an investigation into tax evasion.
The three Sawiris brothers have billion-dollar businesses in fertiliser, construction and real estate, making the family one of Egypt’s biggest employers. Mourad said the government’s actions were contrary to its declared aim of attracting investors into Egypt.
“If you want to attract investment, you don’t punish the richest family in Egypt and people who employ thousands,” he said.
Shares in OCI fell 1.6 percent, sparking selling in other blue chips as well.
Orascom Telecom and Commercial International Bank shed 3.7 and 3.8 percent respectively.
Cairo’s index dropped 2.5 percent to its lowest level since December 16.
In Dubai, Arabtec fell 3.2 percent, taking its losses to 29 percent since the builder announced plans to raise $1.8bn in capital that will be dilutive to shareholders. The pace of the stock’s decline slowed, however, from drops of near 10 percent in previous days.
Investors booked profits in other stocks; Emaar Properties slipped 0.4 percent, trimming its 2013 gains to 41.9 percent.
Dubai’s benchmark fell 1.2 percent to 1,877 points, hitting a four-week low. On Feb. 24, the market reached its highest close since November 2009, but has fallen in five of the seven sessions since.
“The index declined in aggressive selling pressure — we expect the current decline to continue towards 1,800 points,” said Mohabeldeen Agena, head of technical analysis at Cairo’s Beltone Financial, although he added that the 1,840 level might provide some support.
Abu Dhabi’s index slipped 0.2 percent, down for a fourth session since Wednesday’s 39-month high.
In Kuwait, the index bucked the regional trend and rallied to a two-year high as retail investors bought small-caps. Investors Holding Group surged 12.2 percent and National Ranges gained 5.4 percent; together they accounted for almost half of all shares traded.
Retail investors dominated trade, with the market resilient despite weak earnings from some banks. “We’re seeing a continuation of performance in smaller stocks - and a migration from Kuwait 15 (blue chip) stocks,” said Fouad Darwish, head of brokerage services at Global Investment House. There is no sign of the state-owned National Portfolio Fund buying in the market, Darwish said.
Kuwait’s index rose 0.8 percent to its highest close since February 2011. The index closed above major technical resistance on the peaks of May 2012 and May 2011.
QNA/Reuters
