Doha: Qatar Exchange index pursued its upswing trend yesterday, adding 24.50 points or 0.28 percent to advance to 8,689.69 points from 8,665.19 on Monday.
The volume of shares traded fell to 4,158,320 from 5,086,298 on Monday and the value of shares decreased to QR249,792,704.52 from QR260,936,342.20 on Monday.
Among the top gainers were Qatar National Bank which was up 0.37 percent to QR135, Industries Qatar which rose 0.12 percent to QR167.00. Commercialbank gained 1.05 percent to QR77.00 and Electricity and Water Co was up by 1.29 percent to QR141.80.
The banking and financial sector index rose 0.27 points while consumer goods and services sector index dropped 0.15 points. The industrial sector gained 0.49 points while insurance sector added 0.38 points.
Meanwhile, Dubai’s index hit a 34-month high yesterday as foreign investors bought into the emirate’s economic recovery, while Egypt’s bourse slumped to a 2013 low after the army said political strife was pushing the state to the brink of collapse.
In Dubai, bluechips led gains. Emaar Properties climbed 3.7 percent and top bank Emirates NBD (ENBD) surged 8.6 percent to a 15-month high.
Du, Dubai’s third largest stock by market value after Emaar and ENBD, slipped 0.6 percent. The telecom operator’s shares are off-limits to foreign institutions.
“People have realised there is economic recovery in Dubai and at the same time we have more and more foreign money that wants to invest in emerging and frontier markets,” said Sebastien Henin, portfolio manager at The National Investor.
“For the first time in ages, we have smart money moving into the region — this is targeting the bluechips and in Dubai and Abu Dhabi you don’t have so many quality names, so they are targeting Emaar, Air Arabia and Emirates NBD.”
Foreign funds are wary of buying Abu Dhabi stocks because of uncertainty over the UAE capital’s property sector, Henin said.
“There’s more confidence in the revival of Dubai,” he said.
Passenger flows through Dubai’s main airport rose 13.2 percent in 2012, a bullish indicator for the tourism sector, which is vital for the emirate’s economy.
Dubai slid into recession in 2009 as a property bubble burst, but is now recovering, although it faces nearly $50bn of debt maturities between 2014 and 2016, according to a Standard Chartered report in November.
Dubai’s index climbed 1.8 percent to its highest close since April 2010, although it remains 71 percent below a 2008 peak.
“The rally has been very strong — we should expect profit taking in the coming days or weeks, but the recovery story will still be intact,” said Henin. “I don’t think investors are buying for Q4 results — they have a long-term view.”
Egypt’s main share index dropped two percent to its lowest finish since December 31. It has fallen 3.4 percent in two sessions since the government declared a state of emergency in three cities on the Suez Canal. Property developer Palm Hills, which fell 1.7 percent, is the most active stock, accounting for nearly a fifth of all shares changing hands on the main benchmark.
In Oman, Bank Muscat rose 1.5 percent to a nine-month high after it proposed a 40 percent dividend.
Agencies
