Qatar bourse snaps three-day winning streak, Saudi firms with oil
Qatar’s stock market index ended Tuesday a three-day winning streak as local investors booked profits while Saudi Arabia’s index edged up, helped by firmer oil prices.
Doha’s index, which had climbed as much as 0.7 percent earlier in the day, slipped in the final hour of trade to close 0.02 percent lower. It hit a nine-month closing high on Monday.
Shares on the MSCI emerging market index turned south, with Islamic lender Masraf Al Rayan dropping 2.1 percent and Qatar Islamic Bank falling 2.6 percent.
Sebastien Henin, head of asset management at Abu Dhabi’s The National Investor, said passive inflows from emerging market funds had driven up prices over the last several weeks and traders might choose to book profits at current levels, keeping the market locked in a narrow trading range in the short term.
In Abu Dhabi the index edged down 0.3 percent as some shares on MSCI’s emerging market index retreated. First Gulf Bank dropped 1.3 percent.
Dubai’s index held onto gains and added 0.3 percent, boosted by advances in blue chips. Emaar Properties rose 0.9 percent and Dubai Investments climbed 1.4 percent.
Shuaa Capital gained 3.1 percent in its highest volumes in two months on news the Nasdaq Dubai exchange will open an equity futures market next month. The market will trade single-stock futures on the shares of some of the United Arab Emirates’ biggest companies, with Shuaa providing market-making services. This could expand the firm’s revenues.
SAUDI ARABIA, EGYPT
Petrochemical shares pulled Saudi Arabia’s index up 1 percent after Brent oil futures climbed back above $45 a barrel. Saudi Basic Industries gained 3.1 percent.
Banking shares also fared well, with Samba Financial Group advancing 2.4 percent.
In Egypt, the main index retreated 0.9 percent, dropping below a 13-month high hit on Monday as non-Egyptian investors sold, bourse data showed.
Losers outnumbered gainers 16 to 12 with Palm Hills Development dropping 3.4 percent after it posted second-quarter net profit of 64 million Egyptian pounds ($7.2 million), an 85 percent drop from a year earlier. The company said the main reason for the fall was a change in revenue recognition on its income statements.
Analysts at Naeem Brokerage said in a note that although profit fell short of their expectation of 119 million pounds for the April-June period, they remained positive on the stock with a “buy” rating.
“PHDC’s performance at the top line seems resilient, as the company continues to capitalise on underlying growth in demand from the Egyptian real estate market,” Naeem said.
Real estate investment firm Porto Group jumped 10.7 percent in heavy trade and telecom conglomerate Orascom Telecom Media and Technology bounced 6.9 percent.
TUESDAY’S HIGHLIGHTS
SAUDI ARABIA
* The index gained 1.0 percent to 6,381 points.
DUBAI
* The index added 0.3 percent to 3,522 points.
ABU DHABI
* The index fell 0.3 percent to 4,534 points.
EGYPT
* The index declined 0.9 percent to 8,200 points.
QATAR
* The index edged down 0.02 percent to 10,919 points.
KUWAIT
* The index fell 0.1 percent to 5,508 points.
OMAN
* The index edged up 0.2 percent to 5,897 points.
BAHRAIN
* The index slipped 0.1 percent to 1,154 points.
Source: Reuters
