Doha: Qatar Exchange index lost 82.51 points, or 0.62 percent to close at 13,149.55 points yesterday from the previous closing of 13,232.06 points on Thursday.
The volume of shares fell to 29,914,854 from Thursday’s 33,246,830 and the value of shares decreased to QR932,567,246.70 from QR1,227,446,694.41 on Thursday.
Among the top losers were Industries Qatar whose share was down 1.37 percent to QR180.00, Vodafone Qatar lost 2.17 percent to QR2030, Electricity and Water fell 1.15 percent to QR189.80 and Islamic Holding decreased by 2.10 percent to QR74.50.
Meanwhile Dubai led stock market losses in the region yesterday after the United Arab Emirates central bank said it saw potential signs of a property bubble, while investors in Kuwait sold off small-cap stocks as opposition politicians called a public protest.
The Dubai benchmark fell 2.5 percent, dragged down by property and banking stocks which had outperformed the market in the last few weeks as they became part of MSCI’s emerging market index at the end of May.
In the first official warning on the risks of a bubble forming in the UAE’s property market, the central bank said yesterday that residential rental yields in Dubai and Abu Dhabi could indicate growing imbalances and overheating in the country’s real estate sector. Some profit-taking in Dubai is natural following the MSCI upgrade and ahead of the summer lull, he added.
Dubai’s index, dominated by property and banking names, is up 51 percent this year after jumping 108 percent last year. Abu Dhabi’s gains are 18 percent and 63 percent respectively.
Emaar Properties was the main drag on Dubai yesterday, down 2.0 percent, while Dubai Islamic Bank shed 3.0 percent. Shares in Dubai Financial Market fell 2.8 percent.
Builder Arabtec Holding led losses among Dubai’s MSCI components, dropping 6.7 percent. The stock has more than tripled in value this year, making it one of the most volatile names on the market.
MSCI components also weighed on Abu Dhabi’s index, which lost 1.1 percent. National Bank of Abu Dhabi fell 1.7 percent, Abu Dhabi Commercial Bank slipped 1.6 percent and First Gulf Bank was down 0.9 percent. Aldar Properties slid 2.6 percent.
Qatar’s market, which MSCI also upgraded at the end of May, followed a similar pattern and shed 0.6 percent.
Kuwait’s main index fell 1.4 percent, its biggest daily drop in three months. Small-cap companies posted the biggest losses, while the blue-chip index was down only one percent.
Opposition politicians, some of whom are former parliament members, have decided to call for a public gathering near parliament this Tuesday to publicise what they describe as failures of the government, Kuwaiti media said on Sunday, raising fears of a renewal of a campaign of protests demanding political reforms.
“There has been in the past few weeks a weakness on the market in terms of liquidity,” said Fouad Abdulrahman Alhadlaq, deputy general manager at Al Dar Asset Management. “When this came in, it was just a catalyst for the market to go down.”
Saudi Arabia’s bourse slid 0.1 percent. Shares in petrochemical company Saudi International Petrochemical Co (Sipchem) fell 2.1 percent after Sipchem and Sahara Petrochemical called off their proposed merger yesterday