Qatar index hits 13,000 on earning expectations

July 16, 2014 - 6:24:25 am

By Satish Kanady

DOHA: Qatar bourse advanced broadly yesterday to hit the 13,000 mark on earnings expectations. 

The index rose by 0.85 percent to close at high 13,100 levels. Insurance, banking and real estate stocks were the main drivers.

The uptrend was mainly triggered by the buying interests from local retail investors and foreign institutions. 

Among the sector indices, insurance sector rose the most by 3.43 percent. Qatar Insurance Company (QIC) rose by 3.77 percent ahead of it announced a huge jump in its first half profit. 

The insurance major’s profit surged by 53 percent compared to a year ago. 

The shares of Islamic Insurance edged 3.27 percent up.

QIB that reported a 15 percent growth in its first half net profit on Monday, surged by 5.42 percent to QR107. Commercial Bank gained 2.04 percent and Doha Bank added 1.03 percent.

The trading of Masraf Al Rayan’s shares was suspended yesterday. 

Qatar Exchange yesterday announced trading of the lender’s shares will be suspended ‘until the information related to sale of Masraf Al Rayan’s equity stake in Seef Lusail Real Estate Development Company has been completed’, as per the directives from Qatar Financial 

Markets Authority (QFMA).

In a clarification note issued yesterday, the bank noted that it made its first disclosure of the sale of its 50 percent equity sale in Seef Lusail Real Estate Development Company on July 14, 2014. 

The disclosure was released and published on July 14, 20014 in accordance with the disclosure policy and a commitment to make an immediate disclosure upon signing o the sale purchase agreement. 

“The Bank did not violate any rules or regulations as set out by the concerned regulatory authorities as Masraf Al Rayan’s announcement was reported to the Qatar Financial Markets Authority (QFMA) on July 13, 2014 after trading hours,” the bank said in a statement yesterday.

With a bunch of blue chip companies due to announce their second quarter results in the next couple of weeks, the market will maintain the uptrend, analysts said.

The bourse’s market cap rose to QR707bn from Monday’s QR703bn. Total traded value rose to QR568m from QR536m. However, traded volume slipped to 10 million shares from Monday’s 12 million shares.

The value of banking stocks rose to QR229m from QR199m. The sector’s total traded volume slipped to 2 million shares from 3million shares. The value of Industrials edged down to QR80m from QR100m. 

Of the 40 traded companies, 31 advanced, eight stocks declined and one remained unchanged.

The Peninsula