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Posted On: 16 July 2009 09:14 am
Updated On: 12 November 2020 02:09 pm

Qatar shares jump 6.55pc

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Bulls took firm control of the Qatari bourse yesterday after a relatively minor jump on Tuesday following two weeks of a disturbing slowdown. The 20-stock main index of Qatar Exchange rallied more than 385 points, or 6.55 percent, to breach the magical barrier of 6,000. The index soared to 6,267.42. Massive net buying support came from local institutional investors with some back-up from their foreign counterparts, but retail investors, both local and Qatari, were involved in a selling spree. The market capitalisation, which had plummeted below the QR250bn mark, improved to breach the QR260bn level and reach QR260.88bn. In a record, some 38 of the 39 traded stocks advanced. There are in all 42 stocks listed on Qatar Exchange. The surge yesterday was led by industrial and banking stocks, both of which rose more than six percent. But services and insurance counters performed equally well, jumping more than five percent. Rayan Bank, Qatar Islamic Bank, large cap Industries Qatar (IQ), and Medicare Group were some of the major gainers, while the lone loser was the Qatar Industrial Manufacturing Company. “A substantial rise was already expected,” financial analyst Dr Nasser Al Shafi, said of yesterday’s rally. This is a late reaction to the management of the Qatari bourse having been taken over by the world’s leading bourse, NYSE Euronext. “And the fact that Euronext has been given only a minority 20 percent stake in the Qatari bourse is what gives investors more confidence,” said Al Shafi. Oil prices improving in the global markets was another major factor that pushed the index up, he said.