The Group Securities: Weekly Report on QSE Performance, 20-24 Aug 2017

Affected by the absence of traders because of vacations, and with foreign portfolios focusing on net sales, total trading declined to the level of QR 724 million in a week; hence indices and trading groups subsequently declined. General index dropped by 154 points to the level of QR 8951.8 points. With the exception of insurance sector, all sectoral indices declined, mostly real estates by 5.48%.  Total capitalization dropped by QR11.2 billion to the level of QR 482.3 billion. Price-earnings ratio declined to 13.24. The share price of 37 companies declined, namely Investment Holding Group, Medicare and Ezdan. In contrast, the share price of General Insurance increased significantly by 10.4%, followed by Doha Insurance by 2.2%. The Group reviews QSE performance in this week with illustrative charts combined with corporate business news, and a list of the affecting economic factors.

Corporate News:

1-- Ahli Bank announced that it has established its USD 500 Million Euro Commercial Papers and Certificates of Deposits Programme (the “Programme”). The Programme has been assigned P-2 and F1/A+ ratings by Moody’s Investors Service and Fitch Ratings respectively.

2-- Qatar Islamic Bank (QIB) signed a QR 1.6bn financing deal with AlJaber Engineering (JEC). The agreement was signed at QIB’s headquarters, by Mr. Bassel Gamal, QIB’s Group CEO, and Osama Hadid, CEO of JEC.The financing deal will support JEC’s current project to execute the design and construction of strategic food security facilities and warehouses at Hamad Port.

3-- Qatar Stock Exchange announces trading suspension on Investment Holding Group on Wednesday, 23 August 2017 due to its AGM being held on that day. The general assembly approved the distribution of 3% of profit on shareholders

4-- Milaha, a Qatar-based maritime and logistics conglomerate, has launched the first ever direct feeder service between Qatar and Kuwait. The new service, named KQX (Kuwait Qatar Express Service), will operate between Hamad Port in Qatar and Shuwaikh Port in Kuwait once a week initially, using a 515 TEU vessel.  

Economic Developments:

1-- Banks consolidated balance sheet for July has been released and data shows a rise in total assets by about 18.8 billion to around QR1324.6 billion.  The total domestic public debt, including bonds, increased by about QR 15.1 billion to QR 457.7 billion, while the total domestic private sector deposits increased by QR 2.4 billion to the level of QR 450.9 billion.

2-- Oil prices settled at $ 1.33 dollars to close at $ 49.37 per barrel on Thursday.

3-- Last week, Dow Jones index lost 139 points to reach the level of 21814 points. US Dollar exchange rate stood at the level of 109.37 yen, and $ 1.19 per Euro. Gold price increased by 6 dollars to the level of $ 1296 per ounce.