The Qatar Stock Exchange (QSE) Index experienced a significant rise during the week, gaining 120.28 points, or 1.18 percent, to close at 10,323.32 points.

This increase was supported by positive performances across various sectors, reflecting a generally optimistic market sentiment.

Market capitalisation also saw an uptick, rising by 0.9 percent to reach QR597.2 billion compared to QR591.6 billion at the end of the previoustrading week.

Key banking stocks played a pivotal role in driving the index higher. Qatar Islamic Bank (QIB), Commercial Bank (CBQ), and Masraf Al Rayan were the main contributors to the index’s gain. QIB added 34.30 points, CBQ contributed 24.13 points, and Masraf Al Rayan added another 17.90 points, collectively accounting for a significant portion of the weekly gain.

Out of the 52 traded companies on QSE, 32 companies ended the week higher, while 17 companies posted declines, and three remained unchanged. Medicare Group was the standout performer, rising 5.9 percent for the week. In contrast, Mekdam Holding Group recorded the most significant loss, falling 2.1 percent.

The overall trading activity on QSE saw a decline, with the traded value falling by 21.3 percent to QR1,579.6 million (mn) compared to QR2,008.1 mn in the prior week. Masraf Al Rayan was the most traded stock in terms of value, with total traded value reachingQR130.2 million.

The traded volume also declined by 22.6 percent, reaching 639.6 million shares compared to 826.3 million shares in the previous week. The number of transactions decreased by 15.9 percent to 61,040 from 72,582 in the prior week. Qatar Aluminum Manufacturing Company (Qamco) was the most traded stock in terms of volume, with 63.2 million shares changing hands during the week.

Investor sentiment was mixed, with foreign institutions remaining bullish. Foreign institutions ended the week with net buying of QR74.4 million, a substantial increase compared to net buying of QR2.6 million in the previous week. Qatari institutions, however, turned slightly bearish, recording net selling of QR40,550 against net buying of QR16.5 million in the prior week.

Foreign retail investors shifted to net selling of QR24.4 million compared to net buying of QR6.0 million in the previous week. Meanwhile, Qatari retail investors continued to offload stocks, recording net selling of QR49.9 million compared to net selling of QR25.1 million the week before. Year-to-date (YTD), global foreign institutions were net buyers of Qatari stocks by $4.0 mn, while GCC institutions were net sellers by $318 million.

The QSE’s implementation of new amendments to the liquidity provider activity during the current week positively impacted the market. Financial analyst Tamer Hassan noted that these amendments boosted market activity and contributed to the rise across most sectors on the QSE.

On Sunday, QSE announced the start of the new standards for evaluating the performance of liquidity providers. These standards, which apply to standardised contracts approved for liquidity provider activity, will undergo semi-annual reviews to ensure alignment with market needs and international best practices, thereby enhancing the competitiveness of the Qatari market.

According to Hassan, the new amendments will prioritise investors in executing transactions, reduce their costs, and provide more depth in the order books. He added that these changes would likely enhance the presence of foreign portfolios in the Qatari market, drawing more focus and investment from abroad.

The amendments to liquidity provider activities are expected to play a crucial role in enhancing market efficiency and competitiveness. By making the QSE more attractive to both local and international investors, these measures may contribute to further market gains in the coming weeks. As the QSE continues to implement these changes and improve market conditions, investor confidence is expected to remain buoyant, supporting continued growth in themarket.

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