More highs in Doha and Kuwait stock markets

By Abdul Rahman Ismail

Markets which rose yesterday rebounded during trading. The Dubai Financial Market (DFM) and the Bahrain stock market, both of which rose on Monday, rebounded during trading, down 1.2% and 0.21% respectively. Meanwhile markets which declined on Monday rose, with Muscat up 0.50% and Abu Dhabi Securities Exchange (ADX) 0.37%.

Doha: Back to 2005 standard

The Doha stock market was back to highs of 2005, having risen 30.6% since the beginning of the year. Its performance over the past two months has seen its increase close in on the biggest growth market of the year to date - Oman, which is up 32.8%.

Despite the optimism surrounding the DSM, fears are rising that the market might soon face a correction brought on by its recent uninterrupted growth.

All leading shares except Qtel pushed the index up, Qtel ended the session down at 1.6%, despite its acquisition of Indosat Telecom. Eight of the 42 traded dominated 80% of the total trading, with a volume of 38.8 million shares, valued at QR2.2 billion. They were led by Al Rayan Bank, which traded 12.2 million traded shares, rising by 2.5%.

According to a Rasmala report, the Qatari market has become the most attractive in the region for investors, benefiting from the economic growth of the country, despite being a very expensive market.

Kuwait crosses 15,300 points

Like Doha, the Kuwait Stock Exchange registered a new high, after crossing the 15,300 points. Kuwait ranks third after Muscat and Doha in terms of growth this year, up 22.2%.

Total trading reached KD207m on a volume of 454 million shares, supported by the industrial and real estate sectors.

Al Masalekh (Slaughter House) and Mana Holding kept their upward trend, rising by 7.5% and 7.4% respectively and for third consecutive day. Al Safa International declined by 4.2%, after its continuous rise during previous days, while Agility continued its upward trend following its $200m US Air Force deal.

UAE losses valued at Dhs3bn

The DFM and ADX markets exchanged roles in trading, as Dubai declined sharply and Abu Dhabi rose. As a result, the UAE markets lost Dhs3bn of their value.

The Dubai Financial Market couldn't resist the pressure from extensive selling deals by foreign investments funds, which reached Dhs264.4m out of the Dhs1.1bn for the whole market. It was a reaction to losses in international markets, according to Mohammed Ali Yaseen from Shuaa Capital.

Emaar suffered the biggest loss, falling to its lowest price of Dhs11.35 before closing at Dhs11.40, a 1.7% decline on its opening price. Arabtec shares fell 3.2%, while Dubai Investments continued its upward trend, rising 0.50% to Dhs 4.29. It traded Dhs252m overall, because the share is still subject to heavy speculation.

After two declining sessions, the ADX rose, supported by the energy sector. Taqa rose by 3.9%, trading Dhs327.7m out of the total trading of Dhs1.4bn. According to brokers, Taqa's share benefited from the company's announcement to issue changeable bonds worth Dhs4.2bn. Ras Al Khaimah Cement declined by 0.50%.

Saudi Arabia: Al Rajhi reduces markets losses

Last minutes deals in the Saudi market reduced losses, after the banking sector rebounded, supported by Al Rajhi which rose by 2.4% and Al Inmaa which climbed1.3%. It dominated 26% of the total trading, which reached SR12.3bn.

Sabic, which rose on Monday, declined by 1.1% and also brought related shares down, including Petrorabigh, which dropped 2.9%. All cement shares too registered a decline, affected by the government's decision to ban the export of cement, which will affect its profits and revenues.

The majority of insurance sector shares rose, including Malath to its maximum limit of 10%. Zain and Mobily rose by 0.96% and 0.44% respectively, while Saudi Telecom Company declined by 0.78%.

Muscat: Continuous support from building material sector

Like the Abu Dhabi market, Muscat succeeded in rebounding after two successive sessions of decline, dominated by the building material sector. It commanded 14.5% of the total OR16.5m traded, rising by 4.3%.

Omantel rose 2.5%, trading 1.5 million shares and Muscat bank was up 0.91%, trading one million shares.

Bahrain declines

The Bahrain stock market fell by just under 0.25%, following the 2.4% decline of Gulf Finance House. Trading on Ithmaar and Al Salam Bank shares reduced the index losses, trading around 10.5 million shares out of total of 11.6 million. Al Salam rose by 0.72% while Ithmaar closed unchanged at $0.70.