Doha: Qatar Exchange index ended its losing streak yesterday adding 26.75 points or 0.29 percent to advance to 9,309.63 points from 9,282.88 on Monday.
The volume of the shares traded fell to 3,707,377 from 3,739,978 on Monday, and the value of shares decreased to QR156,642,023.36 from QR232,748,874.25 on Monday.
Among the top gainers were Qatar Insurance which was up 1.50 percent to QR60.90, Qatar Telecom rose 1.57 percent to QR122.90, Doha Bank gained 0.85 percent to QR47.40 and Vodafone Qatar up by 1.13 percent to Q8.95.
The banking and financial sector index was up 0.24 points while consumer goods and services sector index lost 0.12 points. The industrial sector was down 0.06 points while insurance sector gained 1.06 points.
Meanwhile, Egyptian stocks rose sharply yesterday on signs that the country was moving ahead with a transition to civil government after the military ousted president Mohammed Mursi, and on expectations for major financial aid from the Gulf.
Egyptian Exchange data showed foreign investors remained net sellers of stocks, and there was tremendous uncertainty over whether the country could form a coherent government capable of addressing economic problems.
But late on Monday, a decree issued by interim head of state Adli Mansour revealed plans for parliamentary elections within about six months, with a presidential vote to follow; the parliamentary polls would be held once amendments to Egypt’s suspended constitution were approved in a referendum.
And a spokesman for the Nour Party, the country’s second-biggest Islamist movement after the Muslim Brotherhood, said it would accept the choice of former finance minister Samir Radwan as interim prime minister. Political sources said Radwan had emerged as the favourite for the post.
These events suggested there was still hope for some form of political accommodation to emerge in Egypt over coming weeks.
“As steps towards forming a new government take place, it reflects positively on investors’ sentiment,” said Mohamed Radwan, director of international sales at Pharos Securities.
But he added, “Foreigners will shy away. With all the violence, it’s difficult to convince them to put money in the market.”
Cairo’s benchmark index rose 3.3 percent, recouping most of a 3.6 percent drop on Monday that was triggered by the deaths of at least 51 people in Cairo as the army opened fire.
The index is still down 3.2 percent year-to-date, but is close to last week’s one-month peak, which was hit in an initial burst of optimism immediately after Mursi was overthrown.
Also helping the market were expectations that wealthy donors in the Gulf would step in to prevent any financial collapse as Egypt sorted out its political situation.
After trading ended, the United Arab Emirates’ state news agency said the UAE would provide a $1bn grant to Egypt and a $2bn loan as an interest-free central bank deposit. An Egyptian source also said Saudi Arabia might lend Egypt another $2bn, which he expected to be confirmed within two days.
But the aid does suggest that after Mursi, Egypt has powerful diplomatic allies which see a strong political interest in keeping its economy afloat.
Agencies
