Market Review and Outlook

The Qatar Stock Exchange (QSE) experienced a decline of 181.33 points, or 1.9%, bringing its closing value to 9,477.68. The market capitalization saw a decrease of 1.7%, reaching QR572.6 billion. Out of 54 traded companies, 20 recorded positive gains, 1 remained unchanged, while 33 closed lower. United Development Co (UDCD) emerged as the top performer, climbing by 6.8%, while Industries Qatar (IQCD) recorded the worst decline, falling 5.8%.

QNB Group (QNBK) and Qatar International Bank (QIIK) were significant contributors to the index's drop, subtracting 67.47 and 15.11 points, respectively. Traded value increased by 9.3% to QR1,999.3 million from the previous week's QR1,828.4 million. QNBK had the highest traded value, totaling QR175.6 million. The number of trades rose by 40.5% to 925.7 million shares, with UDCD seeing the highest traded volume at 158.2 million shares.

Foreign institutions turned bullish, ending the week with net buying of QR97.6 million, while Qatari institutions remained bearish, selling QR151.3 million net. Foreign retail investors bought QR12.2 million, whereas Qatari retail investors bought QR41.6 million. The QSE Index closed at 9,477.68, marking its lowest point in 52 weeks, indicating further weakness.

The index fell below its April 25 low, near 9,550, suggesting potential profit-taking and a possible drop to 9,200 or even 9,000. However, a rise above 9,600 could offer temporary relief, leading to a small rebound towards 9,750.