Qatar Exchange (QE) surged on Sunday following an announcement by Gulf countries yesterday about overcoming political differences. The market’s benchmark index rose by 1.14%, adding 153.5 pts to 13596.66 pts.

ICN research department manager Mohamed El Gendy told Mubasher that the QE’s indices rose after overcoming the differences with Gulf States following yesterday’s official meeting. Traders focused on tactical buying alongside the positive news that is expected to solve the issue in the coming period, which has prompted the main index to surge and pass the 13500-pt level once more, El Gendy noted, adding that the index has penetrated the important support level of 13500 pts amid intensive trading indicating increased investor buying.

Moreover, despite the optimism regarding the market’s performance on the medium term, things are a bit shaky on the short term, the analyst highlighted, stressing that the sideways movement that controlled QE was caused by the state of anticipation regarding the political crisis, which is currently on its way to being resolved.

Liquidity dropped significantly to QAR 950 million against QAR 1.6 billion. Moreover, trade volume also slid to 17.5 million shares against 22.01 million.

The telecoms, transport, real estate and services sectors prompted the index’s rise today as the telecom sector soared by 7.9% as market leaders Vodafone Qatar and Ooredoo surged by 9.8% and 8.7%, respectively. Meanwhile the transport sector rose by 3.7% as Qatar Navigation ‘Milaha’ and Qatar Gas Transport Co. ‘Naqilat’ added 5.8% and 2.9%, respectively.

Furthermore, the real estate sector added 1.9% as Barwa and Mazaya Qatar rose by 3.07% and 1.4%, respectively. The services sector registered a 0.26% rise as Salam International Investment and Medicare gained 29% and 0.78%, respectively. On the other hand, the banking and industrial sectors lost 0.33% and 0.12%, respectively.

QE is a strong and stable market owing to many positive aspects, particularly the presence of investment funds as well as of high liquidity and cash flows owing to a rise in investor numbers as well as the entrance of new individual and foreign investors to the local market, stated Arab and global technical market analyst Ibrahim Al Filkawy, adding that ongoing projects and government spending boost and support market strength. There are no fears of major lows, he concluded.