Qatar bourse was the third largest contributor to the GCC's combined market capitalization of $864.5bn recorded in July 2013. The collective market capitalization of GCC bourses rose 5.6 percent month-on-month (MoM) in July. Qatar contributed $146.5bn, accounting for 16.9 percent of the GCC's total market cap during the month.
Saudi Arabia's TASI remained the highest contributor with its market capitalization at $417.1bn. UAE markets (Abu Dhabi and Dubai) collectively accounted for 17.8 percent of GCC market capitalization, standing at a combined total of $153.3bn. Kuwait, Oman and Bahrain together amounted to $147.7bn of market capitalization in July.
As the GCC bourses' combined market capitalization rose 5.6 percent, Qatar's market capitalization grew 4.4 percent to $146.5 from $140.2bn MoM. Total market cap of Qatar's top 10 listed companies increased to QR411.2bn during the period, Global Research's "GCC Markets Performance" data revealed.
According to the data, GCC indices bounced back after witnessing a correction in June 2013. All the markets advanced with Dubai's DFM being the leading gainer (16.5 percent), followed by Abu Dhabi's ADX (8.3 percent) and TASI (5.6 percent).
Qatar Exchange ( QE ) crossed the 9,700 mark first time in almost five years, After ending flat in June, QE jumped to a near five-year high to end July at 9,704.98, an increase of 4.6 percent MoM. Continued momentum in Industrial activity and strong GDP numbers for Q1 2013 led to sustained uptrend in the market. Robust 2Q13 results gave a boost to blue-chip stocks, providing further support to the index.
"Investors seemed to ignore other significant events including Moody's downgrade of three banks in Qatar and S&P report on expected 0.5 percent GDP contraction over 2013-2016 amid strong Q2 earnings. The market may witness a small correction in the coming month on low volumes due to Ramadan holidays", analysts noted.
In July, all sectors ended in the green, except for Real Estate. The telecommunication sector posted the largest gain of 13.4 percent MoM, followed by Banking (6.0 percent) and Consumer Goods (3.8 percent).
The Telecommunication sector was led by Ooredoo that rose 15.7 percent MoM. Sector heavyweight Banking was driven by Qatar National Bank (12.5 percent), followed by Doha Bank (8.1 percent) and Masraf Al Rayan (1.8 percent) .
The sole loser, Real Estate, was dragged down mainly by Ezdan Real Estate, followed by United Development Company (UDC) and Barwa Real estate. This offset the gain made by Mazaya Qatar Real Estate that surged 1.2 percent MoM.