GCC Daily Market Update - 30 May

Transcription

1. DAILY MARKET UPDATE May 30 , 2017 GLOBAL MARKETS MARKET COMMENTARY Change Performance Value (%) MTD (%) YTD (%) Closing Level Indices Global S&P 500 Dow Jones Ind. Average Nasdaq FTSE 100 DAX 30 CAC 40 BIST 100 Nikkei Hang Seng Shanghai Composite BSE Sensex GCC QE Index Saudi Arabia (TASI) UAE (ADX) UAE (DFM) Kuwait (KSE) Oman (MSM) Bahrain (BAX) S&P GCC Dow Jones Islamic Commodity Brent (USD/bbl) WTI (USD/bbl) Natural Gas (USD/mmBTU) Gold Spot (USD/t oz.) Copper (USD/lb) 2,415.8 21,080.3 5,788.4 7,547.6 12,629.0 5,332.5 97,726.0 19,682.6 25,701.6 3,110.1 31,109.3 NA NA NA NA 26.8 (4.2) 192.7 (4.3) 62.4 NA 81.1 NA NA NA NA 0.2 (0.1) 0.2 (0.0) 0.2 NA 0.3 1.3 0.7 3.7 4.8 1.5 1.2 3.2 2.5 4.4 (1.4) 4.0 7.9 6.7 19.0 5.7 10.0 9.7 25.1 3.0 16.8 0.2 16.8 10,112.4 6,821.7 4,492.9 3,318.1 6,662.9 5,385.2 1,318.7 1,637.3 3,271.8 (10.8) 38.3 (3.5) 24.5 13.2 (1.4) 1.3 (0.2) (1.4) (0.1) 0.6 (0.1) 0.7 0.2 (0.0) 0.1 (0.0) (0.0) 0.5 (2.7) (0.7) (2.8) (2.6) (2.3) (1.3) 0.7 2.7 (3.1) (5.4) (1.2) (6.0) 15.9 (6.9) 8.1 4.5 12.5 52.3 49.8 3.2 1,268.1 256.0 0.1 NA NA NA NA 0.3 NA NA NA NA 0.8 1.0 (1.8) (0.0) (1.5) (8.2) (7.2) (13.6) 10.1 2.1 Global Geopolitical fears continue to weigh on European and Asian markets, which witnessed thin trading yesterday with several markets closed. The US, UK and Chinese markets were closed due to public holiday. The Stoxx Europe 600 closed 0.03% lower. Shares of European airlines came under pressure following the announcement by US Homeland Security Secretary John Kelly about possible ban of laptop computers in the cabins of all international flights into and out of the US. Markets in Asia were flat on Monday amidst the reports of another ballistic missile test by North Korea. Japan’s Nikkei remained broadly unchanged, while Hang Seng edged up 0.2%, supported by gains in mainland property shares due to expected rise in home demand in smaller Chinese cities. GCC Gulf markets was mixed on Monday. DFM outperformed its peers, advancing 0.7%. Shares of Amusement park operator DXB Entertainments recovered slightly after several sessions of losses, as it announced the appointment of a new CEO. Drake & Scull edged up 1.5% as it projected its EBITDA to turn positive this year. Saudi Arabia’s benchmark edged up 0.6%. The Petrochemical stocks advanced tracking rise in oil prices, with Saudi Kayan gaining 1.3%. Qatar The QE Index fell 0.1% on Monday amidst weaker sentiments following the reports on Ezdan Holding’s delisting. QSE decided to temporarily remove Ezdan Holding from the components of QSE index after the company agreed to become private joint stock company. Selling pressure was witnessed primarily from the Gulf institutions and local retail investors. Trade turnover and volumes increased on the bourse, with Banking, Real Estate and Telecom sectors together accounting for about 90% of the total volumes. Out of total 44 stocks listed, 41 exchanged hands, of which, 30 advanced, 9 fell and 2 remained unchanged. Source: Bloomberg QATAR MARKET OVERVIEW P/E (x) P/B (x) Qatar All share 14.9 1.5 3.7 99.5 11,000 DSM 20 15.1 1.5 3.8 75.0 10,500 GCC Fundamentals Dividend Value Traded Yield (%) (USD mn) Qatar DSM Index 60.0 40.0 10,112.4 Saudi Arabia (TASI) 16.1 1.6 3.4 571.4 UAE (ADX) 16.3 1.3 4.6 24.3 UAE (DFM) 15.9 1.2 4.3 63.8 Kuwait (KSE) 18.3 1.1 4.4 25.4 Oman (MSM) 12.3 1.2 5.4 5.5 Source: Bloomberg Bahrain (BAX) 8.2 0.8 5.9 1.0 1D Change Performance Value (%) YTD (%) YoY (%) Vol. P/E (‘000) TTM QE Sector Indices Banks & Financial Services Consumer Goods & Services Industrials Insurance Real Estate Telecoms Transportation Source: Bloomberg Qatar Trading Activity Top Gainers Qatar & Oman Inv. Co Commercial Bank Qsc Doha Bank Qsc Al Khaleej Takaful Grp Gulf Warehousing Top Losers Ezdan Holding Group Medicare Group Qatari Investors Group Mannai Corporation Al Meera Cons. Goods Close Price 9.1 32.4 32.2 19.8 51.5 0.3 1.1 0.9 0.5 1.0 3.8 3.4 2.9 2.6 2.0 (8.2) 4.5 (4.5) (6.4) (8.0) 13.4 89.0 57.4 76.6 152.0 (0.7) (1.6) (0.6) (0.5) (0.9) (4.7) (1.8) (1.0) (0.6) (0.6) (11.4) 41.5 (1.9) (4.3) (13.4) Source: Bloomberg; Note: Prices are in local currency. (17.0) (4.1) (5.0) (18.6) (12.3) 23.8 531.7 201.0 2.5 133.9 25.8 102.6 10.1 39.3 14.3 (21.3) 1,743.3 16.2 (12.7) 94.1 36.3 17.9 5.5 24.9 (14.3) 2.3 7.0 (25.9) 10.4 16.0 20.0 10,000 9,500 8/Mar 0.0 22/Mar 5/Apr 19/Apr Index Volume (mn) 3/May 17/May Index Value Closing Level 3,101.2 5,876.1 3,130.8 4,294.1 2,163.9 1,270.4 2,160.4 1D Change (%) 0.6 (0.2) 0.3 (0.1) (2.6) 0.9 0.7 Buy (%) 31.2 51.0 82.1 9.6 8.2 17.9 Sell (%) 42.0 28.0 70.0 9.9 20.1 30.0 Source: Qatar Exchange Qatar Trading Summary Qatari Individuals Qatari Institutions Qatari – Total Foreign Individuals Foreign Institutions Foreign – Total Source: Qatar Stock Exchange, Bloomberg 1
2. DAILY MARKET UPDATE May 30 , 2017  Saudi Arabia’s general reserve declined by 28.5% YoY to SAR 639.9bn (USD 170.6bn) and reserve assets reached SAR 1.9tn in April-17 as compared to SAR 1.9tn in March-17. (Source: Mubasher)  Saudia Dairy and Foodstuff Company has approved to distribute dividends worth SAR 130.0mn at SAR 4.0 per share, amounting to 40.0% of share capital. (Source: Saudi Gazette)  Saudi Capital Market Authority announced to delist Weqaya Takaful Insurance and Reinsurance Company as the company didn’t took required steps to rectify its situation of 50% loss before the expiration of the given grace period. (Source: (Mubasher)  Saudi Arabia based The Mediterranean & Gulf Insurance & Reinsurance Company clarified that it is not exploring strategic options including that of a potential sale of the company and hasn’t appointed Saudi Fransi Capital to advise on the process, a company spokesman said. (Source: Bloomberg)  Saudi Arabian based Alawwal Bank has appointed JPMorgan as its adviser on a proposed merger with Saudi British Bank and discussed the principle of the merger and time frame for its completion as per sources familiar with the matter. (Source: Zawya)  Saudi Electricity Company has inked a cooperation agreement with Al Safwa Cement Company for recycling carbon ash and use of oils and oil residues from power generation plants as an alternative to landfilling. (Source: Saudi Gazette)  Dubai International Airport passengers increased by 9.2% YoY to 7.6mn in April-17, according to the monthly traffic report issued by operators of Dubai airport. (Source: Trade Arabia) Oman’s 6 commercial banks listed at the Muscat Securities Market recorded a rise in their net profits by 1.7% YoY to OMR 87.4mn and also reported a growth in their assets, customer deposits and loan portfolios in Q1-17. (Source: Muscat Daily)  Dubai government is expected to raise around USD 500.0mn as an initial loan needed for expansion of metro as per banking sources. The latter phase of funding will be guaranteed by Export Credit Agencies. Bahrain based Eazy Financial Services announced implementation of region’s first biometric enabled payment network supported by NCR Corporation and is expected to target MENA region. (Source: Trade Arabia)  Kuwait banks would be least affected by the new accounting standards, IFRS 9, due to its conservative approach to set aside general provisions for all lending portfolio. (Source: The National)  Kuwait based Alargan International Real Estate Company has approved to distribute 10.0% cash dividend i.e 10 fils per share, at the share nominal value. (Source: Trade Arabia) GLOBAL NEWS  Eurozone broad monetary aggregate M3 surged 4.9% YoY in April-17 slower than March-17, while M1 increased 9.2% YoY. Total credit to Eurozone residents grew by 4.6% YoY while private sector witnessed an increase by 2.9% YoY. (Source: Morningstar)  ECB President Mario Draghi stated that improving Eurozone growth has led to pressure from more conservative countries to plan an exit from its policy of aggressive bond purchases. He emphasized that substantial monetary policy support was required to raise inflation back to the 2.0% target. (Source: Reuters)  Bank of Japan’s (BoJ) interest from its government bond holdings touched a five year low in March-17, declining 100.0% YoY to JPY 1.2tn as the yield on investment for its bond holdings slid to a record low of 0.3% from 0.4% in the previous period. (Source: Reuters)  Japan’s labor demand grew strongest in 40 years as jobs-to-applicants ratio rose to 1.48 in April-17 from 1.45 in March-17 due to a shortage of workers and increased activity in services and construction. Household spending however declined 1.4% YoY in April-17 due to lower spending on cars and education fees. (Source: Reuters)  Australia’s building approvals rose 4.4% MoM, a turnaround from March-17 upwardly revised 10.3% decline driven by a rise in total dwellings excluding houses i.e. apartments, that rose 8.9%. (Source: Financial Times) GCC NEWS   (Source: Zawya)  Dubai based Drake & Scull International has received approval from shareholders on its capital restructuring programme which will pursue a 2 phase strategy with additional capital reduction in its 1st phase and an increase of AED 500.0mn (USD 136.0mn) capital in its 2nd phase. (Source: Trade Arabia)       Dubai Electricity and Water Authority has partnered with Water Aid Foundation (Suqia) to develop a reverse osmosis water desalination plant at the Mohammed Bin Rashid Al Maktoum Solar Park in Dubai with a capacity of 50 m3/day. (Source: Trade Arabia) Dubai based developer Shaikhani Group has delivered 100 residential units at its AED 150.0mn (USD 41.0mn) Champions Tower I in Dubai Sports City. (Source: Trade Arabia) Dubai based Mashreq bank has inked for SWIFT global payments innovation (gpi) service which improves cross-border payments by increasing the speed, transparency and end-to-end tracking of transactions. (Source: Zawya) Abu Dhabi Securities Exchange’s 65 listed companies reported an increase in their profit by 19.0% YoY to AED 12.0bn (USD 3.3bn) and banking sector reported a rise in 14 bank’s profits by 6.6% YoY to AED 5.8bn in Q1-17. (Source: WAM) Abu Dhabi based Bloom Properties has awarded 5 construction contracts worth over AED 1.0bn (USD 272.0mn) since the beginning of 2017. (Source: Trade Arabia) Abu Dhabi government has approved worth AED 74.2mn (USD 20.3mn) infrastructure development projects including water supply network and establishment of parks in UAE. (Source: WAM) QATAR NEWS  The impact of International Financial Reporting Standard (IFRS) 9 "Financial Instruments" on the financial profiles of the rated banks in GCC will be manageable, according to S&P. The most affected rated banks would be in Qatar. (Source: The Peninsula)  QSE decided to temporarily remove Ezdan Holding Group from the components of QSE Index as the company intends to become private. The effective date of the removal from QSE was the closing of the trading session on 29th May-17. (Source: Gulf Times)  The Supreme Committee for Delivery & Legacy (SC) has given the contract of building the team training sites for the 2022 FIFA World Cup to Nakheel Landscapes and Gulf Contracting. (Source: The Peninsula)  Sidra Medical and Research Center (Sidra) has implemented IBM solutions to manage and store clinical genome sequencing data as well as to provide the organisation’s biomedical informatics technology infrastructure. (Source: The Peninsula)  Diesel and super gasoline will be slightly cheaper in June-17 with 95octane super gasoline (petrol) to cost QAR1.65 a litre instead of QAR 1.70, while diesel price will come down to QAR 1.55 a litre from QAR1.60 currently. Premium gasoline price will remain unchanged, the Ministry of Energy and Industry said. (Source: Gulf Times) 2
3. DAILY MARKET UPDATE May 30 , 2017 FX RATES Currencies Value Currencies Value EUR/USD 1.1194 USD/QAR 3.6414 111.2700 EUR/QAR 4.0762 USD/JPY GBP/USD 1.2870 JPY/QAR 0.0327 USD/CHF 0.9777 GBP/QAR 4.6865 USD/CAD 1.3452 CHF/QAR 3.7245 AUD/USD 0.7440 CAD/QAR 2.7070 NZD/USD 0.7057 AUD/QAR 2.7092 USD/INR 63.9962 INR/QAR 0.0569 USD/TRY 3.5770 TRY/QAR 1.0180 USD/ZAR 12.9653 ZAR/QAR 0.2809 USD/BRL 3.2569 BRL/QAR 1.1181 FX Commentary USD ended flat against basket of major currencies on Monday in a subdued trading due to Memorial Day holiday and as investors await Friday’s US employment report. CAD ended lower as investors took cautious stance ahead of country’s GDP data and trade data later this week. Slight rise in oil prices restricted the losses in CAD. EUR ended flat against the USD as ECB president gave no forward guidance on monetary policy ahead of upcoming ECB meeting on 8th June-17. GBP strengthened against its US counterpart as investors showed confidence that British Prime Minister Theresa May would win next week’s election against Labour Party, strengthening her hand on Brexit negotiations. JPY gained earlier session after North Korea fired a short range ballistic missile, but remained flat in the end. Source: Bloomberg INTERBANK OFFERING & US SWAP RATES Duration SOVEREIGN YIELD CURVES & CDS SPREAD Overnight 1 Week 0.93 0.95 1.04 1.20 1.72 (0.43) (0.38) (0.37) (0.33) (0.13) QAIBOR 1.40 1.50 1.69 1.97 2.68 SAIBOR NA 1.09 1.27 1.72 2.20 EIBOR 0.66 0.87 1.08 1.49 2.13 BMIBOR 0.80 1.00 1.45 1.80 2.43 NA NA 1.38 1.63 2.13 LIBOR EURIBOR KIBOR 1 Month 3 Month 1 Year Qatar vs US Treasuries Yields 4.0% 2.50% 2.79% 3.09% 1.78% 2.05% 2.24% 7 Yrs 10 Yrs US 4.25% 1.71% 2.0% 1.29% 2.90% 0.0% 2 Yrs 5 Yrs Qatar 30 Yrs Source: Bloomberg Source: Bloomberg US Swap Rates 5 Years CDS 3.0% US 21.8 (8.2) Turkey 197.2 UK 24.1 (14.6) Brazil 238.1 (59.2) Germany 13.6 (9.0) Egypt 335.0 (115.7) 2.0% 1.53% 2.02% 1.86% 2.19% 2.47% 2.17% 1.0% 1.08% 1.52% 1.33% 1.71% 0.0% 2 Yrs 5 Yrs 7 Yrs Current 10 Yrs Last Year 30 Yrs France Spreads 6M Change 5 Years CDS Spread 6M Change (92.9) 25.1 (14.1) Abu Dhabi 38.8 (27.9) Italy 136.1 (36.8) Bahrain 219.8 (101.1) Greece 626.3 (302.6) Dubai 103.9 (52.1) Russia 148.1 (83.2) Qatar 58.0 (29.5) Japan 26.4 (6.6) Saudi Arabia 89.4 (35.5) Source: Bloomberg Source: Bloomberg ECONOMIC CALENDAR Time Country Event Period Survey 09:45 France Consumer Confidence May 101 Prior 100 09:45 France GDP QoQ 1Q P 0.30% 0.30% 09:45 France GDP YoY 1Q P 0.80% 0.80% 11:00 Italy PPI MoM Apr - (0.10%) 12:00 Eurozone Consumer Confidence May F (3.3) (3.3) 15:00 Germany CPI MoM May P (0.10%) 0.00% 15:00 Germany CPI YoY May P 1.60% 2.00% 15:00 Germany CPI EU Harmonized MoM May P (0.10%) 0.00% 15:00 Germany CPI EU Harmonized YoY May P 1.50% 2.00% 15:30 US Personal Income Apr 0.40% 0.20% 15:30 US Personal Spending Apr 0.40% 0.00% 15:30 Canada Industrial Product Price MoM Apr - 0.80% 17:00 US Conf. Board Consumer Confidence May 119.8 120.3 17:30 US Dallas Fed Manf. Activity May 15.0 16.8 02:50 Japan Industrial Production MoM Apr P 4.20% (1.90%) 02:50 Japan Industrial Production YoY Apr P 6.10% 3.50% 08:00 Japan Housing Starts YoY Apr (1.50%) 0.20% Source: Bloomberg 3
4. DAILY MARKET UPDATE May 30 , 2017 QSE MAIN FINANCIAL INDICATORS Company Ahli Bank Comm. Bank of Qatar Dlala Doha Bank Islamic Holding Al khalij Commercial Bank Rayan National Leasing First Bank (QFC) Qatar Islamic Bank Intl. Islamic Bank QNB Qatar Oman Banks & Financial Services Mannai Corp. Medicare Al Meera Cinema Qatar Fuel Qatar German Co. Med Salam International Widam Zad Holding Company Consumer Goods & Services Aamal Gulf International Industries Qatar Mesaieed Qatar Electricity & Water The Investors Ind. Manf. Co. National Cement Co. Industrials Al Kaleej Takaful Doha Insurance Qatar Insurance General Insurance Islamic Insurance Insurance Barwa Ezdan Holding Mazaya Qatar United Dev. Company Real Estate Ooredoo Vodafone Qatar Telecoms Gulf warehousing Co Nakilat Qatar Navigation Transportation Market Dividend Yield (%) 3.0 0.0 0.0 9.3 1.5 5.1 4.4 3.0 0.0 4.5 6.5 2.2 5.5 3.1 5.2 3.4 5.9 3.2 5.3 0.0 7.7 5.5 5.9 5.3 4.6 4.2 3.8 4.2 3.5 1.7 6.9 5.1 3.8 3.0 3.8 1.6 3.9 5.5 2.2 7.2 3.7 0.0 6.5 4.8 3.3 N/A (‫)غ‬ 2.7 3.1 5.1 5.0 4.8 3.5 P/B Ratio (x) 1.3 0.8 2.8 0.9 2.7 0.9 2.9 0.8 1.0 1.8 1.6 2.3 1.0 1.8 1.4 2.6 2.4 1.5 1.8 1.4 0.7 4.4 0.7 1.7 1.0 1.2 2.0 1.3 3.0 2.9 1.4 1.6 1.8 0.9 0.8 2.4 0.5 3.0 1.6 0.8 1.1 1.0 0.6 0.9 1.6 N/A (‫)غ‬ 1.9 2.0 1.3 0.6 0.9 1.6 P/E Ratio (x) 10.0 43.1 53.3 7.8 71.5 12.2 16.7 (H) (‫)م‬ (M) (‫)س‬ 11.2 11.6 10.8 25.8 12.1 7.0 36.4 16.0 50.8 14.7 (M) (‫)س‬ 11.5 12.0 6.1 12.8 18.3 (H) (‫)م‬ 20.0 18.0 15.3 24.9 10.4 10.7 18.6 38.8 10.4 19.4 16.3 14.8 18.4 9.4 16.3 26.6 11.4 13.5 17.9 N/A (‫)غ‬ 21.8 14.4 12.0 13.5 12.8 14.2 EPS (QR) 3.2 0.8 0.5 4.1 0.9 1.2 2.7 0.1 (M) (‫)س‬ 9.4 5.3 13.8 0.4 5.6 11.0 2.5 9.5 0.6 8.2 (M) (‫)س‬ 0.9 5.3 12.6 5.4 0.7 0.0 5.3 0.8 14.0 2.3 4.2 6.7 2.4 0.5 1.6 3.7 2.4 4.3 3.0 3.7 0.8 0.5 1.7 1.2 5.9 N/A (‫)غ‬ 1.6 3.6 1.6 5.2 2.4 3.0 BV/Share (QR) 24.2 42.0 9.2 34.9 24.4 16.7 15.6 20.1 9.0 57.9 39.2 65.1 9.6 36.6 54.5 33.9 63.0 20.9 65.8 6.4 14.0 14.5 112.9 41.5 12.7 19.5 52.9 10.9 72.3 20.1 30.9 44.8 23.9 20.9 21.3 29.2 71.6 21.0 35.7 45.6 11.7 12.6 30.2 17.4 68.5 N/A (‫)غ‬ 18.8 25.2 14.7 122.0 32.4 26.6 Stock Price (QR) 31.7 32.4 25.3 32.2 65.5 14.7 45.3 16.6 8.9 105.0 61.3 147.9 9.1 76.6 89.0 152.0 31.0 120.6 8.9 10.3 63.2 76.5 13.0 23.6 105.5 14.3 215.0 57.4 43.8 71.4 19.8 16.0 70.9 39.0 63.2 34.7 13.4 12.2 19.2 106.0 8.8 51.5 19.6 70.0 - Company ‫االهلي‬ ‫التجاري‬ ‫داللة‬ ‫بنك الدوحة‬ ‫اإلسالمية القابضة‬ ‫الخليجي‬ ‫الريان‬ ‫االجارة‬ ‫ األو ل‬QFC ‫المصرف‬ ‫الدولي‬ ‫الوطني قطر بنك‬ ‫قطروعمان‬ ‫البنوك والخدمات المالية‬ ‫مجمع المناعي‬ ‫الرعاية‬ ‫الميرة‬ ‫السينما‬ ‫قطر للوقود‬ ‫الطبية‬ ‫السالم‬ ‫ودام‬ ‫زاد‬ ‫البضائع والخدمات االستهالكية‬ ‫أعمال‬ ‫الخليج الدولية‬ ‫صناعات قطر‬ ‫مسيعيد‬ ‫كهرباء وماء‬ ‫المستثمرين‬ ‫التحويلية‬ ‫االسمنت‬ ‫الصناعات‬ ‫الخليج‬ ‫الدوحة‬ ‫قطر‬ ‫العامة‬ ‫االسالمية‬ ‫التأمين‬ ‫بروة‬ ‫إزدان القابضة‬ ‫مزايا قطر‬ ‫المتحدة للتنمية‬ ‫العقارات‬ ‫كيوتل‬ ‫فودافون قطر‬ ‫االتصاالت‬ ‫مخازن‬ ‫ناقالت‬ ‫المالحة‬ ‫النقل‬ Source: Qatar Exchange; Note: The above mentioned indicators were calculated according to the latest reliable financial data. DISCLAIMER It is understood that any opinions expressed by Commercial Bank or its affiliates as to the commentary, market information, and future direction of prices of specific securities reflects the views of the individual analyst who issued them, and not necessarily represent the views of Commercial Bank or its affiliates in any way. In no event shall CBQ or its affiliates have any liability for any direct or indirect losses incurred in connection with any decision made, action or inaction taken by any party in reliance upon the information provided in this materials or for any delays, inaccuracies, errors in, or omissions of the said information. 4