GCC Daily Market Update - 16 May

Transcription

1. DAILY MARKET UPDATE May 16 , 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) 2,402.3 20,981.9 5,704.5 7,454.4 12,807.0 5,417.4 95,587.8 19,869.9 25,371.6 3,090.2 30,322.1 11.4 85.3 17.7 19.0 36.6 12.0 591.4 (14.1) 215.3 6.7 134.0 0.5 0.4 0.3 0.3 0.3 0.2 0.6 (0.1) 0.9 0.2 0.4 0.8 0.2 2.2 3.5 3.0 2.8 1.0 3.5 3.1 (2.0) 1.3 7.3 6.2 17.3 4.4 11.5 11.4 22.3 4.0 15.3 (0.4) 13.9 10,118.1 6,892.0 4,564.3 3,377.8 6,706.3 5,416.5 1,312.0 1,638.9 3,248.9 56.6 38.9 (29.0) (37.9) 47.4 (4.0) 1.6 0.0 14.8 0.6 0.6 (0.6) (1.1) 0.7 (0.1) 0.1 0.0 0.5 0.5 (1.7) 0.9 (1.1) (2.0) (1.8) (1.8) 0.8 1.9 (3.1) (4.4) 0.4 (4.3) 16.7 (6.3) 7.5 4.1 11.8 51.8 48.9 3.3 1,230.0 253.3 1.0 1.0 (0.1) 2.3 1.5 1.9 2.1 (2.2) 0.2 0.6 0.5 (0.6) 2.4 (3.0) (2.9) (8.5) (8.7) (10.0) 6.8 0.6 Global Healthy gains in oil prices supported global markets, as Russia and Saudi Arabia voiced to extend production cuts for nine additional months. However, geopolitical pressures checked the gains in the markets, as North Korea tested another ballistic missile over the weekend. S&P 500 outperformed its peer indices in the US markets, helped by gains in energy stocks. Fears of WannaCry virus supported shares of cybersecurity companies. Similar buying trends were witnessed in European markets. In Asia, China’s benchmark ended in the green, as investors cheered the Chinese President’s USD 100.0bn infrastructure plans. Japanese markets started on a weak note, however trimmed losses, on back of a weaker yen. GCC GCC markets traded mixed yesterday. Saudi markets rose 0.6%, tracking gains in oil prices. While petchem major SABIC added 0.5%, shares of PetroRabigh continued declining for second consecutive session, on the back of wider Q1-17 losses reported earlier this week. UAE markets traded lower, despite support from oil prices. Dubai’s benchmark slipped 1.1%, impacted by a sharp fall in DXB Entertainment, as investors have been disappointed by attendance figures at the company's parks. Kuwaiti markets climbed 0.7%, amid reports of higher weighting of the nation in MSCI’s Frontier market index. Qatar Qatari markets ended higher yesterday and climbed above 10,100 mark, helped by gains in crude oil prices. Foreign and domestic institutions dominated the buying activity during the session, with bullish bets witnessed in Real Estate and Insurance sector. Total trading volume and turnover was lower, with Telecom, Banking and Real Estate sectors accounting for almost 89% of the total volumes. Out of 44 companies listed, 41 exchanged hands, of which 24 advanced, 13 declined and 4 remain unchanged. Source: Bloomberg QATAR MARKET OVERVIEW P/E (x) P/B (x) Qatar All share 14.9 1.5 3.7 47.0 11,000 DSM 20 15.2 1.5 3.8 32.6 10,500 Saudi Arabia (TASI) 17.8 1.6 3.3 853.3 UAE (ADX) 16.5 1.4 4.3 29.3 UAE (DFM) 14.9 1.2 4.2 85.4 Kuwait (KSE) 21.1 1.3 3.7 58.9 Oman (MSM) 12.4 1.2 5.4 2.6 Source: Bloomberg Bahrain (BAX) 8.2 0.8 6.0 1.5 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 GCC Fundamentals Dividend Value Traded Yield (%) (USD mn) Source: Bloomberg Qatar Trading Activity Top Gainers Al Khaleej Takaful Grp Qatar Industrial Manuf. Qatar Islamic Insurance National Leasing Barwa Real Estate Co Top Losers Zad Holding Co Dlala Holding Widam Food Co QGMD Al Khalij Comm. Bank Close Price 19.9 43.4 64.5 17.5 33.9 0.7 1.1 1.4 0.3 0.5 3.5 2.6 2.2 1.7 1.3 (5.7) (2.5) 27.5 14.2 2.0 (22.3) 7.2 8.4 (2.8) 5.8 36.2 27.8 85.9 608.9 194.6 76.3 24.8 61.1 9.0 14.7 (2.9) (0.6) (0.7) (0.1) (0.2) (3.7) (2.4) (1.1) (1.1) (1.1) (14.5) 15.4 (10.1) (10.9) (13.8) (11.8) 8.5 3.6 (27.2) (12.3) 0.1 9.9 168.9 51.9 19.9 NA 38.9 NA 5.0 12.2 Source: Bloomberg; Note: Prices are in local currency. 39.6 10.3 15.1 243.4 9.2 Qatar DSM Index 60.0 40.0 10,118.1 20.0 10,000 9,500 21/Feb 0.0 7/Mar 21/Mar 4/Apr Index Volume (mn) 18/Apr 2/May Index Value Closing Level 2,975.6 5,922.5 3,117.1 4,329.6 2,405.1 1,285.9 2,110.3 1D Change (%) 0.5 (0.6) 0.4 0.6 1.1 0.2 0.2 Buy (%) 39.0 25.8 64.8 11.2 24.0 35.2 Sell (%) 47.3 21.4 68.7 9.5 21.8 31.3 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 16 , 2017 GLOBAL NEWS   US home builder confidence in newly built single-family homes climbed to 70.0 points in May-17 from 68.0 in April-17 indicating that builders’ optimism in the housing market is solidifying despite higher building material costs and shortages of labor. (Source: Reuters) The ECB and the Eurozone's national central banks received cash worth EUR 18.1bn on the average April-17 day in return for bonds lent out under the scheme bonds-for-cash. This amount is far below the program's EUR 50.0bn maximum capacity. (Source: Reuters)  German Chancellor and French President agreed to draw up a roadmap to deeper EU integration and opened the door to changing the bloc's treaties to facilitate ambitious reform. (Source: Reuters)  Germany's economy is expected to grow robustly with public and private consumption continuing to increase strongly, the nation’s Economy Ministry said. (Source: Reuters)  The IMF said that Germany should use its rising tax revenues to invest in infrastructure projects that will enhance its growth potential and encourage employers to raise wages to help lift euro zone inflation. (FGB) and NBAD in April-17. (Source: Arabian Business)  Saudi Arabia and Russia have agreed to extend the Opec and non-Opec oil output reduction deal for another nine months till march 2018, Energy minister of both the countries said. (Source: Trade Arabia)  Saudi Arabia based Acwa Power has obtained the green signal from Egypt’s Ministry of Electricity to establish worth USD 2.2bn power plant with a capacity of 2,250 MW on a usufruct system for 25 years in Luxor.. (Source: Trade Arabia)  Saudi Aramco has awarded a new contract to the National Petroleum Construction Company for four offshore platforms and associated submarine pipelines, cables and tie-ins for Al Safaniya, Zuluf and Berri oilfields. (Source: Trade Arabia)  Oman’s producer inflation went up 15.3% YoY in Q1-17 driven by rise in prices of oil and gas products by 18.9% YoY, while non-oil products added 2.7%, crude oil and natural gas grew 16.8%, and refined oil products surged 32.4% during the period. (Source: Mubasher)  Oman based National Finance Company’s board of directors agreed to offer a cash buyout to the shareholders of Oman Orix Leasing Company. The proposed cash offer equates to a price of 1.20x the ending book value of Oman Orix as on 31st March-17. (Source: Muscat Daily)  Oman based Sohar Port, Hutchinson has launched its new auto gate system at Terminal C which promises to make container shipments at the Ports even faster and more secure, CEO of the company said. (Source: Reuters)  China’s real estate investment rose at a robust rate of 9.3% YoY in January-17 to April-17 period. Property sales measured by floor area grew 15.7% YoY during the period. (Source: Reuters)  China’s steel production reached at its highest-ever level of 72.8mn tonnes in April-17, stoking worries about a growing glut of metal even as the government said most of the 2017 targeted capacity cuts have already been met. (Source: Reuters)  Australia's central bank was confident core inflation would pick up by early 2018, but worries about a subdued labour market amid soaring household debt forced it to stand pat on rates earlier in May-17, minutes of its policy meeting showed. (Source: Reuters) GCC NEWS  (Source: Muscat Daily)  Bahrain based Bank ABC reported a rise in its net profit attributable to the shareholders of the parent by 22.0% YoY to USD 50.0mn in Q1-17 driven by strong performance in all core businesses. (Source: Trade Arabia)  Kuwait based Armada Group is establishing a USD 50.0mn regional logistics centre in the Bahrain Logistics Zone. The construction will be finalized within 18 months and is expecting revenue to exceed USD 70.0mn. (Source: Mubasher)  Kuwait Foundry has approved to distribute 10.0% of the company’s capital as a cash dividend. The company’s capital of KD 15.4mn is been distributed over 153.9mn shares. (Source: Mubasher) GCC’s aviation sector constitutes 69.0% of the number of all active aviation projects in the MENA region, according to BNC Network. Saudi Arabia has the largest share (46.0%) of these projects, followed by UAE (26.0%) and Kuwait (12.0%). (Source: Trade Arabia)   Gulf flooring market is expected to reach an annual value of USD 10.0bn by 2026 in which UAE is leading the GCC flooring boom with 9,000 projects running followed by 3,000 new builds in Saudi Arabia and 2,000 in Qatar according to BNC Report. (Source: Trade Arabia) The Consumer Price Index (CPI) declined by 0.2% MoM in April-17 to 108.4. On a year on year basis, the index rose by 0.6% during the month on back of costlier Transport, Health, Education, Furniture and Miscellaneous goods and services. (Source: QNA)   UAE based Federal Electricity and Water Authority has approved a AED 42.0mn (USD 11.4mn) project to replace the old water pipelines in Al Nakheel, Al Nuaimiya and Rashidiya areas of Ajman. (Source: WAM) Qatar’s non-oil exports for the Q1-17 stood at QAR 4.9bn. The total value of Qatar’s non-oil exports rose to QAR 1.8bn in March-17, compared to QAR1.5bn in March-16. (Source: Mubasher)   Dubai saw a 12.0% YoY increase in business licenses issued to total 5,378.0 number of licenses. New business increased by 126.5% YoY to 308.0 in Q1-17, indicating remarkable optimism among investors and stability across industry sectors. (Source: Trade Arabia) Qatar and Sweden are planning to set up a green water desalination project that would use only solar and wind energy to treat water and reduce 4,50,000 tons of carbon emission per year. (Source: The Peninsula)  El Salvador seeks to improve economic & commercial ties with Qatar, the former’s Vice Minister of Trade & Industry said. (Source: Qatar Tribune) QATAR NEWS  Dubai based Damac properties has reported a net profit of AED 880.0mn (USD 240.0mn) and has achieved a net profit margin of 45.0%. Revenue’s recorded stood at AED 2.0bn with a gross profit margin of 54.0% during the period. (Source: Trade Arabia)  The energy and industry sector in Qatar has achieved a Qatarisation rate of 29.0%, with the number of Qataris employed in the sector tripling from 2,900 to 9,300 in 16 years, said Minister of Energy and Industry. (Source: Qatar Tribune)  Dubai based developer Nakheel has begun leasing space at Nad Al Sheba Mall which will have 200 shops, restaurants and entertainment outlets spread across 500,000 sq ft of shop space. (Source: Trade Arabia)   Dubai based Deyaar Development has selected Yardi Voyager 7S to perform lease and property management across its extensive project portfolio. (Source: Trade Arabia) The Group Securities, QNB Financial Services and Dlala Brokerage accounted for more than 60.0% of stocks trade turnover in the Qatar Stock Exchange during January-April-17, according to the local bourse data. (Source: Gulf Times)  SYS, one of the world's largest companies for outsourced payment services, announced that it has signed an agreement with Qatar International Islamic Bank (QIIB) to license its PRIME 4 payment solution platform. (Source: Qatar Tribune)  National Bank of Abu Dhabi reported worth AED 2.0bn (USD 544.0mn) transaction conducted via shares since the merger of First Gulf Bank 2
3. DAILY MARKET UPDATE May 16 , 2017 FX RATES Currencies Value Currencies Value EUR/USD 1.1005 USD/QAR 3.6415 113.7900 EUR/QAR 4.0075 USD/JPY GBP/USD 1.2926 JPY/QAR 0.0320 USD/CHF 0.9966 GBP/QAR 4.7070 USD/CAD 1.3633 CHF/QAR 3.6539 AUD/USD 0.7413 CAD/QAR 2.6711 NZD/USD 0.6881 AUD/QAR 2.6994 USD/INR 63.5600 INR/QAR 0.0573 USD/TRY 3.5483 TRY/QAR 1.0263 USD/ZAR 13.1849 ZAR/QAR 0.2762 USD/BRL 3.1094 BRL/QAR 1.1711 FX Commentary USD ended lower against basket of major currencies on Monday led by weaker-than-expected US manufacturing activity in May-17 and stronger CAD adding to downside pressure. CAD strengthened against its US counterpart as oil prices rose following Saudi Arabia and Russia’s agreement to extend the oil output cuts until March-18. GBP strengthened against the greenback as latest poll on Monday showed Theresa May’s Conservative Party would win 48.0% of the vote, giving the PM the ease of tackling Brexit negotiations. EUR rose to one-week high against the weaker USD as investors were optimistic on upcoming data releases, which includes Eurozone trade balance for March-17 and Eurozone Q1 GDP estimate due on Tuesday. JPY remained lower despite geopolitical uneasiness after North Korea carried out a missile test on Sunday. Source: Bloomberg INTERBANK OFFERING & US SWAP RATES Duration SOVEREIGN YIELD CURVES & CDS SPREAD Overnight 1 Week 0.93 0.95 0.99 1.18 1.77 (0.43) (0.38) (0.37) (0.33) (0.13) 1.42 1.53 1.72 1.97 2.73 LIBOR EURIBOR QAIBOR 1 Month 3 Month 1 Year SAIBOR NA 1.09 1.27 1.73 2.20 EIBOR 0.74 0.88 1.09 1.48 2.17 BMIBOR 0.83 1.03 1.50 1.83 2.53 NA NA 1.38 1.63 2.13 KIBOR Qatar vs US Treasuries Yields 4.0% 2.54% 2.86% 3.18% 1.85% 2.13% 2.33% 7 Yrs 10 Yrs US 4.36% 1.80% 2.0% 1.30% 3.00% 0.0% 2 Yrs 5 Yrs Qatar 30 Yrs Source: Bloomberg Source: Bloomberg US Swap Rates 5 Years CDS 3.0% US 23.9 (5.1) Turkey 205.7 (86.2) UK 24.7 (13.9) Brazil 199.2 (105.2) Germany 16.7 (6.4) Egypt 335.0 (146.3) France 30.0 (7.4) Abu Dhabi Italy 162.3 (0.8) Greece 638.3 Russia 151.4 Japan 25.0 1.90% 2.0% 2.25% 2.07% 2.52% 1.53% 2.11% 1.0% 0.0% 0.92% 2 Yrs 1.62% 1.40% 1.22% 5 Yrs 7 Yrs Current 10 Yrs Last Year 30 Yrs Spreads 6M Change 5 Years CDS Spread 6M Change 42.0 (35.6) Bahrain 220.1 (165.2) (320.1) Dubai 112.6 (50.3) (80.3) Qatar 61.9 (35.2) (8.0) Saudi Arabia 91.9 5.4 Source: Bloomberg Source: Bloomberg ECONOMIC CALENDAR Time Country Event 09:45 France CPI YoY 11:30 UK CPI YoY 12:00 Germany ZEW Survey Current Situation 12:00 Germany ZEW Survey Expectations 07:30 Japan Industrial Production MoM Period Survey Prior Apr F 1.20% 1.20% Apr 2.60% 2.30% May 82 80.1 May 22 19.5 Mar F - (2.10%) Source: Bloomberg GCC COMPANY RESULTS Company Name Damac Properties Dubai Revenues (mn) YoY (%) QoQ (%) Net Profit (mn) YoY (%) QoQ (%) 1,945.4 20.2 (4.4) 880.4 (16.2) 2.9 Kuwait Food Co NA NA NA 16.7 10.1 637.6 Boubyan Petrochemicals Co 6.6 (1.6) (9.2) 0.4 (89.0) (97.4) Amanat Holdings NA NA NA 13.0 37.8 690.8 Gulf Medical Projects 109.1 (50.5) (51.6) 1,425.6 2,752.9 4,111.3 Eshraq Properties Co NA NA NA (1.0) (5.6) NM Tamdeen Real Estate Co NA NA NA 6.0 7.5 NM National Industries Grp NA NA NA 3.1 713.5 NM Ifa Hotels & Resorts NA NA NA 0.7 (135.4) (78.8) Source: Bloomberg; Note: All figures are in local currency 3
4. DAILY MARKET UPDATE May 16 , 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 (%) 2.8 0.0 0.0 9.4 1.6 5.1 4.7 2.9 0.0 4.7 6.5 2.3 5.4 3.2 5.2 3.1 5.9 3.1 5.3 0.0 7.7 5.7 5.9 5.3 4.6 4.2 3.8 4.1 3.6 1.7 6.9 5.1 3.9 3.0 3.7 1.6 3.7 5.4 2.1 7.4 3.1 0.0 6.5 4.3 3.3 N/A (‫)غ‬ 2.7 3.1 5.3 5.1 4.9 3.6 P/B Ratio (x) 1.4 0.7 2.7 0.9 2.6 0.9 2.7 0.9 0.9 1.8 1.6 2.2 1.0 1.8 1.4 2.8 2.4 1.6 1.8 1.4 0.7 4.2 0.7 1.7 1.0 1.2 2.0 1.3 2.9 2.9 1.4 1.6 1.8 1.0 0.8 2.4 0.6 3.1 1.6 0.7 1.4 1.0 0.6 1.0 1.6 N/A (‫)غ‬ 1.9 2.0 1.3 0.6 0.9 1.6 P/E Ratio (x) 10.7 40.0 52.4 7.8 67.9 12.2 15.6 (H) (‫)م‬ (M) (‫)س‬ 10.8 11.6 10.3 26.0 11.6 7.0 39.0 16.1 53.0 14.7 (M) (‫)س‬ 11.6 11.6 6.0 12.9 18.4 (H) (‫)م‬ 19.9 18.3 14.8 25.3 10.3 10.7 18.5 39.1 10.5 19.4 17.0 15.1 18.6 9.2 19.4 26.7 11.4 14.9 17.9 N/A (‫)غ‬ 22.1 14.3 11.6 13.2 12.5 14.1 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) 33.9 30.0 24.8 31.9 62.2 14.7 42.5 17.5 8.4 101.7 61.4 141.0 9.2 76.9 95.5 153.0 32.4 120.4 9.0 10.4 61.1 76.3 13.1 23.9 104.9 14.5 208.0 58.5 43.4 71.4 19.9 16.3 71.0 40.7 64.5 33.9 15.9 12.2 19.2 106.2 9.4 51.0 19.0 68.9 - 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