GCC Daily Market Update - 17 October

Transcription

1. DAILY MARKET UPDATE October 17 , 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) 2,557.6 22,957.0 6,114.5 7,527.0 13,003.7 5,362.9 106,474.5 21,255.6 28,692.8 3,378.5 32,633.6 4.5 85.2 22.1 (8.5) 11.8 11.1 248.8 100.4 216.4 (12.1) 201.0 0.2 0.4 0.4 (0.1) 0.1 0.2 0.2 0.5 0.8 (0.4) 0.6 1.5 2.5 2.3 2.1 1.4 0.6 3.5 4.4 4.1 0.9 4.3 14.2 16.2 25.7 5.4 13.3 10.3 36.3 11.2 30.4 8.9 22.6 8,299.7 6,977.0 4,523.5 3,657.5 6,636.0 5,095.3 1,278.3 1,658.9 3,514.9 (41.4) 39.0 5.1 (0.1) 13.7 (43.6) 3.9 (0.1) 4.0 (0.5) 0.6 0.1 (0.0) 0.2 (0.9) 0.3 (0.0) 0.1 (0.2) (4.2) 2.9 2.6 (0.7) (0.8) (0.4) 1.3 2.2 (20.5) (3.2) (0.5) 3.6 15.4 (11.9) 4.7 5.6 20.9 57.8 51.9 2.9 1,299.9 323.9 0.7 0.4 (0.1) (1.6) 10.6 1.1 0.8 (1.8) (0.1) 3.4 0.5 0.3 (1.2) 1.4 9.4 1.8 (3.5) (20.2) 12.9 29.0 Global US market started the week on a positive note, with all the three major indices, touching record high levels, as investors awaited the release of the key corporate releases which would provide further direction to the stocks. The S&P 500 index inched 0.2% higher, helped by gains in Financials and Energy shares. The Stoxx Europe 600 index erased its gains amid ongoing political uncertainty in Spain regarding Catalonia’s independence referendum. Spanish Banking stocks were among the notable losers. The UK’s benchmark inched lower, however, gains in Mining and Energy shares helped in capping broad market losses. In Japan, the Nikkei index climbed 0.5%, helped by weakness in JPY and increasing optimism that the Shinzo Abe might win the upcoming elections comfortably. GCC Most GCC markets closed higher yesterday. The Saudi Arabian benchmark rebounded, after declining in the previous few sessions. Alinma Bank advanced 4.6%, as the lender’s Q3-17 earnings topped market expectations. Petrochemical stocks were among the notable gainers, as strength in oil prices improved the product pricing prospects of the domestic producers. In Abu Dhabi, Dana Gas fell 1.3%, after stating that it need not redeem its debt instruments, as they have become invalid. The Omani benchmark underperformed its peer indices, led by increased bearish bets in Banking & Investment and Industrial shares. Qatar The QE index fell 0.5% to settle slightly below the 8,300 level. Increased selling pressure on the part of Qatari retail investors led to the broad market losses in the exchange. Total volume and value increased during yesterday’s trading session, with Banking, Consumer and Industrial sectors together accounting for 74.7% of the total trading volume. Out of 45 companies listed, 42 exchanged hands, of which 23 declined, 15 advanced and 4 remain unchanged. Source: Bloomberg QATAR MARKET OVERVIEW P/E (x) P/B (x) Qatar All share 12.9 1.2 4.6 38.6 DSM 20 13.5 1.3 4.7 28.2 Saudi Arabia (TASI) 17.0 1.6 3.4 785.8 UAE (ADX) 16.7 1.3 4.5 53.0 UAE (DFM) 89.0 1.3 3.9 146.8 Kuwait (KSE) 17.8 1.2 5.2 56.3 Oman (MSM) 12.2 1.1 5.2 8.5 Source: Bloomberg Bahrain (BAX) 7.5 0.8 6.1 3.8 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 Mannai Corporation National Leasing Salam International Inv Qatar & Oman Invest Gulf Intl Services Top Losers Doha Insurance Co Qatar General Insu Al Khaleej Takaful Grp Al Khalij Com Bank Industries Qatar Close Price 68.2 11.7 8.2 8.0 18.9 2.8 0.3 0.2 0.2 0.2 4.3 3.0 2.6 1.9 1.0 (14.8) (24.0) (25.4) (19.8) (39.2) (14.8) (35.2) (25.8) (25.4) (45.1) 0.1 6.5 166.1 NA 331.4 11.1 12.8 22.8 141.4 NA 14.0 37.5 13.2 12.0 95.5 (1.0) (2.5) (0.5) (0.2) (1.8) (6.7) (6.3) (3.6) (1.9) (1.9) (23.1) (20.2) (37.4) (29.6) (18.7) (28.9) (14.8) (41.3) (33.5) (11.2) 0.2 3.3 21.3 0.1 114.3 Source: Bloomberg; Note: Prices are in local currency. 8.2 19.0 22.7 10.1 22.4 Qatar DSM Index 10,000 15.0 9,500 10.0 8,299.7 9,000 5.0 8,500 8,000 20/Jul 0.0 3/Aug 17/Aug 31/Aug Index Volume (mn) 14/Sep 28/Sep 12/Oct Index Value Closing Level 2,598.8 5,069.6 2,589.0 3,202.9 1,623.6 1,047.3 1,718.3 1D Change (%) (0.1) 1.1 (1.0) (1.6) (0.0) (0.1) (0.9) Buy (%) 36.6 17.1 53.7 11.6 34.7 46.3 Sell (%) 39.3 16.7 56.0 9.6 34.4 44.0 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 October 17 , 2017 refurbishment and conservation of the Cultural Foundation Building at Qasr Al Hosn, the symbolic birthplace of the capital of the UAE. (Source: GLOBAL NEWS  Eurozone trade surplus increased by 20.6% MoM to EUR 21.6bn in August-17. Exports increased by 2.5% MoM while imports increased by 0.4% MoM. (Source: Market Insider) Wam)  Abu Dhabi National Oil Company has introduced its new brand, by bringing together its subsidiary companies under one common identity that will improve its scale of operations, size of its contribution to the UAE’s economy and its positive impact on the nation’s socioeconomic development. (Source: Trade Arabia)  Japan's industrial production increased by 2.0% MoM and 5.3% YoY in August-17. Shipments increased by 1.8% MoM whereas inventories decreased by 0.6% MoM. (Source: Market Insider) Abu Dhabi based Invest AD has inked an agreement with Brookfield Asset Management to establish a new joint venture. It aims to create institutional quality investment products comprising UAE real estate, including a REIT under the regulatory framework of the Abu Dhabi Global Market. (Source: Trade Arabia)  China's consumer price inflation decrased by 1.6% in September-17 as compared to 1.8% in August-17 due to decrease in food prices inflation by 0.2% MoM. (Source: Market Insider) Abu Dhabi based Etihad Airways has inked a multi-year contract with IBS Software for the implementation of its cargo management solution. (Source: Trade Arabia)  Saudi Arabia’s King Abdullah Port has inked an agreement with AMSteel, a company specialised in operating ports and handling steel shipments, to operate its first bulk and general cargo terminal berth for a period of 25 years. (Source: Trade Arabia)  Bahrain based Islamic investment bank, Ibdar, in collaboration with US property manager, Lincoln Property Company and asset manager, Ritz Banc Group, has acquired a prime office building in Boston, US for USD 48.0mn. (Source: Trade Arabia)  Kuwait based Easa Husain Al-Yousifi & Sons Company has been appointed by Allied Telesis, a provider of networking hardware and software products, as its value added accredited systems integrator exclusively for Kuwait. (Source: Trade Arabia)  Oman Oil Company’s German subsidiary Oxea has closed a USD 1.1 bn term loan agreement, maturing in 2024, to refinance its existing first lien term loan ahead of its 2020 maturity. (Source: Trade Arabia)  Germany's wholesale price inflation increased by 3.4% YoY and 0.6% MoM in August-17 driven by increase in prices of solid fuels and mineral oils by 6.8% YoY. (Source: Market Insider)  Germany's manufacturing employment increased by 1.8% YoY to 5.5mn in August-17. The number of hours worked increased by 2.8% YoY to 690.0mn and earnings increased by 3.6% YoY to EUR 21.9bn. (Source: Market Insider)    China's economy is expected to achieve a growth rate of 7.0% in H217 driven by rapid growth in household consumption, People's Bank of China Governor said. (Source: Market Insider)  India's wholesale price inflation increased by 2.6% YoY in September17. Prices of food articles increased by 2.1% YoY and prices of primary articles increased by 0.2% YoY. (Source: Market Insider)  Turkey’s unemployment rate stood at 10.7% in July-17, unchanged from same period last year and up 0.5 percentage point from the previous month. Number of jobless persons rose to 3.4mn, an increase of 119,000 from July-16. (Source: TurkStat) GCC NEWS  UAE’s top 10 ongoing projects in the residential building sector have contributed an estimated USD 21.6bn to the construction market, as per report released ahead of The Big 5 expo in Dubai. (Source: Trade Arabia)  UAE and Saudi Arabia have agreed to extend the maturity of USD 4.0bn worth of deposits with Egypt's central bank, which were due to mature in 2018, the bank's governor said. (Source: Zawya)  UAE Telecommunications Regulatory Authority has inked a three year agreement with Saudi Arabia based ICDL Arabia to co-operate in the areas of building and developing the necessary skills and awareness of government officials and community segments with regards to digital security and online safety. (Source: Trade Arabia)  UAE based developer, Cityland Group, has inked an agreement with Danish home furnishing retailer, JYSK, to launch its flagship store at Cityland Mall. The 14,400 sq. ft. store will enable UAE consumers to access JYSK’s product designs. (Source: Trade Arabia)  Dubai’s residential sales market experienced a strong growth in 2017 with total value of residential transactions increasing by 11.0% YoY in H1-17, according to CBRE report. (Source: Trade Arabia)  Dubai based ATS World, an integrated logistics and supply chain company, has invested worth AED 20.0mn (USD 5.45mn) in a new warehouse facility located in Jafza-South. (Source: Trade Arabia)  Dubai Aerospace Enterprise is planning to tap the Islamic bond market within the next nine months as part of its strategy to diversify the company's funding, its CEO said. (Source: Zawya)  Dubai based MAG Property Development, subsidiary of MAG Group, has entered into a deal with Rolls-Royce Motor Cars, Dubai, to become the owner of the biggest fleet of Rolls-Royce Ghost model motor cars in the Middle East region. (Source: Trade Arabia)  Abu Dhabi’s Department of Culture and Tourism has awarded AED 500.0mn (USD 136.0mn) worth contract to Zublin Construction for the QATAR NEWS  Qatar’s international reserves recovered to USD 39.0bn in August-17 with the disclosure of USD 19.0bn in foreign assets by the Qatar Central Bank, according to QNB’s latest ‘Qatar Monthly Monitor’. The current account surplus widened to 2.4% of GDP, while the fiscal deficit narrowed to 5.5% of GDP in Q1-17 from 17.9% in Q4-16. (Source: Gulf Times)  Qatar’s Minister of Finance Ali Sherif al Emadi reiterated the country’s commitment to investing USD 35.0bn over a five-year period in the US. Almost USD 30.0bn has already been invested across various sectors in the past three years. (Source: Gulf Times)  The World Competitiveness Report 2017/2018 of the World Economic Forum, recently held in Kuala Lumpur, confirmed that the Qatari capital market was the best and most important financial market in the Arab region. It added that it is one of the top ten financial markets in the world, as per many indicators related to measuring capital market performance. (Source: Gulf Times)  Qatar Investment Fund Plc is planning to broadening its investment strategy from focusing largely on Qatar to targeting other rich oil exporting countries in the region, its board said, adding that it would also change its name. (Source: Zawya)  Qatar’s ministerial committee has recently launched the first private sector fish farming project with a capacity of 2,000 tonnes per year. It is also a part of the government’s efforts to bring self-sufficiency in food and agricultural, livestock and industrial products. (Source: Trade Arabia)  Masraf Al Rayan posted a net profit of QAR 1.6bn in Q3-17. The bank’s total assets rose 13.4% YoY to QAR 98.6bn and it maintained its NPL at 0.12%. (Source: Gulf Times) 2
3. DAILY MARKET UPDATE October 17 , 2017 FX RATES Currencies Value Currencies Value EUR/USD 1.1826 USD/QAR 3.6415 112.1900 EUR/QAR 4.3064 USD/JPY GBP/USD 1.3281 JPY/QAR 0.0325 USD/CHF 0.9756 GBP/QAR 4.8363 USD/CAD 1.2518 CHF/QAR 3.7326 AUD/USD 0.7851 CAD/QAR 2.9090 NZD/USD 0.7171 AUD/QAR 2.8589 USD/INR 64.2200 INR/QAR 0.0567 USD/TRY 3.6464 TRY/QAR 0.9987 USD/ZAR 13.3148 ZAR/QAR 0.2735 USD/BRL 3.1694 BRL/QAR 1.1490 Source: Bloomberg INTERBANK OFFERING & US SWAP RATES Duration Overnight 1 Week 1.18 1.20 1.24 1.35 1.81 (0.44) (0.38) (0.37) (0.33) (0.18) QAIBOR 2.01 2.09 2.22 2.44 2.97 SAIBOR NA 1.35 1.46 1.79 2.24 EIBOR 0.99 1.11 1.32 1.57 2.19 BMIBOR 1.00 1.25 1.75 2.05 2.73 NA NA 1.56 1.75 2.31 LIBOR EURIBOR KIBOR 1 Month 3 Month 1 Year Source: Bloomberg 1.0% 1.04% 2.28% 2.14% 2.03% 1.60% 1.42% 1.27% 2.51% 1.96% 0.0% 2 Yrs SOVEREIGN YIELD CURVES & CDS SPREAD Qatar vs US Treasuries Yields 6.0% 4.0% 2.0% 3.05% 3.27% 3.50% 1.95% 2.15% 2.30% 7 Yrs 10 Yrs US 4.40% 1.97% 1.54% 2.82% 0.0% 2 Yrs 5 Years CDS 3.0% 1.80% The USD inched higher against a basket of currencies yesterday, with the dollar index settling 0.3% higher at 93.325. The USD reversed its direction, after the US President stated that the government would pass the tax reforms by the end of the year. Moreover, comments from the US Fed Chairperson Janet Yellen, over the weekend that the central bank would continue to hike its interest rates, despite the disappointing US inflation data also supported the greenback. The EUR inched lower against the USD, after the Spanish government provided Thursday’s deadline to the Catalan leader to drop its bid for independence. The CAD inched lower against the USD, amid speculations that the NAFTA negotiation talks would be extended. Over the weekend, the Bank of Canada’s Governor Stephen Poloz stated that the Canadian economy would slow in the coming period, as it reaches full capacity. 5 Yrs Qatar 30 Yrs Source: Bloomberg US Swap Rates 2.0% FX Commentary 5 Yrs 7 Yrs Current 10 Yrs Last Year 30 Yrs Source: Bloomberg Spreads 6M Change US 28.3 UK Germany France 5 Years CDS Spread 6M Change (0.4) Turkey 177.3 (58.7) 26.0 3.4 Brazil 182.6 (45.0) 13.5 (14.4) Egypt 346.5 (22.9) 22.2 (57.0) Abu Dhabi 62.2 17.3 Italy 142.7 (51.0) Bahrain 243.0 6.9 Greece 534.6 (436.5) Dubai 132.7 14.3 Russia 131.4 (37.6) Qatar 101.7 36.5 Japan 38.1 10.1 Saudi Arabia 84.8 (3.6) Source: Bloomberg ECONOMIC CALENDAR Time Country Event Period Survey Prior 11:30 UK CPI MoM Sep 0.30% 0.60% 11:30 UK CPI YoY Sep 3.00% 2.90% 12:00 Eurozone CPI YoY Sep F 1.50% 1.50% 12:00 Germany ZEW Survey Current Situation Oct 88.5 87.9 12:00 Germany ZEW Survey Expectations Oct 20 17 Source: Bloomberg GCC COMPANY RESULTS Company Name Revenues (mn) YoY (%) QoQ (%) Net Profit (mn) YoY (%) Masraf Al Rayan NA NA NA 542.1 6.6 6.4 Kuwait Finance House NA NA NA 56.2 7.6 30.6 Mashreqbank NA NA NA 561.0 35.2 0.6 Bank Sohar NA NA NA 7.4 79.4 32.9 United Arab Bank Shell Oman Marketing Acwa Power Barka QoQ (%) NA NA NA (5.1) NA NA 120.0 16.3 3.9 4.3 33.5 23.4 19.9 15.9 6.7 3.6 30.5 1.1 Al Madina Takaful Co NA NA NA 0.6 223.7 71.5 Salalah Beach Resort 0.9 (27.7) 67.0 0.2 (55.9) NA Source: Bloomberg; Note: All figures are in local currency 3
4. DAILY MARKET UPDATE October 17 , 2017 QSE MAIN FINANCIAL INDICATORS (As on 12th October 2017) 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 Investment Holding 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 8.6 2.6 6.3 5.5 4.4 0.0 5.0 7.8 2.6 6.4 3.7 6.5 4.3 6.3 4.0 6.4 0.0 9.8 5.7 6.3 6.3 7.5 5.3 0.0 4.1 4.6 4.2 3.0 7.2 5.7 4.4 4.4 4.0 2.6 3.8 6.6 3.1 7.9 5.3 0.0 9.0 6.4 4.1 0.0 3.3 3.6 6.4 6.4 6.0 4.3 P/B Ratio (x) 1.3 0.7 2.0 0.9 1.6 0.7 2.2 0.6 0.8 1.6 1.4 1.7 0.9 1.5 1.0 2.1 2.2 1.2 1.5 1.2 0.6 3.8 0.6 1.4 0.7 1.0 0.7 1.8 1.2 2.5 1.7 1.3 1.4 1.6 0.7 0.7 1.7 0.6 2.4 1.2 0.7 0.8 0.7 0.5 0.7 1.2 1.4 1.3 1.7 1.0 0.5 0.8 1.3 P/E Ratio (x) 9.8 62.8 29.3 8.5 56.3 10.1 13.3 M) (‫)س‬ M) (‫)س‬ 9.9 9.6 8.7 22.3 10.2 5.8 29.9 14.4 59.8 13.9 M) (‫)س‬ 11.0 11.0 5.5 11.5 11.3 (H) ( ) 17.0 22.8 16.7 12.8 15.6 9.4 10.7 17.9 23.6 8.8 14.8 19.9 12.5 15.1 9.3 12.2 38.3 8.6 10.9 15.0 M) (‫)س‬ 21.3 12.3 10.0 14.8 11.7 12.4 EPS (QR) 3.2 0.4 0.6 3.4 0.7 1.2 2.7 M) (‫)س‬ M) (‫)س‬ 9.6 5.3 14.0 0.4 5.5 10.6 2.3 10.0 0.4 7.2 M) (‫)س‬ 0.7 5.6 12.9 5.1 0.7 -0.4 0.4 4.3 0.8 14.2 2.2 4.4 6.0 2.1 0.6 1.7 3.4 2.0 4.3 2.8 3.4 0.8 0.2 1.6 1.1 5.7 M) (‫)س‬ 1.4 3.6 1.6 3.7 2.1 2.8 BV/Share (QR) 25.0 42.3 8.7 34.2 24.3 16.9 16.3 19.9 8.7 60.6 36.7 71.8 9.2 38.5 59.5 34.1 65.5 20.7 68.4 6.2 14.0 16.2 111.0 43.0 12.3 19.5 10.3 53.9 11.1 73.6 20.6 31.6 45.7 23.8 20.2 20.8 29.4 70.7 21.9 35.6 46.7 11.2 12.7 30.3 17.1 69.7 5.4 23.1 26.1 15.0 118.6 32.2 27.5 Stock Price (QR) 31.5 27.9 17.0 29.0 39.0 11.9 36.2 11.3 6.6 94.8 51.0 122.5 7.8 61.5 70.0 143.4 25.0 99.8 7.4 8.2 62.0 71.0 8.0 19.0 7.3 97.9 12.9 180.9 34.0 41.8 64.3 13.8 15.0 50.0 39.5 53.0 31.5 9.4 9.1 14.0 85.7 7.8 44.0 15.6 55.0 - 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 ‫ا س ت ثمار ال قاب ضة‬ ‫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