GCC Daily Market Update - 9 October

Transcription

1. DAILY MARKET UPDATE October 9 , 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) 2,549.3 22,773.7 6,064.6 7,522.9 12,955.9 5,359.9 104,137.5 20,690.7 28,458.0 3,348.9 31,814.2 (2.7) (1.7) 7.4 14.9 (12.1) (19.3) (196.8) 62.2 78.9 NA 222.2 (0.1) (0.0) 0.1 0.2 (0.1) (0.4) (0.2) 0.3 0.3 NA 0.7 1.2 1.6 1.4 2.0 1.0 0.6 1.2 1.6 3.3 (0.4) 1.7 13.9 15.2 24.7 5.3 12.8 10.2 33.3 8.2 29.4 7.9 19.5 8,137.6 7,194.1 4,429.8 3,611.3 6,660.7 5,168.1 1,279.2 1,651.1 3,470.1 5.5 (65.2) 15.6 20.2 (1.4) (45.4) 5.1 0.1 0.0 0.1 (0.9) 0.4 0.6 (0.0) (0.9) 0.4 0.0 0.0 (2.1) (1.2) 0.7 1.3 (0.3) 0.6 (0.3) 0.9 0.9 (22.1) 0.7 (2.9) 1.7 15.9 (9.8) 4.4 5.1 19.4 55.6 49.3 2.9 1,271.6 302.9 (1.4) (1.5) (0.1) 1.7 (1.8) (2.4) (3.0) (2.1) 0.1 (0.6) (3.2) (4.4) (4.9) (0.8) 2.3 (2.1) (8.2) (23.1) 10.4 20.9 Global Equity markets across the Atlantic ended lower on Friday, as disappointing non-farm payrolls data dented investor sentiment. While S&P 500 and Dow Jones ending marginally lower, Nasdaq continued its upward trajectory to end at record high levels. Losses in Consumer Staples and Energy shares led to a drop in S&P 500 index. The Stoxx Europe 600 index fell 0.4%, as civil unrest in Spain continued to weigh on trading mood of the investors. Spanish banking shares were among the notable losers during Friday’s trading session. However, gains in shares of leading Carmakers, helped in limiting broad market losses. The UK’s benchmark closed 0.2% higher, as the GBP lost ground amid speculation of snap elections in the country. Similarly, the Japanese benchmark inched higher, on the back of weakness in JPY in the Asian session. GCC GCC markets ended mixed yesterday. In Abu Dhabi, Sudan–based companies led to the broad market advances, after the US decided to lift the sanctions on the nation. The Saudi Arabian benchmark fell 0.9%, with most Petrochemical companies losing ground, as lower oil prices weighed on the product price prospects of the companies. National Agriculture Development added 3.7%, following announcements that the company has agreed to explore options of acquiring Al Safi Danone Co. This led to a decline in shares of peer firm Almarai, due to prospects of increased competition. Qatar The QE index ended 0.1% higher yesterday. Foreign institutional and gulf retail investors were among the net buyers during yesterday’s trading session. Trade turnover and volumes rose, with the Banking, Industrials and Telecom sectors together accounting for about 74.0% of the total volume. Out of 45 companies listed, 42 exchanged hands, of which 22 declined, 16 advanced and 4 remain unchanged. Source: Bloomberg QATAR MARKET OVERVIEW P/E (x) P/B (x) Qatar All share 12.7 1.2 4.6 48.2 DSM 20 13.3 1.2 4.8 41.3 Saudi Arabia (TASI) 17.5 1.7 3.3 682.6 UAE (ADX) 16.3 1.3 4.6 33.2 UAE (DFM) 102.1 1.3 3.9 102.8 Kuwait (KSE) 17.9 1.2 5.2 96.9 Oman (MSM) 12.0 1.1 5.1 3.4 Source: Bloomberg Bahrain (BAX) 7.5 0.8 6.1 3.1 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 Doha Insurance Co Zad Holding Co Ezdan Holding Group Qatar Islamic Insurance Al Meera Cons. Go Top Losers Islamic Holding Group Vodafone Qatar Gulf Warehousing Co Al Khaleej Takaful Grp United Development Close Price 15.2 75.0 9.5 53.3 142.4 1.2 2.9 0.3 1.3 2.3 8.2 4.0 3.3 2.5 1.6 (16.8) (15.9) (37.5) 5.3 (18.9) (24.8) (4.1) (44.7) 0.4 (29.6) 40.3 7.8 42.2 13.1 13.8 (1.6) (0.3) (1.5) (0.4) (0.4) (3.7) (3.3) (3.3) (3.0) (2.9) (33.9) (16.8) (24.7) (38.2) (33.3) (33.6) 47.5 59.1 (28.5) 1,261.3 NA (24.2) 39.9 11.8 (43.3) 16.2 22.5 (30.2) 499.6 8.5 Source: Bloomberg; Note: Prices are in local currency. 3.6 8.9 0.2 9.6 170.8 12.2 1.2 12.5 9.6 14.3 Qatar DSM Index 10,000 15.0 9,500 10.0 8,137.6 9,000 5.0 8,500 8,000 12/Jul 0.0 26/Jul 9/Aug 23/Aug Index Volume (mn) 6/Sep 20/Sep 4/Oct Index Value Closing Level 2,550.6 4,929.3 2,527.2 3,213.9 1,620.9 1,020.8 1,685.3 1D Change (%) 0.0 (0.1) (0.1) (0.8) 1.4 0.2 (0.3) Buy (%) 33.3 17.2 50.5 8.4 41.1 49.5 Sell (%) 48.1 20.7 68.8 8.5 22.7 31.2 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 9 , 2017 GLOBAL NEWS  US outstanding consumer credit increased by USD 13.1bn in August17 compared to USD 17.7bn increase in July-17. Non-revolving credit, which includes auto and student loans, increased by USD 7.3bn and revolving credit category, which includes credit cards, increased by USD 5.8bn. (Source: Fox Business)  Saudi Aramco has signed five strategic business collaboration MOUs with Russian companies, covering many areas of energy and manufacturing sectors. (Source: Trade Arabia)  Saudi based National Agricultural Development Company (Nadec) announced that it is set to start merger talks with a dairy company Al Safi Danone (ASD) that will be executed through a share swap deal. (Source: Trade Arabia)  US non-farm payroll employment decreased by 33,000 jobs over the month in September-17 due to the impact of Hurricanes Harvey and Irma. Despite the unexpected drop in employment, unemployment rate decreased to 4.2%. (Source: iii)  Saudi based Arabian Cement has entered into merger talks with Al Safwa Cement, a key Saudi-based firm owned by El Khayyat Group, Public Pension Authority (PPA) and General Organisation for Social Insurance (Gosi). (Source: Trade Arabia)  Number of rigs exploring oil and natural gas in US decreased by 4 rigs over the week ended 06th October-17 but increased by 78.6% YoY to 936 rigs in October-17. (Source: ABC)  Kuwait based Afaq Educational Services has scheduled 28th December-17 to be the date of its final withdrawal from Boursa Kuwait. (Source: Mubasher)  Germany's factory orders increased by 3.6% MoM and excluding major orders in manufacturing, new orders increased 2.5% MoM in August17. New orders from the euro area decreased by 1.0% MoM while demand from other countries increased by 7.7% MoM. (Source: iii)   Japan’s total gross labor cash earnings increased by 0.9% YoY in August-17. Contractual gross earnings increased by 0.6% YoY, special cash earnings increased by 6.1% YoY and real cash earnings rose by 0.1% YoY. (Source: iii) Oman based Wusta Cement Company, a partnership of Oman Cement Company, Raysut Cement Company and the SEZ Authority in Duqm (Sezad) have signed a land use deal to build Oman’s third cement plant at the Duqm Special Economic Zone (SEZ). Construction work will commence next year and production is expected to commence in 2020. (Source: Trade Arabia)  Oman Oil Refineries and Petroleum Industries Company’s (Orpic) Mina al Fahal Refinery will undergo a major planned turnaround and maintenance activity for 45 days from 3rd October-17 to 16th November-17. (Source: Trade Arabia)  The cash revenues of Turkey’s treasury was TRY 452.7bn (USD 125.7bn) between January-17 to September-17. The treasury received TRY 10.5bn (USD 2.9bn) in privatization and fund income, and incurred a Non-interest expenditures of TRY 457.8bn (USD 127.0bn). (Source: AA) QATAR NEWS  Qatar Central Bank will be one of the first in the region to implement the accounting provisions in accordance with IFRS 9 from the next financial year. It has also opened a three day training work shop along with Union of Arab Banks on the regulatory treatment of accounting provisions in accordance with IFRS 9. (Source: The Peninsula)  Qatar reported registration of total 1,015 companies in September-17. The new registration included 762 main commercial records and 253 branch commercial records. Limited liability companies accounted for 60.0% of new commercial records, followed by single-person firm at 26.0%. (Source: Gulf Times) GCC NEWS   The subsidiary of Dubai's Ports, Customs and Free Zones Corporation (PCFC), P&O Ports, has announced to start its operations at the container terminal in the Port de Sete in the south of France from early next year. (Source: Trade Arabia) Dubai based Damac Properties announced that more than 80.0% of its hotel apartment projects in New Dubai and Dubai South are sold out. (Source: Trade Arabia)  Dubai Land Department (DLD) has become the world’s first government entity to implement all of its transactions through the blockchain network. (Source: Trade Arabia)  Qatar Chamber vice chairman has called on Qatari businessmen to explore investment opportunities in the pharmaceutical industry in Bangladesh as it is one of the promising sectors. (Source: Gulf Times)  Dubai Electricity and Water Authority (Dewa) has launched a new project under its Shams Dubai initiative for installation of solar carports at its headquarters. It will also install these carports at the Ministry of Climate Change and Environment building. (Source: Trade  Qatar Airways Cargo has taken delivery of its 13th Boeing 777 freighter at its home base in Doha, the Hamad International Airport. Its fleet now includes 22 freighters, comprising eight Airbus A330F, 13 Boeing 777F, and 1 Boeing 747-8F. (Source: Gulf Times)  Supreme Committee for Delivery and Legacy has entered into a partnered agreement with Commercial Bank to help workers send money back to their home countries through the latter’s digital platforms, providing secure international money transfers at a low cost. (Source: Gulf Times)  Doha Bank has launched Qatar’s first ‘Green Mortgage’ home loan programme which features discounts on loan fees or interest rates on homes that are certified as energy-efficient. It offers an interest rate of up to 3.99% and repayment option of up to 20 years. (Source: Gulf Arabia)  Abu Dhabi based Etisalat plans to invest more than AED 3.0bn (USD 816.0mn) in 2017 to develop and modernize infrastructure and expand mobile and fiber optic networks, Internet of Things, artificial intelligence and robotics across the UAE, company’s CEO said. (Source: Trade Arabia)  Abu Dhabi based Miral, has signed an agreement with IT giant Cisco to explore opportunities for enhancing digital offerings across its portfolio of leisure destinations. (Source: Trade Arabia)  The Sharjah Electricity and Water Authority (Sewa) is going to develop desalination plants, and transmission and distribution systems to improve water quality in several areas of Sharjah. (Source: Trade Arabia)   The US State Department has approved USD 15.0bn sale of Lockheed Martin Corporation's Thaad anti-missile interceptors, launchers and radar, which are a part of the package of weaponry that President Donald Trump promised the Saudi Arabia. (Source: Trade Arabia) Saudi Arabia has issued mining licenses worth USD 66.0bn to major private sector players in the kingdom, the Energy, Industry and Mineral resources minister said. (Source: Trade Arabia) Times)  Ooredoo and Urban Point App has entered into a new partnership agreement that will provide Ooredoo customers with free month-long access to all Urban Point offers as well as the option to pay any ongoing subscriptions via their Ooredoo bill. (Source: Qatar Tribune)  Qatar University has inked a MoU with Dlala Brokerage and Investment to establish collaboration in the field of education, research and training. (Source: Gulf Times) 2
3. DAILY MARKET UPDATE October 9 , 2017 FX RATES Currencies Value Currencies Value EUR/USD 1.1760 USD/QAR 3.6415 112.6500 EUR/QAR 4.2824 USD/JPY GBP/USD 1.3096 JPY/QAR 0.0323 USD/CHF 0.9797 GBP/QAR 4.7689 USD/CAD 1.2529 CHF/QAR 3.7170 AUD/USD 0.7767 CAD/QAR 2.9065 NZD/USD 0.7093 AUD/QAR 2.8284 USD/INR 64.8725 INR/QAR 0.0561 USD/TRY 3.6147 TRY/QAR 1.0074 USD/ZAR 13.7477 ZAR/QAR 0.2649 USD/BRL 3.1555 BRL/QAR 1.1540 FX Commentary The USD traded ended lower against a basket of currencies on Friday, with the dollar index settling 0.2% lower at 93.809. The greenback erased all of its gains, as the domestic non-farm payrolls dropped unexpectedly during September-17. Moreover, threats from North Korea also weighed on the USD. The impact of these threats was positive for safe havens like JPY. The EUR strengthened against the USD, following the release of better than expected German factory orders data. The GBP inched lower against the USD, amidst reports that the nation’s Prime Minister might be forced to resign from her post, which would lead to snap elections in the country. The CAD inched higher against the USD, as encouraging Canadian unemployment and business conditions data supported the currency. Source: Bloomberg INTERBANK OFFERING & US SWAP RATES Duration SOVEREIGN YIELD CURVES & CDS SPREAD Overnight 1 Week 1.18 1.20 1.24 1.35 1.80 (0.44) (0.38) (0.37) (0.33) (0.17) 2.00 2.08 2.23 2.45 2.98 LIBOR EURIBOR QAIBOR 1 Month 3 Month 1 Year SAIBOR NA 1.35 1.47 1.79 2.24 EIBOR 1.01 1.12 1.31 1.56 2.18 BMIBOR 1.00 1.18 1.75 2.00 2.73 NA NA 1.56 1.75 2.31 KIBOR Qatar vs US Treasuries Yields 4.0% 1.51% 2 Yrs 3.0% US 28.3 UK Germany France 2.0% 1.77% 1.0% 1.07% 1.56% 1.40% 1.27% 1.89% 0.0% 2 Yrs 5 Yrs 7 Yrs Current 10 Yrs Last Year 30 Yrs 2.19% 2.36% 7 Yrs 10 Yrs US 5 Yrs 5 Years CDS 2.57% 1.96% 4.37% 2.89% 0.0% US Swap Rates 2.32% 3.41% 2.05% Source: Bloomberg 2.17% 3.22% 2.0% Source: Bloomberg 2.04% 3.03% Qatar Spreads 6M Change 5 Years CDS 30 Yrs Spread 6M Change (0.3) Turkey 177.2 (60.6) 25.9 3.4 Brazil 187.4 (36.2) 14.1 (5.0) Egypt 342.7 (20.5) 22.8 (35.8) Abu Dhabi Italy 144.1 (43.0) Greece 539.6 Russia 132.7 Japan 38.5 58.5 14.4 Bahrain 230.3 (0.6) (419.3) Dubai 149.4 2.5 (42.6) Qatar 99.0 35.1 10.6 Saudi Arabia 85.1 (14.3) Source: Bloomberg Source: Bloomberg ECONOMIC CALENDAR Time Country Event Period Survey Prior 09:00 Germany Industrial Production SA MoM Aug 0.90% 0.00% 09:00 Germany Industrial Production WDA YoY Aug 2.90% 4.00% 09:30 France Bank of France Ind. Sentiment Sep 105 104 11:30 Eurozone Sentix Investor Confidence Oct 28.5 28.2 02:01 UK BRC Sales Like-For-Like YoY Sep - 1.30% 02:50 Japan BoP Current Account Balance Aug ¥2,223.3b ¥2,320.0b 02:50 Japan BoP Current Account Adjusted Aug ¥1,978.6b ¥2,032.9b 02:50 Japan Trade Balance BoP Basis Aug ¥264.9b ¥566.6b 07:30 Japan Bankruptcies YoY Sep - (11.98%) 08:00 Japan Eco Watchers Survey Current SA Sep 49.9 49.7 08:00 Japan Eco Watchers Survey Outlook SA Sep 50.5 51.1 Source: Bloomberg GCC COMPANY RESULTS Company Name Revenues (mn) YoY (%) QoQ (%) Net Profit (mn) YoY (%) Boubyan Bank NA NA NA 12.2 13.8 QoQ (%) 8.8 United Electronics Co NA NA NA 26.1 257.5 (39.8) Salalah Port Services 16.3 20.1 19.6 2.5 93.9 86.4 Source: Bloomberg; Note: All figures are in local currency 3
4. DAILY MARKET UPDATE October 9 , 2017 QSE MAIN FINANCIAL INDICATORS (As on 5th December 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 (%) 3.3 0.0 0.0 9.2 2.4 6.4 5.6 4.4 0.0 5.2 7.9 2.6 6.4 3.7 6.4 4.3 6.4 4.0 6.4 0.0 10.3 5.7 6.2 6.3 7.4 5.5 0.0 4.4 4.6 4.3 2.9 7.4 5.6 4.6 4.5 4.3 2.6 4.0 6.7 3.1 8.2 5.5 0.0 8.8 6.5 4.2 0.0 3.4 3.7 6.6 6.4 6.1 4.4 P/B Ratio (x) 1.2 0.7 2.0 0.8 1.7 0.7 2.2 0.6 0.8 1.5 1.4 1.8 0.9 1.5 1.1 2.0 2.1 1.2 1.5 1.2 0.6 3.8 0.7 1.4 0.7 0.9 0.8 1.7 1.2 2.4 1.7 1.3 1.4 1.5 0.7 0.7 1.7 0.5 2.4 1.2 0.7 0.8 0.7 0.5 0.7 1.2 1.5 1.2 1.7 1.0 0.5 0.7 1.3 P/E Ratio (x) 9.0 63.0 29.4 8.0 60.5 9.9 13.1 M) (‫)س‬ M) (‫)س‬ 9.6 9.5 8.7 22.4 10.1 6.0 29.1 14.1 59.8 13.9 M) (‫)س‬ 10.5 11.0 5.6 11.5 11.5 (H) ( ) 18.1 21.4 16.8 12.3 15.6 9.1 10.9 17.3 23.1 8.2 15.0 18.8 12.2 15.0 9.0 11.9 38.9 8.7 10.7 14.5 M) (‫)س‬ 20.8 12.2 9.7 14.6 11.4 12.2 EPS (QR) 3.2 0.4 0.6 3.4 0.7 1.2 2.7 M) (‫)س‬ M) (‫)س‬ 9.6 5.3 13.8 0.4 5.4 10.6 2.4 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 68.1 9.2 37.6 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 27.2 Stock Price (QR) 28.6 28.0 17.1 27.2 41.9 11.7 35.8 11.4 6.8 91.8 50.5 120.8 7.9 63.0 69.3 140.1 25.0 100.0 7.3 7.7 61.6 72.1 8.1 18.3 7.8 92.0 13.0 174.6 34.0 40.5 65.0 13.5 14.0 50.6 37.3 52.0 30.6 9.2 9.2 14.2 82.8 8.1 43.6 15.1 54.3 - 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