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QSE Intra-Day Movement
Qatar Commentary
The QSE Index rose 0.6% to close at 11,261.5. Gains were led by the Telecoms and
Industrials indices, gaining 1.1% and 0.9%, respectively. Top gainers were Qatar Cinema
& Film Distribution Co. and Industries Qatar, rising 6.1% and 2.5%, respectively. Among
the top losers, Zad Holding Co. and Islamic Holding Group were down 2.3% each.
GCC Commentary
Saudi Arabia: The TASI Index fell marginally to close at 6,071.2. Losses were led by the
Media & Publishing and Energy & Utilities indices, falling 1.3% and 0.9%, respectively.
Abdullah AM. Al Khodari Sons fell 3.1%, while Emaar Economic City was down 2.5%.
Dubai: The DFM Index gained 0.1% to close at 3,494.3. The Consumer Staples index
rose 1.8%, while the Transportation index gained 0.6%. Arab Insurance Group rose
7.6%, while Dar Al Takaful was up 4.2%.
Abu Dhabi: The ADX benchmark index fell 0.1% to close at 4,495.1. The Energy index
declined 0.4%, while the Investment & Financial Services index fell 0.3%. United Arab
Bank declined 2.2%, while Sharjah Islamic Bank was down 1.9%.
Kuwait: The KSE Index declined 0.1% to close at 5,404.7. The Oil & Gas index fell 2.3%,
while the Insurance index declined 0.7%. National Cleaning Co. fell 6.3%, while
Contracting & Marine Services Co. was down 5.4%.
Oman: The MSM Index fell 0.5% to close at 5,779.6. Losses were led by the Financial
and Industrial indices, falling 0.6% and 0.5%, respectively. Gulf Investment Services fell
3.3%, while Oman Fisheries was down 3.2%.
Bahrain: The BHB Index fell 0.3% to close at 1,135.8. The Services index declined 0.6%,
while the Commercial Banks index fell 0.5%. Bahrain Ship Repairing & Engineering
Company declined 5.9%, while BBK was down 3.8%.
QSE Top Gainers Close* 1D% Vol. ‘000 YTD%
Qatar Cinema & Film Dist. Co. 35.00 6.1 0.2 2.9
Industries Qatar 116.40 2.5 224.5 4.8
Dlala Brokerage & Inv. Holding Co. 23.84 1.4 80.5 28.9
Ooredoo 103.00 1.4 309.2 37.3
QNB Group 168.60 1.0 125.9 15.6
QSE Top Volume Trades Close* 1D% Vol. ‘000 YTD%
Aamal Co. 15.32 0.5 746.9 9.5
Ezdan Holding Group 19.44 (0.2) 643.5 22.3
Qatar First Bank 11.40 (0.9) 381.9 (24.0)
Ooredoo 103.00 1.4 309.2 37.3
Vodafone Qatar 12.00 0.0 244.4 (5.5)
Market Indicators 29 Aug 16 28 Aug 16 %Chg.
Value Traded (QR mn) 182.3 164.9 10.6
Exch. Market Cap. (QR mn) 602,327.0 598,603.7 0.6
Volume (mn) 4.5 4.3 5.0
Number of Transactions 3,274 2,966 10.4
Companies Traded 43 40 7.5
Market Breadth 22:15 18:19 –
Market Indices Close 1D% WTD% YTD% TTM P/E
Total Return 18,220.37 0.6 1.1 12.4 15.7
All Share Index 3,089.29 0.5 0.9 11.3 14.8
Banks 3,090.89 0.6 1.3 10.2 13.1
Industrials 3,373.07 0.9 1.7 5.8 16.1
Transportation 2,610.83 0.1 0.2 7.4 12.6
Real Estate 2,723.81 0.1 0.1 16.8 23.9
Insurance 4,697.70 (0.0) (0.3) 16.5 12.6
Telecoms 1,274.46 1.1 1.2 29.2 19.4
Consumer 6,520.05 0.0 (0.2) 8.7 13.7
Al Rayan Islamic Index 4,229.69 0.5 0.6 9.7 18.6
GCC Top Gainers## Exchange Close# 1D% Vol. ‘000 YTD%
Saudi Int. Petrochem. Saudi Arabia 13.46 6.0 650.3 (3.9)
Bank of Sharjah Abu Dhabi 1.40 5.3 1,173.6 (9.1)
Nat. Petrochemical Co. Saudi Arabia 16.42 4.9 789.3 (1.7)
Saudia Dairy & Foodstuff Saudi Arabia 147.16 4.7 73.8 31.4
Aseer Trading Tourism Saudi Arabia 15.55 3.5 404.1 (33.7)
GCC Top Losers## Exchange Close# 1D% Vol. ‘000 YTD%
BBK Bahrain 0.35 (3.8) 421.0 (19.7)
Emaar Economic City Saudi Arabia 13.44 (2.5) 1,428.8 3.9
Drake & Scull Int. Dubai 0.48 (2.4) 6,560.2 16.1
Saudi Hollandi Bank Saudi Arabia 10.20 (2.4) 932.4 (29.3)
Saudi Res. & Marketing Saudi Arabia 29.30 (2.2) 133.5 (49.3)
Source: Bloomberg (# in Local Currency) (## GCC Top gainers/losers derived from the Bloomberg GCC 200
Index comprising of the top 200 regional equities based on market capitalization and liquidity)
QSE Top Losers Close* 1D% Vol. ‘000 YTD%
Zad Holding Co. 85.00 (2.3) 0.2 0.2
Islamic Holding Group 64.50 (2.3) 53.8 (18.0)
Doha Insurance Co. 20.31 (2.1) 0.0 (3.3)
Qatar Industrial Manufacturing Co. 43.60 (1.6) 2.5 9.4
Qatar Oman Investment Co. 11.13 (1.3) 6.4 (9.5)
QSE Top Value Trades Close* 1D% Val. ‘000 YTD%
Ooredoo 103.00 1.4 31,687.3 37.3
Industries Qatar 116.40 2.5 25,977.7 4.8
QNB Group 168.60 1.0 21,161.4 15.6
Ezdan Holding Group 19.44 (0.2) 12,463.7 22.3
Aamal Co. 15.32 0.5 11,504.3 9.5
Source: Bloomberg (* in QR)
Regional Indices Close 1D% WTD% MTD% YTD%
Exch. Val. Traded ($
mn)
Exchange Mkt. Cap.
($ mn)
P/E** P/B**
Dividend
Yield
Qatar* 11,261.51 0.6 1.1 6.2 8.0 50.07 165,459.2 15.7 1.7 3.6
Dubai 3,494.30 0.1 0.1 0.3 10.9 80.39 91,756.2 12.5 1.3 4.3
Abu Dhabi 4,495.13 (0.1) (0.5) (1.8) 4.4 24.08 120,476.9 12.0 1.4 5.4
Saudi Arabia 6,071.16 (0.0) 1.6 (3.7) (12.2) 700.95 377,618.6 14.3 1.4 4.0
Kuwait 5,404.70 (0.1) (0.4) (0.8) (3.7) 16.40 78,883.3 18.7 1.0 4.4
Oman 5,779.60 (0.5) (0.7) (1.1) 6.9 8.07 23,051.6 10.1 1.1 5.1
Bahrain 1,135.81 (0.3) (0.9) (1.7) (6.6) 2.06 17,678.2 9.2 0.4 4.9
Source: Bloomberg, Qatar Stock Exchange, Tadawul, Muscat Securities Exchange, Dubai Financial Market and Zawya (** TTM; * Value traded ($ mn) do not include special trades, if any)
11,180
11,200
11,220
11,240
11,260
11,280
9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00
Page 2 of 5
Qatar Market Commentary
 The QSE Index rose 0.6% to close at 11,261.5. The Telecoms and Industrials
indices led the gains. The index rose on the back of buying support from
non-Qatari and GCC shareholders despite selling pressure from Qatari
shareholders.
 Qatar Cinema & Film Distribution Co. and Industries Qatar were the top
gainers, rising 6.1% and 2.5%, respectively. Among the top losers, Zad
Holding Co. and Islamic Holding Group were down 2.3% each.
 Volume of shares traded on Monday rose by 5.0% to 4.5mn from 4.3mn on
Sunday. However, as compared to the 30-day moving average of 6.7mn,
volume for the day was 32.7% lower. Aamal Co. and Ezdan Holding Group
were the most active stocks, contributing 16.6% and 14.3% to the total
volume, respectively.
Source: Qatar Stock Exchange (* as a % of traded value)
News
Qatar
 Nakilat-Damen delivers five brand new vessels for New Port Project
– Nakilat Damen Shipyards Qatar, one of the region’s leading
shipbuilding companies, has delivered five brand new vessels as
part of an eleven-vessel order for New Port Project (NPP). Built
entirely at the ‘Erhama Bin Jaber Al Jalahma Shipyard’ located in
Ras Laffan Industrial City, the vessels were launched and delivered
to NPP after the successful completion of their sea trials.
(Peninsula Qatar)
 DHBK, Centrum in tie-up to scale up operations in India – Doha
Bank (DHBK), and Mumbai-based Centrum Group have signed a
strategic tie-up to leverage each other’s network and scale up their
respective operations in India and GCC countries in the areas of
banking, wealth management and foreign exchange. The
memorandum of understanding, will enable a mutually beneficial
collaboration wherein DHBK will use Centrum’s expertise to
expand its footprint in India and Centrum will leverage the Qatar
partner’s existing network and strengths to scale up its presence
in the GCC countries. (Bloomberg)
 Qatar Re net profit increases 79% YoY to $23.9mn in 1H2016 –
Qatar Re, a multi-line reinsurer, has reported a 79% YoY increase
in its net profit to $23.9mn in 1H2016, supported by strong
investments. The Bermuda-registered company’s gross written
premiums rose 41% to $654mn despite unabated headwinds from
tough trading conditions in the global reinsurance markets. Net
premiums earned doubled to $164.2mn. Qatar Re currently cedes
70% of its business via a quota share agreement with its parent
Qatar Insurance Company (QATI). Qatar Re Chief Executive
Gunther Saacke said, “Our 2016 half-year financial results testify to
Qatar Re’s robust positioning in an environment of continued
economic volatility and reinsurance market softness, exacerbated
by above-average global catastrophe losses in the second quarter.”
Qatar Re’s growth is supported by the provision of capital and a
parental guarantee from QATI. The company’s shareholders’
equity almost doubled to $560.9mn YoY as of June 30, 2016. This
capital base is supported by QATI’s shareholders’ equity of $2.2bn
and a market capitalization of $5.4bn, as of June 30. Indicating
improved underwriting, the reinsurer’s 1H2016 net combined
ratio improved to 95.8%, as compared to 97.7% in 1H2015. (Gulf-
Times.com)
 Fuel prices to drop in Qatar from September – The Ministry of
Energy & Industry said petrol prices in Qatar will come down by
Dh5 a liter in September, while there will be no change in the
diesel price. According to the ministry, the 91-octane Premium
gasoline and 95-octane Super will cost QR1.30/liter and QR1.40,
respectively, from September 1, 2016. The diesel price will remain
unchanged at QR1.40/liter. The current prices of petrol, valid until
August 31, 2016, are QR1.35 for Premium and QR1.45 for Super.
Fuel prices in Qatar were allowed to fluctuate in response to
changes in the global market from May 1. (Gulf-Times.com)
 MDPS: Rise in transportation costs lifts Qatar’s CPI inflation by 2.8%
YoY in 2Q2016 – According to figures released by the Ministry of
Development Planning and Statistics (MDPS), increased
transportation costs due to the deregulation of domestic oil prices
and high costs for package tours led Qatar’s cost of living based on
the consumer price index (CPI) to rise 2.8% YoY in 2Q2016. The
general price level in the country grew 0.2% as compared to
1Q2016. The Qatar Economic Outlook 2015-17 Update of the
MDPS said the country’s annual CPI inflation is expected to be
1.5% in 2016, after which it is expected to edge up to 2% in 2017.
The housing, water, electricity and gas group – with a weight of
21.89% in the CPI basket – saw its index increase 5% YoY in
2Q2016, up 0.2% from the 1Q2016 levels. The actual rental for
housing witnessed 5.1% YoY and 0.2% QoQ during April-June
2016, while maintenance and repair of dwellings stood at 5.3%
YoY and -0.5% QoQ. In the case of water supply and miscellaneous
services relating to dwelling, the sub-index remained unchanged
YoY and QoQ. (Gulf-Times.com)
International
 Solid US consumer spending boosts prospect of Fed rate hike – US
consumer spending increased for a fourth straight month in July
amid strong demand for automobiles, pointing to a pickup in
economic growth that could pave the way for the Federal Reserve
to raise interest rates in 2016. The report from the Commerce
Department came several days after Fed Chair Janet Yellen said the
case for raising rates had strengthened in recent months.
However, low inflation suggests the US central bank could wait
until its December policy meeting before raising borrowing costs.
The Commerce Department said that consumer spending, which
accounts for more than two-thirds of US economic activity, rose
0.3% in July after a 0.5% gain in June. July's increase was in line
with economists' expectations. When adjusted for inflation,
consumer spending also rose 0.3% in July after advancing 0.4% in
June. (Reuters)
 German trade group slashes exports forecast as Brexit hit looms –
Germany's BGA trade association slashed its 2016 forecast for
export growth, predicting sales abroad by Europe's biggest
economy would later stagnate as the delayed impact of Brexit hit
home. Anton Boerner said global demand for German goods has
slowed significantly, with Britain's decision to leave the European
Overall Activity Buy %* Sell %* Net (QR)
Qatari Individuals 26.21% 40.45% (25,959,782.20)
Qatari Institutions 11.77% 23.76% (21,868,215.54)
Qatari 37.98% 64.21% (47,827,997.74)
GCC Individuals 0.62% 0.87% (454,605.26)
GCC Institutions 18.36% 11.48% 12,540,783.68
GCC 18.98% 12.35% 12,086,178.42
Non-Qatari Individuals 9.99% 9.85% 256,114.92
Non-Qatari Institutions 33.05% 13.58% 35,485,704.40
Non-Qatari 43.04% 23.43% 35,741,819.32
Page 3 of 5
Union among several factors increasing uncertainties and
complicating investment decisions. He said, “The repercussions (of
Brexit) will impact us massively in the near future.” That effect had
yet to be felt in the export sector, which the association forecast in
April, would grow by 4.5% in 2016. (Reuters)
 Greek economy grows in 2Q2016 but strong rebound elusive –
Greece's economy grew modestly in 2Q2016 but weak demand
and scant investment mean a strong rebound after years of
recession remains elusive a year after the country nearly crashed
out of the Euro. Data released showed the $196.8bn economy
expanded by 0.2% in April to June, slightly less than a previous
estimate of 0.3% due to weaker consumer spending and net
exports. It was the first QoQ expansion since late 2015 and
followed a 0.2% contraction in 1Q2016. Facing a second bailout
review entailing an unpopular loosening of labor laws in the
autumn, Athens is keen to show a fatigued electorate that painful
taxation and pension cuts that came with 2015's €86bn bailout
deal will bear fruit and lead to economic recovery. (Reuters)
 Japan to revamp bank monitoring to revive regional economy –
Japan's government plans to overhaul its monitoring system
targeting regional banks in efforts to raise their profitability and
facilitate lending to local businesses. The Financial Services Agency
hopes to improve monitoring of regional banks to determine if
they provide enough lending and have sustainable business
models as lenders are expected to play a key role in supporting
local businesses. FSA Chief Nobuchika Mori underscored the need
for the financial watchdog to revamp the monitoring and
supervising scheme given rising challenges in the financial
industry facing a dwindling population and rock-bottom interest
rates. (Reuters)
 India's growth pace likely slowed in April-June – According to
Reuters poll, India's economic growth likely lost some momentum
in the April-June quarter on cutbacks in domestic and global
demand. The poll also found that economists expect the newly-
passed goods and services tax will take time to have an impact on
GDP growth. For April-June, the median forecast of 40 economists
was for GDP growth of 7.6% from a year ago, slower than the 7.9%
in the previous quarter. The slower pace would still be rapid, by
any standard. China reported 6.7% annual growth for April-June,
and the Philippines posted 7.0%. Much of India's slowdown was
attributed to slumping demand. On an annual basis, the country's
exports fell for 18 consecutive months until June, when they finally
rose. Business surveys have pointed to slowing foreign and
domestic demand. The latest reform from the government, the
goods & services tax (GST), should transform the country into a
common market and is widely expected to add up to two
percentage points to the GDP growth pace after implementation.
(Reuters)
Regional
 GCC real estate still safe haven for international investors – The
brick-wall confidence of Bahraini mega project developers has
been underlined by recent reports from REIDIN, a property
business analysis firm, revealing growing demand in the real
estate sector amid expansion in the construction and tourism
markets. With the construction industry reaching a 4.5% YoY
growth rate and the influx of 11.6mn tourists in 2015 spurring job
sector expansion and triggering demand in residential and retail
property sectors, Bahrain bolsters the GGC reputation as a real
estate safe haven for international investors. (GulfBase.com)
 Egypt receives $300mn from Saudi Arabia for Sinai Peninsula –
According to sources, Saudi Arabia has given $300mn to Egypt as
part of the first tranche of $1.5bn pledged by the oil-rich Kingdom
to develop the Sinai Peninsula. (Bloomberg)
 SEC to ink 7 MoUs with Chinese, Japanese firms – Saudi Electricity
Company (SEC), the Gulf’s largest utility firm, will sign 7 MoUs
with Chinese and Japanese firms during Saudi Deputy Crown
Prince Mohammed bin Salman's visit to the Asian countries. SEC
will sign three-year MoUs with China’s Shanghai Electric covering
the transfer of energy-related services and investment in
independent power production (IPP) projects. (Bloomberg)
 STC, Lebara KSA to discuss 4G license in Egypt – Representatives
from Saudi Telecom (STC) and Lebara KSA are in Egypt to discuss
the possibility of obtaining a 4G license. (Bloomberg)
 Saudi's Chemanol refinances debts worth SR637mn – According to
sources, Saudi Arabia's Methanol Chemicals Company (Chemanol)
has refinanced total Shari’ah-compliant debts worth SR636.7mn.
(Bloomberg)
 Foreign remittances see 35% drop – The remittances sent by
foreigners to their families fell by 35% or SR5.5bn during July,
down from SR15.8bn in June to SR10.3bn in July, which marked
the lowest volume of remittances in 41 months since February
2013. (Bloomberg)
 Mashreq Bank appoints Pella to head investment unit – Mashreq
has appointed Christophe Pella as Head of its asset management
unit and Chief Executive of its Mashreq Capital arm. (Bloomberg)
 Damac Chairman: 2016 profit likely to be in line with last year –
Dubai developer Damac Properties Chairman Hussain Sajwani said
that the company’s profit for 2016 is likely to be in line with
AED4.5bn it had achieved 2015. Sajwani also said that the
company had achieved around AED7.88bn of sales till date at its
55mn-square foot master planned community Akoya Oxygen off Al
Qudra Road in Dubai, which contains a Trump International Golf
Club and a Tiger Woods-designed course. (GulfBase.com)
 Dubai Expo 2020 to allocate contracts worth AED5bn to SMEs –
Dubai announced that 20% of direct and indirect spending on the
Expo 2020 event will be allocated to small and medium
enterprises (SMEs). Under the plans, contracts worth more than
AED5bn will be allocated to local and international SMEs in the
coming years. (Bloomberg)
 DEWA CEO: No fundraising plans for 2016 or 2017 – Dubai
Electricity & Water Authority (DEWA) Managing Director & CEO
Saeed Mohammed al-Tayer said that DEWA has no plans to raise
new funds in 2016 or 2017. The company plans to repay $500mn
bond maturing in October 2016. (Bloomberg)
 NMC Health expects investments in KSA to boost earnings in 2017 –
NMC Health expects its latest investments in Saudi Arabia to boost
earnings in 2017. The Abu Dhabi-based healthcare provider has
invested $32mn in the Kingdom. The company raised its EBITDA
guidance by $10mn to $300mn for 2017, following the
investments. (Bloomberg)
 ADIA appoints Beaton as Global Operations Head – Abu Dhabi
Investment Authority (ADIA) has appointed Garry Beaton to the
newly-created role of Global Head of Operations. Beaton joins the
fund, which has around $792bn in assets, according to industry
tracker Sovereign Wealth Fund Institute. (Bloomberg)
 Aldar awards AED258mn contract to Fibrex for Reem Island project
– Aldar Properties has awarded the main contractor package,
worth AED258mn to Fibrex for its mid-market Shams Meera
residential development in Shams Abu Dhabi on Reem Island. The
contract, which commences with immediate effect, comprises the
construction of two 25-story towers overlooking a landscaped
park. (Bloomberg)
 ADNOC aims for oil output of 3.5mn bpd by 2018-end – Abu Dhabi
National Oil Company (ADNOC) aims to reach an oil production
capacity of 3.5mn bpd by 2018-end. (Bloomberg)
Page 4 of 5
 JBIC, Japan banks to provide loan for Abu Dhabi oil field – State-run
Japan Bank for International Cooperation (JBIC), along with
Mizuho, Mitsubishi UFJ and Sumitomo Mitsui will provide a loan of
$630mn for development of a new oil field in Abu Dhabi.
(Bloomberg)
 Kuwait may sell bonds in November – According to sources, Kuwait
may sell $7.5bn in bonds in November and $2bn in Sukuk to
foreign investors over the next 6 months. (Bloomberg)
 Oman’s ARA Petroleum plans to carry out drilling activities in Block
44 – Oman-based ARA Petroleum, which recently signed an
agreement to acquire Thai energy conglomerate PTT’s Oman
operations, plans to carry out workover and drilling activities in
the latter’s Block 44 license onshore Oman over the next two
years. (GulfBase.com)
Contacts
Saugata Sarkar Shahan Keushgerian Zaid al-Nafoosi, CMT, CFTe
Head of Research Senior Research Analyst Senior Research Analyst
Tel: (+974) 4476 6534 Tel: (+974) 4476 6509 Tel: (+974) 4476 6535
saugata.sarkar@qnbfs.com.qa shahan.keushgerian@qnbfs.com.qa zaid.alnafoosi@qnbfs.com.qa
QNB Financial Services Co. WLL One Person Company
Contact Center: (+974) 4476 6666
PO Box 24025
Doha, Qatar
Disclaimer and Copyright Notice: This publication has been prepared by QNB Financial Services Co. WLL One Person Company (“QNBFS”) a wholly-owned subsidiary of QNB SAQ (“QNB”). QNBFS is
regulated by the Qatar Financial Markets Authority and the Qatar Exchange QNB SAQ is regulated by the Qatar Central Bank. This publication expresses the views and opinions of QNBFS at a given time
only. It is not an offer, promotion or recommendation to buy or sell securities or other investments, nor is it intended to constitute legal, tax, accounting, or financial advice. QNBFS accepts no liability
whatsoever for any direct or indirect losses arising from use of this report. Any investment decision should depend on the individual circumstances of the investor and be based on specifically engaged
investment advice. We therefore strongly advise potential investors to seek independent professional advice before making any investment decision. Although the information in this report has been
obtained from sources that QNBFS believes to be reliable, we have not independently verified such information and it may not be accurate or complete. QNBFS does not make any representations or
warranties as to the accuracy and completeness of the information it may contain, and declines any liability in that respect. For reports dealing with Technical Analysis, expressed opinions and/or
recommendations may be different or contrary to the opinions/recommendations of QNBFS Fundamental Research as a result of depending solely on the historical technical data (price and volume).
QNBFS reserves the right to amend the views and opinions expressed in this publication at any time. It may also express viewpoints or make investment decisions that differ significantly from, or even
contradict, the views and opinions included in this report. This report may not be reproduced in whole or in part without permission from QNBFS.
COPYRIGHT: No part of this document may be reproduced without the explicit written permission of QNBFS.
Page 5 of 5
Rebased Performance Daily Index Performance
Source: Bloomberg Source: Bloomberg
Source: Bloomberg Source: Bloomberg (*$ adjusted returns; #Market closed on August 29, 2016)
80.0
100.0
120.0
140.0
160.0
180.0
Jul-12 Jul-13 Jul-14 Jul-15 Jul-16
QSEIndex S&PPan Arab S&PGCC
(0.0%)
0.6%
(0.1%)
(0.3%)
(0.5%)
(0.1%)
0.1%
(0.6%)
(0.3%)
0.0%
0.3%
0.6%
0.9%
SaudiArabia
Qatar
Kuwait
Bahrain
Oman
AbuDhabi
Dubai
Asset/Currency Performance Close ($) 1D% WTD% YTD% Global Indices Performance Close 1D%* WTD%* YTD%*
Gold/Ounce 1,323.50 0.2 0.2 24.7 MSCI World Index 1,725.57 (0.0) (0.0) 3.8
Silver/Ounce 18.88 1.2 1.2 36.2 DJ Industrial 18,502.99 0.6 0.6 6.2
Crude Oil (Brent)/Barrel (FM Future) 49.26 (1.3) (1.3) 32.1 S&P 500 2,180.38 0.5 0.5 6.7
Crude Oil (WTI)/Barrel (FM Future) 46.98 (1.4) (1.4) 26.8 NASDAQ 100 5,232.33 0.3 0.3 4.5
Natural Gas (Henry Hub)/MMBtu 2.95 2.5 2.5 27.5 STOXX 600 343.20 (0.7) (0.7) (3.5)
LPG Propane (Arab Gulf)/Ton 47.50 (0.5) (0.5) 21.4 DAX 10,544.44 (0.9) (0.9) 0.5
LPG Butane (Arab Gulf)/Ton 58.00 (1.7) (1.7) 0.9 FTSE 100# 6,838.05 0.0 0.0 (2.2)
Euro 1.12 (0.1) (0.1) 3.0 CAC 40 4,424.25 (0.9) (0.9) (1.9)
Yen 101.92 0.1 0.1 (15.2) Nikkei 16,737.49 1.4 1.4 3.8
GBP 1.31 (0.2) (0.2) (11.1) MSCI EM 895.97 (0.6) (0.6) 12.8
CHF 1.02 (0.0) (0.0) 2.5 SHANGHAI SE Composite 3,070.03 (0.1) (0.1) (15.7)
AUD 0.76 0.1 0.1 3.9 HANG SENG 22,821.34 (0.4) (0.4) 4.1
USD Index 95.58 0.0 0.0 (3.1) BSE SENSEX 27,902.66 0.2 0.2 5.4
RUB 64.73 0.2 0.2 (10.7) Bovespa 58,610.39 1.2 1.2 64.4
BRL 0.31 1.1 1.1 22.6 RTS 962.08 (1.2) (1.2) 27.1
137.2
97.5
97.1

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QNBFS Daily Market Report August 30, 2016

  • 1. Page 1 of 5 QSE Intra-Day Movement Qatar Commentary The QSE Index rose 0.6% to close at 11,261.5. Gains were led by the Telecoms and Industrials indices, gaining 1.1% and 0.9%, respectively. Top gainers were Qatar Cinema & Film Distribution Co. and Industries Qatar, rising 6.1% and 2.5%, respectively. Among the top losers, Zad Holding Co. and Islamic Holding Group were down 2.3% each. GCC Commentary Saudi Arabia: The TASI Index fell marginally to close at 6,071.2. Losses were led by the Media & Publishing and Energy & Utilities indices, falling 1.3% and 0.9%, respectively. Abdullah AM. Al Khodari Sons fell 3.1%, while Emaar Economic City was down 2.5%. Dubai: The DFM Index gained 0.1% to close at 3,494.3. The Consumer Staples index rose 1.8%, while the Transportation index gained 0.6%. Arab Insurance Group rose 7.6%, while Dar Al Takaful was up 4.2%. Abu Dhabi: The ADX benchmark index fell 0.1% to close at 4,495.1. The Energy index declined 0.4%, while the Investment & Financial Services index fell 0.3%. United Arab Bank declined 2.2%, while Sharjah Islamic Bank was down 1.9%. Kuwait: The KSE Index declined 0.1% to close at 5,404.7. The Oil & Gas index fell 2.3%, while the Insurance index declined 0.7%. National Cleaning Co. fell 6.3%, while Contracting & Marine Services Co. was down 5.4%. Oman: The MSM Index fell 0.5% to close at 5,779.6. Losses were led by the Financial and Industrial indices, falling 0.6% and 0.5%, respectively. Gulf Investment Services fell 3.3%, while Oman Fisheries was down 3.2%. Bahrain: The BHB Index fell 0.3% to close at 1,135.8. The Services index declined 0.6%, while the Commercial Banks index fell 0.5%. Bahrain Ship Repairing & Engineering Company declined 5.9%, while BBK was down 3.8%. QSE Top Gainers Close* 1D% Vol. ‘000 YTD% Qatar Cinema & Film Dist. Co. 35.00 6.1 0.2 2.9 Industries Qatar 116.40 2.5 224.5 4.8 Dlala Brokerage & Inv. Holding Co. 23.84 1.4 80.5 28.9 Ooredoo 103.00 1.4 309.2 37.3 QNB Group 168.60 1.0 125.9 15.6 QSE Top Volume Trades Close* 1D% Vol. ‘000 YTD% Aamal Co. 15.32 0.5 746.9 9.5 Ezdan Holding Group 19.44 (0.2) 643.5 22.3 Qatar First Bank 11.40 (0.9) 381.9 (24.0) Ooredoo 103.00 1.4 309.2 37.3 Vodafone Qatar 12.00 0.0 244.4 (5.5) Market Indicators 29 Aug 16 28 Aug 16 %Chg. Value Traded (QR mn) 182.3 164.9 10.6 Exch. Market Cap. (QR mn) 602,327.0 598,603.7 0.6 Volume (mn) 4.5 4.3 5.0 Number of Transactions 3,274 2,966 10.4 Companies Traded 43 40 7.5 Market Breadth 22:15 18:19 – Market Indices Close 1D% WTD% YTD% TTM P/E Total Return 18,220.37 0.6 1.1 12.4 15.7 All Share Index 3,089.29 0.5 0.9 11.3 14.8 Banks 3,090.89 0.6 1.3 10.2 13.1 Industrials 3,373.07 0.9 1.7 5.8 16.1 Transportation 2,610.83 0.1 0.2 7.4 12.6 Real Estate 2,723.81 0.1 0.1 16.8 23.9 Insurance 4,697.70 (0.0) (0.3) 16.5 12.6 Telecoms 1,274.46 1.1 1.2 29.2 19.4 Consumer 6,520.05 0.0 (0.2) 8.7 13.7 Al Rayan Islamic Index 4,229.69 0.5 0.6 9.7 18.6 GCC Top Gainers## Exchange Close# 1D% Vol. ‘000 YTD% Saudi Int. Petrochem. Saudi Arabia 13.46 6.0 650.3 (3.9) Bank of Sharjah Abu Dhabi 1.40 5.3 1,173.6 (9.1) Nat. Petrochemical Co. Saudi Arabia 16.42 4.9 789.3 (1.7) Saudia Dairy & Foodstuff Saudi Arabia 147.16 4.7 73.8 31.4 Aseer Trading Tourism Saudi Arabia 15.55 3.5 404.1 (33.7) GCC Top Losers## Exchange Close# 1D% Vol. ‘000 YTD% BBK Bahrain 0.35 (3.8) 421.0 (19.7) Emaar Economic City Saudi Arabia 13.44 (2.5) 1,428.8 3.9 Drake & Scull Int. Dubai 0.48 (2.4) 6,560.2 16.1 Saudi Hollandi Bank Saudi Arabia 10.20 (2.4) 932.4 (29.3) Saudi Res. & Marketing Saudi Arabia 29.30 (2.2) 133.5 (49.3) Source: Bloomberg (# in Local Currency) (## GCC Top gainers/losers derived from the Bloomberg GCC 200 Index comprising of the top 200 regional equities based on market capitalization and liquidity) QSE Top Losers Close* 1D% Vol. ‘000 YTD% Zad Holding Co. 85.00 (2.3) 0.2 0.2 Islamic Holding Group 64.50 (2.3) 53.8 (18.0) Doha Insurance Co. 20.31 (2.1) 0.0 (3.3) Qatar Industrial Manufacturing Co. 43.60 (1.6) 2.5 9.4 Qatar Oman Investment Co. 11.13 (1.3) 6.4 (9.5) QSE Top Value Trades Close* 1D% Val. ‘000 YTD% Ooredoo 103.00 1.4 31,687.3 37.3 Industries Qatar 116.40 2.5 25,977.7 4.8 QNB Group 168.60 1.0 21,161.4 15.6 Ezdan Holding Group 19.44 (0.2) 12,463.7 22.3 Aamal Co. 15.32 0.5 11,504.3 9.5 Source: Bloomberg (* in QR) Regional Indices Close 1D% WTD% MTD% YTD% Exch. Val. Traded ($ mn) Exchange Mkt. Cap. ($ mn) P/E** P/B** Dividend Yield Qatar* 11,261.51 0.6 1.1 6.2 8.0 50.07 165,459.2 15.7 1.7 3.6 Dubai 3,494.30 0.1 0.1 0.3 10.9 80.39 91,756.2 12.5 1.3 4.3 Abu Dhabi 4,495.13 (0.1) (0.5) (1.8) 4.4 24.08 120,476.9 12.0 1.4 5.4 Saudi Arabia 6,071.16 (0.0) 1.6 (3.7) (12.2) 700.95 377,618.6 14.3 1.4 4.0 Kuwait 5,404.70 (0.1) (0.4) (0.8) (3.7) 16.40 78,883.3 18.7 1.0 4.4 Oman 5,779.60 (0.5) (0.7) (1.1) 6.9 8.07 23,051.6 10.1 1.1 5.1 Bahrain 1,135.81 (0.3) (0.9) (1.7) (6.6) 2.06 17,678.2 9.2 0.4 4.9 Source: Bloomberg, Qatar Stock Exchange, Tadawul, Muscat Securities Exchange, Dubai Financial Market and Zawya (** TTM; * Value traded ($ mn) do not include special trades, if any) 11,180 11,200 11,220 11,240 11,260 11,280 9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00
  • 2. Page 2 of 5 Qatar Market Commentary  The QSE Index rose 0.6% to close at 11,261.5. The Telecoms and Industrials indices led the gains. The index rose on the back of buying support from non-Qatari and GCC shareholders despite selling pressure from Qatari shareholders.  Qatar Cinema & Film Distribution Co. and Industries Qatar were the top gainers, rising 6.1% and 2.5%, respectively. Among the top losers, Zad Holding Co. and Islamic Holding Group were down 2.3% each.  Volume of shares traded on Monday rose by 5.0% to 4.5mn from 4.3mn on Sunday. However, as compared to the 30-day moving average of 6.7mn, volume for the day was 32.7% lower. Aamal Co. and Ezdan Holding Group were the most active stocks, contributing 16.6% and 14.3% to the total volume, respectively. Source: Qatar Stock Exchange (* as a % of traded value) News Qatar  Nakilat-Damen delivers five brand new vessels for New Port Project – Nakilat Damen Shipyards Qatar, one of the region’s leading shipbuilding companies, has delivered five brand new vessels as part of an eleven-vessel order for New Port Project (NPP). Built entirely at the ‘Erhama Bin Jaber Al Jalahma Shipyard’ located in Ras Laffan Industrial City, the vessels were launched and delivered to NPP after the successful completion of their sea trials. (Peninsula Qatar)  DHBK, Centrum in tie-up to scale up operations in India – Doha Bank (DHBK), and Mumbai-based Centrum Group have signed a strategic tie-up to leverage each other’s network and scale up their respective operations in India and GCC countries in the areas of banking, wealth management and foreign exchange. The memorandum of understanding, will enable a mutually beneficial collaboration wherein DHBK will use Centrum’s expertise to expand its footprint in India and Centrum will leverage the Qatar partner’s existing network and strengths to scale up its presence in the GCC countries. (Bloomberg)  Qatar Re net profit increases 79% YoY to $23.9mn in 1H2016 – Qatar Re, a multi-line reinsurer, has reported a 79% YoY increase in its net profit to $23.9mn in 1H2016, supported by strong investments. The Bermuda-registered company’s gross written premiums rose 41% to $654mn despite unabated headwinds from tough trading conditions in the global reinsurance markets. Net premiums earned doubled to $164.2mn. Qatar Re currently cedes 70% of its business via a quota share agreement with its parent Qatar Insurance Company (QATI). Qatar Re Chief Executive Gunther Saacke said, “Our 2016 half-year financial results testify to Qatar Re’s robust positioning in an environment of continued economic volatility and reinsurance market softness, exacerbated by above-average global catastrophe losses in the second quarter.” Qatar Re’s growth is supported by the provision of capital and a parental guarantee from QATI. The company’s shareholders’ equity almost doubled to $560.9mn YoY as of June 30, 2016. This capital base is supported by QATI’s shareholders’ equity of $2.2bn and a market capitalization of $5.4bn, as of June 30. Indicating improved underwriting, the reinsurer’s 1H2016 net combined ratio improved to 95.8%, as compared to 97.7% in 1H2015. (Gulf- Times.com)  Fuel prices to drop in Qatar from September – The Ministry of Energy & Industry said petrol prices in Qatar will come down by Dh5 a liter in September, while there will be no change in the diesel price. According to the ministry, the 91-octane Premium gasoline and 95-octane Super will cost QR1.30/liter and QR1.40, respectively, from September 1, 2016. The diesel price will remain unchanged at QR1.40/liter. The current prices of petrol, valid until August 31, 2016, are QR1.35 for Premium and QR1.45 for Super. Fuel prices in Qatar were allowed to fluctuate in response to changes in the global market from May 1. (Gulf-Times.com)  MDPS: Rise in transportation costs lifts Qatar’s CPI inflation by 2.8% YoY in 2Q2016 – According to figures released by the Ministry of Development Planning and Statistics (MDPS), increased transportation costs due to the deregulation of domestic oil prices and high costs for package tours led Qatar’s cost of living based on the consumer price index (CPI) to rise 2.8% YoY in 2Q2016. The general price level in the country grew 0.2% as compared to 1Q2016. The Qatar Economic Outlook 2015-17 Update of the MDPS said the country’s annual CPI inflation is expected to be 1.5% in 2016, after which it is expected to edge up to 2% in 2017. The housing, water, electricity and gas group – with a weight of 21.89% in the CPI basket – saw its index increase 5% YoY in 2Q2016, up 0.2% from the 1Q2016 levels. The actual rental for housing witnessed 5.1% YoY and 0.2% QoQ during April-June 2016, while maintenance and repair of dwellings stood at 5.3% YoY and -0.5% QoQ. In the case of water supply and miscellaneous services relating to dwelling, the sub-index remained unchanged YoY and QoQ. (Gulf-Times.com) International  Solid US consumer spending boosts prospect of Fed rate hike – US consumer spending increased for a fourth straight month in July amid strong demand for automobiles, pointing to a pickup in economic growth that could pave the way for the Federal Reserve to raise interest rates in 2016. The report from the Commerce Department came several days after Fed Chair Janet Yellen said the case for raising rates had strengthened in recent months. However, low inflation suggests the US central bank could wait until its December policy meeting before raising borrowing costs. The Commerce Department said that consumer spending, which accounts for more than two-thirds of US economic activity, rose 0.3% in July after a 0.5% gain in June. July's increase was in line with economists' expectations. When adjusted for inflation, consumer spending also rose 0.3% in July after advancing 0.4% in June. (Reuters)  German trade group slashes exports forecast as Brexit hit looms – Germany's BGA trade association slashed its 2016 forecast for export growth, predicting sales abroad by Europe's biggest economy would later stagnate as the delayed impact of Brexit hit home. Anton Boerner said global demand for German goods has slowed significantly, with Britain's decision to leave the European Overall Activity Buy %* Sell %* Net (QR) Qatari Individuals 26.21% 40.45% (25,959,782.20) Qatari Institutions 11.77% 23.76% (21,868,215.54) Qatari 37.98% 64.21% (47,827,997.74) GCC Individuals 0.62% 0.87% (454,605.26) GCC Institutions 18.36% 11.48% 12,540,783.68 GCC 18.98% 12.35% 12,086,178.42 Non-Qatari Individuals 9.99% 9.85% 256,114.92 Non-Qatari Institutions 33.05% 13.58% 35,485,704.40 Non-Qatari 43.04% 23.43% 35,741,819.32
  • 3. Page 3 of 5 Union among several factors increasing uncertainties and complicating investment decisions. He said, “The repercussions (of Brexit) will impact us massively in the near future.” That effect had yet to be felt in the export sector, which the association forecast in April, would grow by 4.5% in 2016. (Reuters)  Greek economy grows in 2Q2016 but strong rebound elusive – Greece's economy grew modestly in 2Q2016 but weak demand and scant investment mean a strong rebound after years of recession remains elusive a year after the country nearly crashed out of the Euro. Data released showed the $196.8bn economy expanded by 0.2% in April to June, slightly less than a previous estimate of 0.3% due to weaker consumer spending and net exports. It was the first QoQ expansion since late 2015 and followed a 0.2% contraction in 1Q2016. Facing a second bailout review entailing an unpopular loosening of labor laws in the autumn, Athens is keen to show a fatigued electorate that painful taxation and pension cuts that came with 2015's €86bn bailout deal will bear fruit and lead to economic recovery. (Reuters)  Japan to revamp bank monitoring to revive regional economy – Japan's government plans to overhaul its monitoring system targeting regional banks in efforts to raise their profitability and facilitate lending to local businesses. The Financial Services Agency hopes to improve monitoring of regional banks to determine if they provide enough lending and have sustainable business models as lenders are expected to play a key role in supporting local businesses. FSA Chief Nobuchika Mori underscored the need for the financial watchdog to revamp the monitoring and supervising scheme given rising challenges in the financial industry facing a dwindling population and rock-bottom interest rates. (Reuters)  India's growth pace likely slowed in April-June – According to Reuters poll, India's economic growth likely lost some momentum in the April-June quarter on cutbacks in domestic and global demand. The poll also found that economists expect the newly- passed goods and services tax will take time to have an impact on GDP growth. For April-June, the median forecast of 40 economists was for GDP growth of 7.6% from a year ago, slower than the 7.9% in the previous quarter. The slower pace would still be rapid, by any standard. China reported 6.7% annual growth for April-June, and the Philippines posted 7.0%. Much of India's slowdown was attributed to slumping demand. On an annual basis, the country's exports fell for 18 consecutive months until June, when they finally rose. Business surveys have pointed to slowing foreign and domestic demand. The latest reform from the government, the goods & services tax (GST), should transform the country into a common market and is widely expected to add up to two percentage points to the GDP growth pace after implementation. (Reuters) Regional  GCC real estate still safe haven for international investors – The brick-wall confidence of Bahraini mega project developers has been underlined by recent reports from REIDIN, a property business analysis firm, revealing growing demand in the real estate sector amid expansion in the construction and tourism markets. With the construction industry reaching a 4.5% YoY growth rate and the influx of 11.6mn tourists in 2015 spurring job sector expansion and triggering demand in residential and retail property sectors, Bahrain bolsters the GGC reputation as a real estate safe haven for international investors. (GulfBase.com)  Egypt receives $300mn from Saudi Arabia for Sinai Peninsula – According to sources, Saudi Arabia has given $300mn to Egypt as part of the first tranche of $1.5bn pledged by the oil-rich Kingdom to develop the Sinai Peninsula. (Bloomberg)  SEC to ink 7 MoUs with Chinese, Japanese firms – Saudi Electricity Company (SEC), the Gulf’s largest utility firm, will sign 7 MoUs with Chinese and Japanese firms during Saudi Deputy Crown Prince Mohammed bin Salman's visit to the Asian countries. SEC will sign three-year MoUs with China’s Shanghai Electric covering the transfer of energy-related services and investment in independent power production (IPP) projects. (Bloomberg)  STC, Lebara KSA to discuss 4G license in Egypt – Representatives from Saudi Telecom (STC) and Lebara KSA are in Egypt to discuss the possibility of obtaining a 4G license. (Bloomberg)  Saudi's Chemanol refinances debts worth SR637mn – According to sources, Saudi Arabia's Methanol Chemicals Company (Chemanol) has refinanced total Shari’ah-compliant debts worth SR636.7mn. (Bloomberg)  Foreign remittances see 35% drop – The remittances sent by foreigners to their families fell by 35% or SR5.5bn during July, down from SR15.8bn in June to SR10.3bn in July, which marked the lowest volume of remittances in 41 months since February 2013. (Bloomberg)  Mashreq Bank appoints Pella to head investment unit – Mashreq has appointed Christophe Pella as Head of its asset management unit and Chief Executive of its Mashreq Capital arm. (Bloomberg)  Damac Chairman: 2016 profit likely to be in line with last year – Dubai developer Damac Properties Chairman Hussain Sajwani said that the company’s profit for 2016 is likely to be in line with AED4.5bn it had achieved 2015. Sajwani also said that the company had achieved around AED7.88bn of sales till date at its 55mn-square foot master planned community Akoya Oxygen off Al Qudra Road in Dubai, which contains a Trump International Golf Club and a Tiger Woods-designed course. (GulfBase.com)  Dubai Expo 2020 to allocate contracts worth AED5bn to SMEs – Dubai announced that 20% of direct and indirect spending on the Expo 2020 event will be allocated to small and medium enterprises (SMEs). Under the plans, contracts worth more than AED5bn will be allocated to local and international SMEs in the coming years. (Bloomberg)  DEWA CEO: No fundraising plans for 2016 or 2017 – Dubai Electricity & Water Authority (DEWA) Managing Director & CEO Saeed Mohammed al-Tayer said that DEWA has no plans to raise new funds in 2016 or 2017. The company plans to repay $500mn bond maturing in October 2016. (Bloomberg)  NMC Health expects investments in KSA to boost earnings in 2017 – NMC Health expects its latest investments in Saudi Arabia to boost earnings in 2017. The Abu Dhabi-based healthcare provider has invested $32mn in the Kingdom. The company raised its EBITDA guidance by $10mn to $300mn for 2017, following the investments. (Bloomberg)  ADIA appoints Beaton as Global Operations Head – Abu Dhabi Investment Authority (ADIA) has appointed Garry Beaton to the newly-created role of Global Head of Operations. Beaton joins the fund, which has around $792bn in assets, according to industry tracker Sovereign Wealth Fund Institute. (Bloomberg)  Aldar awards AED258mn contract to Fibrex for Reem Island project – Aldar Properties has awarded the main contractor package, worth AED258mn to Fibrex for its mid-market Shams Meera residential development in Shams Abu Dhabi on Reem Island. The contract, which commences with immediate effect, comprises the construction of two 25-story towers overlooking a landscaped park. (Bloomberg)  ADNOC aims for oil output of 3.5mn bpd by 2018-end – Abu Dhabi National Oil Company (ADNOC) aims to reach an oil production capacity of 3.5mn bpd by 2018-end. (Bloomberg)
  • 4. Page 4 of 5  JBIC, Japan banks to provide loan for Abu Dhabi oil field – State-run Japan Bank for International Cooperation (JBIC), along with Mizuho, Mitsubishi UFJ and Sumitomo Mitsui will provide a loan of $630mn for development of a new oil field in Abu Dhabi. (Bloomberg)  Kuwait may sell bonds in November – According to sources, Kuwait may sell $7.5bn in bonds in November and $2bn in Sukuk to foreign investors over the next 6 months. (Bloomberg)  Oman’s ARA Petroleum plans to carry out drilling activities in Block 44 – Oman-based ARA Petroleum, which recently signed an agreement to acquire Thai energy conglomerate PTT’s Oman operations, plans to carry out workover and drilling activities in the latter’s Block 44 license onshore Oman over the next two years. (GulfBase.com)
  • 5. Contacts Saugata Sarkar Shahan Keushgerian Zaid al-Nafoosi, CMT, CFTe Head of Research Senior Research Analyst Senior Research Analyst Tel: (+974) 4476 6534 Tel: (+974) 4476 6509 Tel: (+974) 4476 6535 saugata.sarkar@qnbfs.com.qa shahan.keushgerian@qnbfs.com.qa zaid.alnafoosi@qnbfs.com.qa QNB Financial Services Co. WLL One Person Company Contact Center: (+974) 4476 6666 PO Box 24025 Doha, Qatar Disclaimer and Copyright Notice: This publication has been prepared by QNB Financial Services Co. WLL One Person Company (“QNBFS”) a wholly-owned subsidiary of QNB SAQ (“QNB”). QNBFS is regulated by the Qatar Financial Markets Authority and the Qatar Exchange QNB SAQ is regulated by the Qatar Central Bank. This publication expresses the views and opinions of QNBFS at a given time only. It is not an offer, promotion or recommendation to buy or sell securities or other investments, nor is it intended to constitute legal, tax, accounting, or financial advice. QNBFS accepts no liability whatsoever for any direct or indirect losses arising from use of this report. Any investment decision should depend on the individual circumstances of the investor and be based on specifically engaged investment advice. We therefore strongly advise potential investors to seek independent professional advice before making any investment decision. Although the information in this report has been obtained from sources that QNBFS believes to be reliable, we have not independently verified such information and it may not be accurate or complete. QNBFS does not make any representations or warranties as to the accuracy and completeness of the information it may contain, and declines any liability in that respect. For reports dealing with Technical Analysis, expressed opinions and/or recommendations may be different or contrary to the opinions/recommendations of QNBFS Fundamental Research as a result of depending solely on the historical technical data (price and volume). QNBFS reserves the right to amend the views and opinions expressed in this publication at any time. It may also express viewpoints or make investment decisions that differ significantly from, or even contradict, the views and opinions included in this report. This report may not be reproduced in whole or in part without permission from QNBFS. COPYRIGHT: No part of this document may be reproduced without the explicit written permission of QNBFS. Page 5 of 5 Rebased Performance Daily Index Performance Source: Bloomberg Source: Bloomberg Source: Bloomberg Source: Bloomberg (*$ adjusted returns; #Market closed on August 29, 2016) 80.0 100.0 120.0 140.0 160.0 180.0 Jul-12 Jul-13 Jul-14 Jul-15 Jul-16 QSEIndex S&PPan Arab S&PGCC (0.0%) 0.6% (0.1%) (0.3%) (0.5%) (0.1%) 0.1% (0.6%) (0.3%) 0.0% 0.3% 0.6% 0.9% SaudiArabia Qatar Kuwait Bahrain Oman AbuDhabi Dubai Asset/Currency Performance Close ($) 1D% WTD% YTD% Global Indices Performance Close 1D%* WTD%* YTD%* Gold/Ounce 1,323.50 0.2 0.2 24.7 MSCI World Index 1,725.57 (0.0) (0.0) 3.8 Silver/Ounce 18.88 1.2 1.2 36.2 DJ Industrial 18,502.99 0.6 0.6 6.2 Crude Oil (Brent)/Barrel (FM Future) 49.26 (1.3) (1.3) 32.1 S&P 500 2,180.38 0.5 0.5 6.7 Crude Oil (WTI)/Barrel (FM Future) 46.98 (1.4) (1.4) 26.8 NASDAQ 100 5,232.33 0.3 0.3 4.5 Natural Gas (Henry Hub)/MMBtu 2.95 2.5 2.5 27.5 STOXX 600 343.20 (0.7) (0.7) (3.5) LPG Propane (Arab Gulf)/Ton 47.50 (0.5) (0.5) 21.4 DAX 10,544.44 (0.9) (0.9) 0.5 LPG Butane (Arab Gulf)/Ton 58.00 (1.7) (1.7) 0.9 FTSE 100# 6,838.05 0.0 0.0 (2.2) Euro 1.12 (0.1) (0.1) 3.0 CAC 40 4,424.25 (0.9) (0.9) (1.9) Yen 101.92 0.1 0.1 (15.2) Nikkei 16,737.49 1.4 1.4 3.8 GBP 1.31 (0.2) (0.2) (11.1) MSCI EM 895.97 (0.6) (0.6) 12.8 CHF 1.02 (0.0) (0.0) 2.5 SHANGHAI SE Composite 3,070.03 (0.1) (0.1) (15.7) AUD 0.76 0.1 0.1 3.9 HANG SENG 22,821.34 (0.4) (0.4) 4.1 USD Index 95.58 0.0 0.0 (3.1) BSE SENSEX 27,902.66 0.2 0.2 5.4 RUB 64.73 0.2 0.2 (10.7) Bovespa 58,610.39 1.2 1.2 64.4 BRL 0.31 1.1 1.1 22.6 RTS 962.08 (1.2) (1.2) 27.1 137.2 97.5 97.1