Qatar market gains for the second day on ENBD comments
The Qatar Exchange 20 Index continued to recover like other GCC markets and closed 2.06 per cent higher at 12,384.24 points on Wednesday, July 2. Market bellwether Industries Qatar lost 2.16 per cent to finish at QAR172. Banks and developers, however, kept the pace upwards, with Qatar Islamic Bank closing 7.10 per cent higher at QAR93.50.
The gauge lost 14 per cent in June due to fears that Qatar could lose its mandate to host the football World Cup in 2022.
However, the index dividend yield is at 4.4 per cent, among the highest globally, and price to earnings is at 11.6X2014E, “making the Qatari market very attractive on a year-ahead view, ” says Arjuna Mahendran, chief investment officer at Emirates NBD wealth management in Dubai. “Earnings growth is in double digits and infrastructure build will continue regardless of any decision on the 2022 World Cup.”