Qatar’s Stocks Retreat on Speculation Gains Overdone, Oil - Bloomberg

Qatar’s benchmark stock index declined for the first time in three days on speculation a gain this week prompted by a decision to raise salaries and pensions for nationals was overdone.

Qatar National Bank SAQ (QNBK), the Persian Gulf country’s biggest lender by assets, retreated 1 percent. Commercial Bank of Qatar QSC fell a second time this week. The QE Index (DSM) decreased 0.4 percent, the most since Sept. 5, to 8,366.39 at the 1 p.m. close in Doha, trimming the gain for the week to 0.2 percent. The index advanced 1.1 percent the previous two trading days. The Bloomberg GCC 200 Index (BGCC200) of regional shares climbed 0.1 percent.

“The Qatari market is losing a bit of steam after two days of relatively good performance on the back of the government decision to increase government employees salaries and military salaries,” said Samer Darwiche, a financial analyst at Gulfmena Investments in Dubai. The move “is beneficial for retail; for banks with high retail exposure.”

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