MIDEAST STOCKS-Qatar back above 10,000; Egypt stabilises
* Qatar index makes second rise above 10,000 points
* Government aims to boost state spending
* Egypt's stability may be temporary
* Property stocks traded heavily in Dubai
* Saudi Arabia hits new 59-month high
By Nadia Saleem
DUBAI, Aug 19 (Reuters) - Qatar's bourse rose back above the psychologically important level of 10,000 points on Monday, buoyed by second-quarter corporate earnings and government budget plans, while Egypt stabilised after big losses due to political violence.
The Qatari index rose 1.3 percent to 10,038 points, extending its 2013 gains to 20.1 percent. Trading volume jumped to its highest this month. The index broke 10,000 points last week for the first time since September 2008.
"Second-quarter earnings created a momentum in the market," said Yassir Mckee, wealth manager at Al Rayan Financial Brokerage.
Government spending plans are also buoying the market; state spending rose only 2.2 percent to 178.2 billion riyals ($48.9 billion) in the fiscal year to March because of delays in pushing forward infrastructure plans, but the government aims to raise spending to 210.6 billion riyals this year as projects get underway.
Some investors are still looking out for the planned listing of Doha Global Investment Co, a $12 billion investment company backed by assets from the Gulf state's sovereign wealth fund.
The listing was initially planned for late April but summer and Ramadan, the Muslim month of fasting, have slowed down the listing process; authorities have not said when the share offer may proceed. State-run Qatar Petroleum is also expected to list some units eventually.
If the Doha Global offer does go ahead, it could have a short-term dampening effect on the market as investors withdraw money to buy the new shares. Some analysts believe it could help Qatar in the long run, however, by deepening the market and attracting more foreign investment.
"We're heading in the right direction. If we add two to four new companies, it will add huge interest in the market," Mckee said.
In Egypt, the index slipped 0.1 percent after a choppy trading session. It had tumbled 5.5 percent over the previous two trading days in response to the army-backed government's bloody crackdown on the Muslim Brotherhood.
Foreign investors were net sellers on Monday while locals were buyers, according to exchange data, and many traders said the market remained vulnerable to more losses if the political crisis continued.
"People are pretty cautious - foreigners have their own concerns regarding repatriation," said Amr Reda, assistant vice-president on the foreign sales desk at Pharos Securities in Cairo. Foreign investors have had trouble remitting profits out of the country because of foreign exchange shortages.
"Some locals are optimistic the army will take control of the situation on the ground. The main concern is of more violence on the street and uncertainty about when it will end," Reda added.
Daily trading sessions were shortened to three hours from four in the past two trading days to give employees more time to obey a curfew; normal trading hours will resume on Tuesday, the bourse said.
In the United Arab Emirates, Dubai's bourse resumed rising after three sessions of declines as buyers returned in property-related shares. The main index rose 1.5 percent, extending year-to-date gains to 64.3 percent.
Construction firm Arabtec led trading volumes, rising 4.1 percent. Blue chip bank Emirates NBD, heavily exposed to the property sector, climbed 2.7 percent.
Union Properties, which soared 11 percent on Sunday in massive trading volume, pulled back 0.4 percent on Monday and was the second most active stock.
In Saudi Arabia, the index climbed 0.6 percent to hit a fresh 59-month high. Banking and cement shares supported gains with their indexes up 1.0 and 2.1 percent.
* The index rose 1.3 percent to 10,038 points.
* The index slipped 0.1 percent to 5,329 points.
* The index advanced 1.5 percent to 2,666 points.
* The index gained 0.6 percent to 3,899 points.
* The index climbed 0.6 percent to 8,203 points.
* The index eased 0.03 percent to 8,132 points.
* The index climbed 0.8 percent to 6,899 points.
* The index ticked up 0.1 percent to 1,203 points.
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