The QSE Index rose 0.4% led by gains in the Transportation and Telecom indices. Top gainers were Qatar Gas Transport Co. and Widam Food Co., rising 2.1% each, while Commercial Bank fell 0.8%. Regional markets were mixed with Dubai up 0.3% and Oman up 0.6% but Saudi Arabia down 1.5% and Abu Dhabi down 0.1%.

1. Page 1 of 8
QSE Intra-Day Movement
Qatar Commentary
The QSE Index rose 0.4% to close at 10,652.3. Gains were led by the Transportation and
Telecoms indices, gaining 1.1% and 0.7%, respectively. Top gainers were Qatar Gas
Transport Co. and Widam Food Co., rising 2.1% each. Among the top losers, Commercial
Bank fell 0.8%, while Barwa Real Estate Co. was down 0.6%.
GCC Commentary
Saudi Arabia: The TASI Index fell 1.5% to close at 6,335.6. Losses were led by the Media
& Publishing and Multi-Inv. indices, falling 3.0% and 2.7%, respectively. Mobile
Telecom. Co. fell 9.7%, while Fitaihi Holding was down 7.0%.
Dubai: The DFM Index gained 0.3% to close at 3,519.3. The Transportation index rose
3.5%, while the Telecommunication index gained 1.5%. Aramex and Air Arabia were up
3.6% each.
Abu Dhabi: The ADX benchmark index fell 0.1% to close at 4,593.6. The Investment &
Financial Services index declined 1.4%, while the Industrial index fell 0.7%. Al Khazna
Insurance Co. declined 7.1%, while RAKBANK was down 6.7%.
Kuwait: The KSE Index declined marginally to close at 5,460.7. The Insurance index fell
1.4%, while the Technology index declined 0.6%. First Takaful Insurance Company fell
13.6%, while National International Co. was down 6.9%.
Oman: The MSM Index rose 0.6% to close at 5,854.4. Gains were led by the Industrial
and Services indices, rising 0.9% and 0.4%, respectively. Al Jazeera Steel Products rose
6.4%, while Renaissance Services was up 4.0%.
Bahrain: The BHB Index gained 0.2% to close at 1,160.1. The Industrial index rose 0.6%,
while the Commercial Bank index gained 0.5%. Nass Corporation rose 3.2%, while
Khaleeji Commercial Bank was up 1.7%.
QSE Top Gainers Close* 1D% Vol. ‘000 YTD%
Qatar Gas Transport Co. 24.50 2.1 282.5 4.9
Widam Food Co. 64.00 2.1 167.8 21.2
Qatari Investors Group 51.10 2.0 51.8 35.5
Islamic Holding Group 66.90 1.5 49.6 (15.0)
QNB Group 153.00 1.4 193.4 4.9
QSE Top Volume Trades Close* 1D% Vol. ‘000 YTD%
Ezdan Holding Group 19.75 0.2 764.4 24.2
Qatar First Bank 12.16 (0.4) 439.3 (18.9)
Masraf Al Rayan 36.00 0.6 387.1 (4.3)
Qatar Islamic Bank 109.00 (0.5) 292.3 2.2
Qatar Gas Transport Co. 24.50 2.1 282.5 4.9
Market Indicators 28 July 16 27 July 16 %Chg.
Value Traded (QR mn) 223.4 238.3 (6.2)
Exch. Market Cap. (QR mn) 571,388.0 568,414.3 0.5
Volume (mn) 4.8 5.2 (8.1)
Number of Transactions 3,854 3,490 10.4
Companies Traded 41 44 (6.8)
Market Breadth 23:10 27:13 –
Market Indices Close 1D% WTD% YTD% TTM P/E
Total Return 17,234.72 0.4 1.1 6.3 14.6
All Share Index 2,946.61 0.5 1.0 6.1 13.9
Banks 2,874.20 0.6 1.9 2.4 12.2
Industrials 3,223.92 0.3 0.2 1.2 14.7
Transportation 2,572.60 1.1 0.6 5.8 12.0
Real Estate 2,704.47 0.0 0.5 15.9 23.8
Insurance 4,381.80 0.7 2.2 8.6 11.5
Telecoms 1,178.13 0.7 0.8 19.4 17.9
Consumer 6,575.47 0.0 (0.6) 9.6 13.5
Al Rayan Islamic Index 4,082.98 0.2 0.3 5.9 17.6
GCC Top Gainers## Exchange Close# 1D% Vol. ‘000 YTD%
United Real Estate Co. Kuwait 0.11 3.9 54.1 11.6
Aramex Dubai 4.00 3.6 13,476.2 26.6
Air Arabia Dubai 1.45 3.6 16,191.0 6.6
Emaar Economic City Saudi Arabia 13.66 3.3 1,890.2 5.6
Combined Group Cont. Kuwait 0.68 3.0 7.1 (5.3)
GCC Top Losers## Exchange Close# 1D% Vol. ‘000 YTD%
Mobile Telecom. Co. Saudi Arabia 7.16 (9.7) 10,129.8 (14.5)
RAKBANK Abu Dhabi 4.90 (6.7) 394.3 (21.6)
Nat. Marine Dredging Co. Abu Dhabi 4.41 (6.2) 27.6 (19.5)
Bank Al-Jazira Saudi Arabia 12.03 (5.3) 9,570.7 (25.8)
Saudi Printing & Pack. Saudi Arabia 18.33 (5.1) 389.5 (30.3)
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%
Commercial Bank 37.90 (0.8) 157.9 (17.4)
Barwa Real Estate Co. 35.10 (0.6) 110.5 (12.3)
Gulf International Services 36.75 (0.5) 137.0 (28.6)
Qatar Islamic Bank 109.00 (0.5) 292.3 2.2
Salam International Invest. Co. 11.75 (0.4) 63.6 (0.6)
QSE Top Value Trades Close* 1D% Val. ‘000 YTD%
Qatar Islamic Bank 109.00 (0.5) 32,294.3 2.2
QNB Group 153.00 1.4 29,460.5 4.9
Ooredoo 95.20 0.9 26,041.9 26.9
Ezdan Holding Group 19.75 0.2 15,034.6 24.2
Masraf Al Rayan 36.00 0.6 13,802.2 (4.3)
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* 10,652.31 0.4 1.1 7.8 2.1 61.35 156,960.3 14.6 1.6 3.8
Dubai 3,519.27 0.3 (0.7) 6.3 11.7 85.81 92,816.2 12.3 1.3 4.3
Abu Dhabi 4,593.58 (0.1) 0.1 2.1 6.6 60.18 123,195.7 12.3 1.5 5.3
Saudi Arabia 6,335.59 (1.5) (4.0) (2.5) (8.3) 1,039.59 391,842.0 14.9 1.5 3.9
Kuwait 5,460.73 (0.0) 1.3 1.8 (2.7) 17.75 80,201.7 19.0 1.0 4.3
Oman 5,854.39 0.6 0.6 1.3 8.3 9.44 23,105.3 8.6 1.2 5.0
Bahrain 1,160.05 0.2 (0.0) 3.7 (4.6) 1.86 17,962.0 9.6 0.4 4.7
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)
10,500
10,550
10,600
10,650
10,700
9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00

2. Page 2 of 8
Qatar Market Commentary
 The QSE Index rose 0.4% to close at 10,652.3. The Transportation and
Telecoms 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 Gas Transport Co. and Widam Food Co. were the top gainers, rising
2.1% each. Among the top losers, Commercial Bank fell 0.8%, while Barwa
Real Estate Co. was down 0.6%.
 Volume of shares traded on Thursday fell by 8.1% to 4.8mn from 5.2mn on
Wednesday. However, as compared to the 30-day moving average of 4.6mn,
volume for the day was 4.3% higher. Ezdan Holding Group and Qatar First
Bank were the most active stocks, contributing 15.9% and 9.2% to the total
volume, respectively.
Source: Qatar Stock Exchange (* as a % of traded value)
Ratings, Earnings Releases, Global Economic Data and Earnings Calendar
Ratings Updates
Company Agency Market Type* Old Rating New Rating Rating Change Outlook Outlook Change
Bahrain Telecommunications Co. Fitch Bahrain LT-IDR BB+ BB+ – Stable –
Source: News reports (* LT – Long Term, ST – Short Term, FCR – Foreign Currency Rating, LCR – Local Currency Rating, IDR – Issuer Default Rating, SR – Support Rating, LC – Local Currency)
Earnings Releases
Company Market Currency
Revenue (mn)
2Q2016
% Change
YoY
Operating Profit
(mn) 2Q2016
% Change
YoY
Net Profit
(mn) 2Q2016
% Change
YoY
Mobile Telecommunication Co. Saudi Arabia SR – – -108.0 NA -329.0 NA
Saudi Automotive Services Co. Saudi Arabia SR – – 2.8 -42.7% 4.4 19.1%
Saudi Printing & Packaging Co. Saudi Arabia SR – – 12.0 -52.2% 0.5 -98.2%
Astra Industrial Group Saudi Arabia SR – – 5.6 2.0% 22.2 10.4%
Saudi Industrial Investment Group Saudi Arabia SR – – 546.0 -28.3% 216.0 -36.3%
National Petrochemical Co. Saudi Arabia SR – – 421.8 -25.3% 208.6 -31.7%
Saudi Real Estate Co. Saudi Arabia SR – – 45.7 15.0% 19.0 -48.3%
Saudi Industrial Development Co. Saudi Arabia SR – – 1.0 -90.1% 7.7 -38.4%
Electrical Industries Co. Saudi Arabia SR – – 9.2 -60.9% 10.5 -47.5%
Saudi Vitrified Clay Pipes Co. Saudi Arabia SR – – 25.1 -27.0% 23.9 -27.1%
Fitaihi Holding Group Saudi Arabia SR – – -14.5 NA -5.0 NA
Alandalus Property Co. Saudi Arabia SR – – 26.5 -2.6% 24.8 0.6%
Al Yamamah Steel Industries Co. Saudi Arabia SR – – 100.4 38.1% 66.4 22.1%
Etihad Atheeb Telecommunication Saudi Arabia SR – – -0.4 NA -65.4 NA
Kingdom Holding Company Saudi Arabia SR – – 302.9 -14.4% 185.8 -22.0%
Saudi Research & Marketing Group Saudi Arabia SR – – -37.4 NA -51.5 NA
Alkhaleej Training & Education Co. Saudi Arabia SR – – -0.1 NA -4.0 NA
Al Hammadi Co. for Dev. & Inv. Saudi Arabia SR – – 26.2 -30.9% 20.9 -43.3%
Saudi Cable Co. Saudi Arabia SR – – -11.7 NA -18.2 NA
Saudi Paper Manufacturing Co. Saudi Arabia SR – – 3.8 -34.0% -6.1 NA
Bishah Agricultural Development Co. Saudi Arabia SR – – -0.3 NA -0.3 NA
Knowledge Economic City Saudi Arabia SR – – -0.5 NA 0.2 NA
Abdulmohsen Alhokair Group Saudi Arabia SR – – 14.3 -59.4% 18.8 -56.4%
Qassim Agricultural Co. Saudi Arabia SR – – -0.4 NA 1.3 179.5%
Savola Group Saudi Arabia SR – – 414.2 -23.7% 246.7 -43.2%
Aramex Dubai AED 1,105.0 16.8% – – 125.7 35.9%
Al Mazaya Holding Co. Dubai KD 9.7 -21.1% – – 2.3 -4.3%
National Central Cooling Co. Dubai AED 323.1 2.3% 108.2 3.1% 97.0 5.3%
Arkan Building Materials Co. Abu Dhabi AED 199.0 -11.1% – – 9.4 -65.6%
RAK Cement Co. Abu Dhabi AED 57.1 11.8% – – 2.5 NA
Oman Cement* Oman OMR 30.1 18.0% – – 7.6 26.0%
Oman Chlorine* Oman OMR 3.5 -6.5% – – 0.9 -31.0%
Shell Oman Marketing Oman OMR 183.4 10.7% – – 8.8 27.5%
Esterad Investment Co.* Bahrain BHD – – – – 0.5 -55.9%
Overall Activity Buy %* Sell %* Net (QR)
Qatari Individuals 20.76% 43.78% (51,413,715.58)
Qatari Institutions 13.91% 20.29% (14,247,815.02)
Qatari 34.67% 64.07% (65,661,530.60)
GCC Individuals 2.02% 1.35% 1,490,453.48
GCC Institutions 12.95% 2.76% 22,771,038.15
GCC 14.97% 4.11% 24,261,491.63
Non-Qatari Individuals 9.14% 11.42% (5,084,150.58)
Non-Qatari Institutions 41.21% 20.41% 46,484,189.55
Non-Qatari 50.35% 31.83% 41,400,038.97

3. Page 3 of 8
Source: Company data, DFM, ADX, MSM (*6M2016 results)
Global Economic Data
Date Market Source Indicator Period Actual Consensus Previous
07/28 US Department of Labor Initial Jobless Claims 23-July 266k 262k 252k
07/28 US Department of Labor Continuing Claims 16-July 2,139k 2,136k 2,132k
07/28 EU European Commission Consumer Confidence July F -7.9 -7.9 -7.9
07/29 EU Eurostat CPI Core YoY July A 0.90% 0.80% 0.90%
07/29 EU Eurostat GDP SA QoQ 2Q2016 A 0.30% 0.30% 0.60%
07/29 EU Eurostat GDP SA YoY 2Q2016 A 1.60% 1.50% 1.70%
07/28 Germany Destatis CPI MoM July P 0.30% 0.20% 0.10%
07/28 Germany Destatis CPI YoY July P 0.40% 0.30% 0.30%
07/29 France INSEE CPI MoM July P -0.40% -0.40% 0.10%
07/29 France INSEE CPI YoY July P 0.20% 0.30% 0.20%
07/29 Japan Ministry of Internal Affairs and Communications Jobless Rate June 3.10% 3.20% 3.20%
07/29 Japan Ministry of Internal Affairs and Communications Tokyo CPI YoY July -0.40% -0.50% -0.50%
07/29 Japan Ministry of Economy Trade Industrial Production MoM June P 1.90% 0.50% -2.60%
07/29 Japan Ministry of Economy Trade Industrial Production YoY June P -1.90% -2.90% -0.40%
07/29 India Controller General of Accounts Fiscal Deficit INR Crore June 97,337 – 91,660
Source: Bloomberg (s.a. = seasonally adjusted; n.s.a. = non-seasonally adjusted; w.d.a. = working day adjusted)
Earnings Calendar
Tickers Company Name Date of reporting 2Q2016 results No. of days remaining Status
QGRI Qatar General Insurance & Reinsurance 31-Jul-16 0 Due
QCFS Qatar Cinema & Film Distribution Company 1-Aug-16 1 Due
AKHI Al Khaleej Takaful Insurance 2-Aug-16 2 Due
MRDS Mazaya Qatar 2-Aug-16 2 Due
GISS Gulf International Services 2-Aug-16 2 Due
QNNS Qatar Navigation (Milaha) 3-Aug-16 3 Due
IQCD Industries Qatar 3-Aug-16 3 Due
QFLS Qatar Fuel Company 4-Aug-16 4 Due
DOHI Doha Insurance 8-Aug-16 8 Due
MPHC Mesaieed Petrochemical Holding Company 9-Aug-16 9 Due
MERS Al Meera Consumer Goods Company 9-Aug-16 9 Due
QISI Qatar Islamic Insurance 10-Aug-16 10 Due
MCCS Mannai Corp. 10-Aug-16 10 Due
DBIS Dlala Brokerage & Investment Holding Company 10-Aug-16 10 Due
MCGS Medicare Group 10-Aug-16 10 Due
SIIS Salam International Investment 11-Aug-16 11 Due
WDAM Widam Food Company 11-Aug-16 11 Due
QGMD Qatar German Company for Medical Devices 14-Aug-16 14 Due
ZHCD Zad Holding Company 14-Aug-16 14 Due
Source: QSE

4. Page 4 of 8
News
Qatar
 QNCD reports net profit of QR127.9mn in 2Q2016 – Qatar National
Cement Company (QNCD) reported a net profit of QR127.9mn in
2Q2016, indicating a growth of 3.3% QoQ and 9.5% YoY. The
company’s revenue declined 6.5% QoQ and 3.0% YoY to
QR282.6mn in 2Q2016. (QSE, QNBFS Research)
 ORDS provides supplementary update on M&A deals – Ooredoo
(ORDS) provided supplementary information pertaining to the
sale, completed on March 27, 2016, by its subsidiary wi-tribe
limited of wi-tribe Pakistan to HB Offshore Investment Ltd. for an
amount of approximately QR32.7mn. HB Group is established in
the telecommunications sector in Pakistan and is planning to
expand further. The company also provided supplementary
information on its subsidiary Ooredoo Kuwait’s acquisition,
announced on April 28, 2016, of FASTtelco for KD11mn. (QSE)
 ORDS to consider stake sale in StarHub owner – Ooredoo (ORDS) is
considering selling its indirect stake in Singapore’s StarHub Ltd.
The company is working with HSBC Holdings to gauge potential
interest in its stake in Asia Mobile Holdings. According to the
Singapore-based company’s annual report, Ooredoo owns about
25% of Asia Mobile Holdings, which in turn holds 55.8% stake in
StarHub. (Gulf-Times.com)
 QNB Suisse moves to new location by Lake Geneva – QNB Group,
announced the relocation of QNB Suisse to its new location by the
famous Lake Geneva at Rue Quai du Mont Blanc. The new building
enjoys a strategic location at the heart of Geneva city with its
stunning view of the lake, thus enabling it to serve the city’s vital
and most populated areas. (QNB Group Press Release)
 QA to raise stake in British Airways owner to 20% – Qatar Airways
(QA) will further raise its stake in British Airways owner IAG SA,
adding to its holding after the shares plunged in the wake of the
Brexit vote. The state-owned carrier, already IAG’s largest
investor, will boost its holding to around 20% from 15.7%. The
increased stake could be announced in the coming days.
(Bloomberg)
 World Bank: Qatar may run $8bn budget deficit – According to a
recent World Bank report on crashing oil prices, Qatar is expected
to run a budget deficit of $8bn, equivalent to 5% of GDP in 2016 —
the lowest among GCC countries. Yet, given that the country’s
budget planners calculated oil at $48, Qatar’s deficit may increase
further. The World Bank’s “Mena quarterly economic brief for July”
noted the group of Gulf Cooperation Council (GCC) countries lost
$157bn in oil revenues in 2015 and is expected to lose another
$100bn in 2016. In the MENA region, Saudi Arabia has lost $178bn
from its reserves, followed by Algeria ($28bn) and Iraq ($27bn) in
2015. (Peninsula Qatar)
 BMI: Fuel subsidy reform would help Qatar reduce budget deficit –
According to BMI Research, a Fitch Group company, the fuel
subsidy reform would help Qatar reduce its budget deficit by
allowing spending to decrease. BMI Research’s Analysts
Christopher Haines and Olivier Najar said, “The fuel subsidy
reform in Qatar will not increase revenues for the Qatari
government, but will allow spending to decrease, thus reducing
the budget deficit.” Qatar expects to post a deficit of QR46.5bn in
2016 as per the country’s budget for the current fiscal. Fuel prices
in Qatar were allowed to fluctuate in response to changes in the
global market from May 1, 2016. The monthly revision in local fuel
prices followed the government’s decision on the fuel subsidy
reform in Qatar. (Gulf-Times.com)
 US trade surplus with Qatar jumps to QR9.35bn – The US trade
surplus with Qatar for the first five months (January-May) of 2016
has jumped to QR9.35bn ($2.57bn), witnessing a triple-digit
growth as compared to figures for the same period in 2015. The US
trade balance with Qatar (which represents the difference
between value of exports and imports of goods) for January-May
2016 period has increased by 117.5% as compared to $1.18bn
registered during the corresponding period last year, data
available at the US Census Bureau suggests. The bilateral trade
volume between the two countries from January to May 2016
touched $3.65bn, up 40.39% as compared to $2.61bn witnessed
during the same period in the previous year. (Peninsula Qatar)
 Petrol to cost more in August 2016 – An announcement by the
Ministry of Energy & Industry shows petrol prices in Qatar will go
up by Dh5 a liter in August 2016, while there will not be any
change in the diesel price in August. According to the Ministry of
Energy & Industry, the 91-octane Premium gasoline will cost
QR1.35/liter (QR1.3 currently) and Super will cost QR1.45/liter
(QR1.4 currently). The current price for this month for Premium
and Super will be in effect until July 31. However, diesel price will
remain unchanged at QR1.4/liter in August. (Gulf-Times.com)
 Ministry of Public Health expanding medical services – As part of
the government’s efforts to provide “comprehensive health
services to workers where they are located”, HE the Minister of
Public Health Dr Hanan Mohamed al-Kuwari inaugurated the Al
Hemaila Medical Center in the Industrial Area. Equipped to receive
up to 24,000 visiting patients per month, the new center will be
operated by the Qatar Red Crescent Society under an agreement
with the Ministry of Public Health. The new medical facility is the
second expatriate workers’ health center to be opened in 2016
after the Mesaimeer Health Center, which was opened on May 6,
2016. (Gulf-Times.com)
 Ninety two outlets closed in six months for violations – Fines
amounting to over QR3.1mn were imposed on different outlets
within the Doha Municipality’s jurisdiction in 1H2016 for violating
food safety regulations. Some 92 outlets within the jurisdiction of
the municipality were also closed during this period for flouting
norms. (Gulf-Times.com)
 Qatar and Argentina agree to expand bilateral relations – HH the
Emir Sheikh Tamim bin Hamad al-Thani, at the invitation of
Argentinian President Mauricio Macri, paid an official visit, along
with a high-level delegation to Argentina. The visit helped in
enhancing the friendship and cooperation between the two
countries, which started 42 years ago. The two leaders held a
round of official talks characterized by a spirit of understanding
and keenness on developing bilateral relations on all fronts. They
also expressed their satisfaction at the good level that bilateral ties
between the two countries have reached in the political, economic
and investment arenas. (Gulf-Times.com)
 Agreement signed for delivery of integrated health records system
in Qatar – An agreement has been signed to deliver an integrated
electronic records system for the private healthcare sector in
Qatar. The project, which is due to roll out over a five-year period,
has been described by its promoters as the “first of its kind” in the
country and is valued at QR102mn. The initiative will see the use
of the SystmOne clinical system across the country in order to
establish a more advanced healthcare system. A collaboration
agreement was signed recently in this connection between health
software provider TPP Middle East and Integrated Intelligence
Services (IIS). Under this agreement, TPP Middle East will deliver
the SystmOne clinical system to approximately 300 primary care
sites across Qatar. (Gulf-Times.com)
International
 US labor costs increase 0.6% in 2Q2016 – The US Labor
Department said that the country’s labor costs rose steadily in
2Q2016, pointing to still-moderate wage inflation, which could see
the Federal Reserve keeping interest rates unchanged for a while.

5. Page 5 of 8
The department said that the Employment Cost Index, the
broadest measure of labor costs, increased 0.6% after a similar
gain in 1Q2016. In the 12 months through June, labor costs rose
2.3%, well below the 3% threshold that economists say is needed
to bring inflation closer to the Federal Reserve's 2% inflation
target. Labor costs increased 1.9% in the year to March. (Reuters)
 Inventory reduction curbs US economic growth – The US Commerce
Department said that the country’s economic growth unexpectedly
remained tepid in 2Q2016 as inventories fell for the first time in
nearly five years and business investment weakened further,
offsetting robust consumer spending. The US Gross domestic
product (GDP) increased at a 1.2% YoY after rising by a
downwardly revised 0.8% pace in 1Q2016. In addition, the GDP
growth estimate for 4Q2016 was cut by five-tenths of a percentage
point to a 0.9% rate. The three straight quarters of growth rates
around 1% suggest a significant loss of momentum that puts the
economy at the risk of stalling, but economists expect an
acceleration in the 2H2016 against the backdrop of strong
consumption. Though the inventory drawdown weighed on GDP
growth, which is likely to provide a boost to output in the coming
quarters as businesses order merchandise to restock depleted
warehouses. (Reuters)
 CBI: UK firms expect growth to stagnate over next three months –
The Confederation of British Industry (CBI) said that the British
businesses expect economic growth to grind almost to a halt over
the next three months due to weaker investment and consumer
confidence after June's vote to leave the European Union (EU). The
CBI said that the outlook was the weakest since December 2012 as
the proportion of firms expecting lower output was now 3% points
higher than the share expecting growth. This marked a sharp
turnaround from June, when there was a 16% point margin in
favor of those anticipating growth. The CBI's figures were partly
based on its gloomy surveys of manufacturers' order books and
retailers, with additional material from other services companies
which make up the bulk of Britain's private-sector economy.
(Reuters)
 Eurozone economic growth slows in 2Q2016 – Economic growth in
the Eurozone slowed in 2Q2016 as uncertainty before the British
vote to leave the European Union swirled and economists said that
it could be a sign of weak future growth. European statistics office
Eurostat said that the Gross domestic product (GDP) in the 19
countries sharing the euro rose 0.3% QoQ in 2Q2016, halving from
the 0.6% growth in 1Q2016. A slowdown was expected after the
strong Eurozone growth in 1Q2016, but it may have been
compounded by the uncertainty preceding the June 23, 2016
British referendum. Although first confidence data after Brexit
showed unexpected optimism in the Eurozone, the economic
impact of Britain's decision to leave the union may be felt later.
(Reuters)
 Eurozone inflation rises more than expected to 0.2% in July –
According to a first estimate from the European Union’s statistics
agency (Eurostat), inflation in Eurozone rose more than expected
in July, driven mostly by higher prices of food, alcohol and tobacco
products. Eurostat said that inflation in the 19 countries sharing
the euro increased to 0.2% YoY in July from 0.1% in June. Core
inflation was unchanged at 0.8%, in line with market expectations.
Excluding energy, food, alcohol and tobacco products, the inflation
rate remained stable at 0.9%. A larger fall in energy prices than in
June was offset by higher inflation in the other components of the
indicator. Energy prices dropped by 6.6% YoY, more than the 6.4%
fall recorded in June. But prices in food, alcohol and tobacco
products went up 1.4%, much higher than the 0.9% rise in June. In
the services sector, the largest in the Eurozone economy, prices
slightly rose 1.2% YoY, from 1.1% in June 2016. (Reuters)
 French 2Q2016 unexpectedly grinds to a halt on weak consumer
spending – According to official data, French economic growth
stalled unexpectedly in 2Q2016 on weak consumer spending and
investment in a blow to President Francois Hollande's claims the
economy is getting stronger. The result fell short of economists
expectations for growth of 0.2% from 1Q2016. It also marks a
sharp slowdown from 1Q2016 when the economy grew 0.7%, the
strongest rate in nearly three years. The INSEE statistics office
revised that figure up from a preliminary estimate of 0.6%.
Finance Minister Michel Sapin said that the "disappointing figures"
reflected exceptional factors like strikes at refineries in addition to
the slowdown from the particularly strong 1Q2016. He said that
the government was nonetheless sticking with its 2016 growth
forecast of 1.5%.(Reuters)
 Greek central bank head sees primary surplus at 1.3% of GDP –
Greece's Central Bank Governor, Yannis Stournaras said that the
central bank has forecasted that the country will post a primary
surplus of 1.3% of gross domestic product (GDP) in 2016. Under
its third international bailout signed last summer, Greece aims at a
primary surplus - which excludes debt servicing costs - of 0.5% of
GDP in 2016. The bank had forecast earlier in July 2016 that the
country would achieve a surplus of 0.9% in 2016. (Reuters)
 Japan jobless rate falls to 3.1%, BOJ index shows consumer prices
+0.8% YoY in June – According to the Japanese Ministry of Internal
Affairs and Communications , the country’s seasonally adjusted
unemployment rate fell to 3.1% MoM in June. The data by the
Labor Ministry revealed that the jobs-applicants ratio rose to 1.37
in June from 1.36 in May, to reach the highest since August 1991.
That matched the median estimate. The Bank of Japan (BOJ) said
that the Japanese consumer prices rose 0.8% YoY in June when
stripping out energy and fresh food costs, at the same pace as in
May. The BOJ uses the government's core CPI, which excludes
fresh food but includes energy costs, as its key price measurement
in guiding monetary policy. That index fell 0.5% YoY in June.
(Reuters)
Regional
 OPEC oil output set to reach record high in July – OPEC's oil output
is likely to reach its highest in recent history in July, as Iraq pumps
more and Nigeria manages to export additional crude despite
militant attacks on oil installations. Top OPEC exporter Saudi
Arabia has kept output close to a record high, as it meets
seasonally higher domestic demand and focuses on maintaining
market share rather than trimming supply to boost prices.
(Reuters)
 JLL: Vision 2030 to stimulate dull Riyadh, Jeddah real estate market
– JLL, in its 2Q2016 Riyadh and Jeddah real estate overview, said
that with Saudi Arabia Vision 2030 pivotal to the diversification
and restructuring of the economy in lieu of decreasing oil prices,
both Riyadh and Jeddah continued to maintain an overall
slowdown in performance. JLL KSA National Director & Country
Head Jamil Ghaznawi said JLL has witnessed a general softening of
the residential market in 2Q2016, with a marginal decline in both
rentals in Riyadh and sale prices in Jeddah. Further delays have
been experienced in the completion of projects in Jeddah, despite
increased efforts being made to address the shortage of affordable
housing. However, with the White Land Tax being introduced
earlier in June, the future development pipeline is likely to
increase, which could push both land and housing costs down in
2017 and 2018. (GulfBase.com)
 IMF praises ambitious KSA reform goals, resilient system – IMF said
that reforms have helped Saudi Arabia strengthen the financial
system while the banking sector is well positioned to weather low
oil prices and slower growth. The organization welcomed the
Kingdom's timely response to oil price volatility, which supported

6. Page 6 of 8
by sizable fiscal buffers and a resilient financial system, has
maintained macroeconomic growth and stability. (Bloomberg)
 KSA’s central bank net foreign assets drop $11bn in June – KSA net
foreign assets held at central bank fell by $11bn from the previous
month to $562bn in June as the government drew down its
reserves to cover a budget deficit caused by low oil prices. Assets
shrank 15.9% from June 2015, to their lowest level since early
2012. They reached a record high of $737bn in August 2014 before
starting to drop. (Bloomberg)
 IMF: Saudi Arabia’s economy set to recover in 2017 – IMF said that
Saudi Arabia's real GDP growth is expected to slow to 1.2% in
2016, but recover to 2% in 2017 as the pace of fiscal consolidation
eases and to settle around 2¼ -2½% over the medium-term.
Inflation has risen in recent months to over 4% as energy & water
prices increased, and is expected to ease to 2% in 2017.
(Bloomberg)
 SADAFCO’s solar project starts operation – Saudia Dairy &
Foodstuff Company (SADAFCO) has now commenced operations
utilizing a photovoltaic (PV)-diesel hybrid system that can deliver
up to 40% of the facility’s daytime energy requirements.
(GulfBase.com)
 Al Hokair Group BoD announces dividend for 1H2016 –
Abdulmohsen Alhokair Group for Tourism & Development (Al
Hokair Group) Board of Directors (BoD) has recommended a
dividend distribution of SR0.65 representing 6.5% of the face
value to its shareholders for 1H2016. (Tadawul)
 Oil poised for a drop of 20% since early June – The bullish spirit,
which gripped oil traders as industry giants from Saudi Arabia to
Goldman Sachs Group declared the supply glut over, is rapidly
ebbing away. Oil is poised for a drop of 20% since early June,
meeting the definition of a bear market. While excess crude
production is abating, inventories around the world are brimming,
especially for gasoline, and a revival in US drilling threatens to
swell supplies further. Morgan Stanley predicts that as the output
disruptions that cleared some of the surplus earlier in 2016 begin
to be resolved, crude could again slump up to $30 a barrel.
(Bloomberg)
 IMF: UAE should ease pace of spending cuts – The IMF said to help
nudge growth higher in 2016, the UAE should ease the pace of
spending cuts and instead use its ample financial reserves to
balance the budget. The fund’s growth forecast for the UAE is 2.3%
for 2016, down from the 4% growth of 2015. The country has
embarked on a number of cost-reducing initiatives since oil prices
fell from their summer 2014 peak, including a reduction in energy
subsidies and other public spending cuts. (GulfBase.com)
 Publishing industry continues to suffer in UAE market – The UAE
publishing industry continues to suffer as advertisers cut back
their budgets in an increasingly cautious market. The advertising
market has softened over the past 18 months as low oil prices and
regional instability weakens commercial and consumer
confidence. The soft sentiment, said to be the worst since 2009 and
is expected to remain in 2H2016 with oil prices continuing to trade
below $50 a barrel as compared to $115 a barrel almost two years
ago. (GulfBase.com)
 UAE to make up 90% of Middle East leisure tourism market –
According to sources, the UAE is forecast to make up 90% of the
leisure tourism market in the Middle East region by 2020. Phil
Taylor, Director at Team Leisure, said the UAE is about to take a
huge step on to the world leisure stage with some 10 to 15 major
leisure attractions due to open in 2016 and many more in the
pipeline. This is the next big step in the UAE’s tourism strategy and
the single biggest driver of growth in the hotel market for the next
five years. (GulfBase.com)
 Western Union, du join hands to offer service benefits – The
Western Union Company, a leader in global payment services, has
signed an agreement with du, a leading telecom provider in the
UAE, aiming to pursue joint efforts to benefit subscribers. The
agreement will benefit users of Western Union and du in the UAE,
through joint initiatives that will leverage Western Union’s market
leadership and relationships with different communities, as well
as du’s position as the telecom service provider of choice.
(GulfBase.com)
 Jaona Investment buys stake in Aramex – Jaona Investment bought
a stake in Dubai-based logistics company Aramex for $119mn.
DFM said that Jaona Investment purchased 99.4mn Aramex shares
at AED4.4 each in a direct deal on the Dubai Financial Market.
(Bloomberg)
 Dubai aims to produce 7% of power from renewable energy sources
– The Energy production will always be synonymous with the
Middle East region. Just as the discovery of oil underground
changed the face of the region’s economy a century ago, another
resource way above ground is doing likewise today. Dubai alone
has set itself a goal to become the city with the lowest carbon
footprint in the world. Its target is to produce 7% of its power
from clean energy sources by 2020, 25% by 2030, and a whopping
75% by 2050. (GulfTimes.com)
 RAKBANK reports AED195.70mn net profit in 2Q2016 – National
Bank of Ras Al-Khaimah (RAKBANK) reported a net profit of
AED195.70mn in 2Q2016 as compared to AED353.92mn in
2Q2015. Net interest income declined to AED620.27mn in 2Q2016
as compared to AED658.91mn in 2Q2015. Total assets stood at
AED40.90bn at the end of June 30, 2016 as compared to
AED40.55bn at the end of December 31, 2015. Net loans &
advances stood at AED28.30bn, while Customer deposits stood at
AED28.0bn at the end of June 30, 2016. EPS amounted to AED0.12
in 2Q2016 as compared to AED0.21 in 2Q2015. (DFM)
 DP World signs lease agreement with Canada's Rodney Container
Terminal – DP World, one of the world's biggest port operators,
has signed a long-term lease agreement for the expansion &
operation of Canada's Rodney Container Terminal. DP World will
start running existing operations on January 1, 2017 and work in
partnership with the port authority of Saint John, New Brunswick,
on a planned expansion program expected to be completed in
2021, with the lease continuing for 30 years after. (Bloomberg)
 DED sees 16.3% YoY increase in 1H2016 Commercial permits –
Commercial permits issued by Dubai's Department of Economic
Development (DED) for activities including marketing campaigns,
sales promotions and exhibitions increased 16.3% YoY in 1H2016,
reflecting the intense competition among companies through
efficient and innovative marketing strategies. (Bloomberg)
 DSI wins $61.5mn Iraqi oil field contract – Dubai-based Drake &
Scull International (DSI) has been awarded a $61.5mn
engineering, procurement & construction (EPC) contract for the
construction of a water injection network installation project at
the Zubair oil field in Basra, Iraq. The contract has been awarded
by ENI Iraq, a subsidiary of the Italian oil & gas multinational firm
ENI. (Bloomberg)
 Muscat port operator seeks government purchase of private shares
– Port Services Corporation (PSC), which operates and manages
Muscat’s Port Sultan Qaboos (PSQ), says that it expects
compensation for any revenue loss stemming from the
government’s decision to transfer the port’s assets before the
expiry of its current concession agreement. At the same time,
citing the continued uncertainty of the corporation’s future and its
role, the board has also urged the government to consider
acquiring all of the private shares in the corporation, or
alternatively liquidating it altogether. (GulfBase.com)

7. Page 7 of 8
 Transfer of OEIHC shares from MOF to OIF – Oman’s Ministry of
Finance (MoF) holding 5.3mn equity shares in Oman & Emirates
Inv. Holding (OEIHC), representing 4.33% stake, has decided to
transfer the shares in the name of Oman Investment Fund (OIF) ,
owned by the Government of Oman pursuant to an internal
decision on management of government investments. It is
expected that the transfer process shall be completed soon. (MSM)
 Bank Dhofar BoD approves rights issue – Oman’s Bank Dhofar, the
second-largest lender in the Sultanate by assets, said the board of
directors (BoD) has approved a rights issue to raise up to
$103.9mn. (Reuters)
 Investcorp strengthens shareholder base with agreed Investment
from Mubadala – lnvestcorp, a global provider & manager of
alternative investment products, and Mubadala Development
Company, the Abu Dhabi-based investment & development
company, have agreed that Mubadala will acquire a 20% interest
in Investcorp. The two-step transaction sees Mubadala acquire a
9.99% ownership stake immediately, with a further 10.01%
following necessary regulatory approvals. (BahrainBourse.com)
 Alba to raise $500mn from banks – Aluminium Bahrain (Alba) is
planning to approach local banks to raise around $500mn in order
to finance its Line 6 Expansion Project. (BHB)

8. 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
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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
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Page 8 of 8
Rebased Performance Daily Index Performance
Source: Bloomberg Source: Bloomberg
Source: Bloomberg Source: Bloomberg (*$ adjusted returns)
80.0
100.0
120.0
140.0
160.0
180.0
Jun-12 Jun-13 Jun-14 Jun-15 Jun-16
QSEIndex S&PPan Arab S&PGCC
(1.5%)
0.4%
(0.0%)
0.2%
0.6%
(0.1%)
0.3%
(2.0%)
(1.5%)
(1.0%)
(0.5%)
0.0%
0.5%
1.0%
SaudiArabia
Qatar
Kuwait
Bahrain
Oman
AbuDhabi
Dubai
Asset/Currency Performance Close ($) 1D% WTD% YTD% Global Indices Performance Close 1D%* WTD%* YTD%*
Gold/Ounce 1,351.00 1.1 2.2 27.3 MSCI World Index 1,721.79 0.8 0.9 3.5
Silver/Ounce 20.34 0.6 3.6 46.8 DJ Industrial 18,432.24 (0.1) (0.7) 5.8
Crude Oil (Brent)/Barrel (FM Future) 42.46 (0.6) (7.1) 13.9 S&P 500 2,173.60 0.2 (0.1) 6.3
Crude Oil (WTI)/Barrel (FM Future) 41.60 1.1 (5.9) 12.3 NASDAQ 100 5,162.13 0.1 1.2 3.1
Natural Gas (Henry Hub)/MMBtu 2.94 6.5 6.0 27.3 STOXX 600 341.89 1.4 2.2 (4.0)
LPG Propane (Arab Gulf)/Ton 43.00 1.8 (9.7) 12.0 DAX 10,337.50 1.3 3.6 (1.6)
LPG Butane (Arab Gulf)/Ton 49.38 (2.2) (9.4) (10.4) FTSE 100 6,724.43 0.7 0.8 (3.3)
Euro 1.12 0.9 1.8 2.9 CAC 40 4,439.81 1.2 3.1 (1.7)
Yen 102.06 (3.0) (3.8) (15.1) Nikkei 16,569.27 3.0 3.4 2.6
GBP 1.32 0.5 0.9 (10.2) MSCI EM 873.47 (0.2) 0.5 10.0
CHF 1.03 1.2 1.8 3.4 SHANGHAI SE Composite 2,979.34 (0.2) (0.6) (17.7)
AUD 0.76 1.2 1.8 4.3 HANG SENG 21,891.37 (1.3) (0.4) (0.2)
USD Index 95.53 (1.2) (2.0) (3.1) BSE SENSEX 28,051.86 (0.3) 1.5 6.5
RUB 65.94 (1.4) 1.8 (9.1) Bovespa 57,308.21 2.3 2.1 61.2
BRL 0.31 1.2 0.2 21.8 RTS 927.57 0.5 (0.9) 22.5
126.6
96.5
96.3