Doha: Qatar's benchmark stock index rose the most in more than two weeks as oil prices boosted Industries Qatar QSC and on speculation spending for the 2022 World Cup will spur economic growth.
Industries Qatar, the second-biggest petrochemicals maker in the Middle East, climbed the most in almost four months. Masraf Al Rayan, the country's second-largest lender complying with Islamic law, advanced 2.1 per cent.
The QE Index rose 1.3 per cent, the most since December 8, to 8,737.39 at close in Doha. The gauge has rallied 26 per cent in 2010, headed for the biggest yearly gain since 2007.
Crude oil increased to the highest level in more than two years as confidence among US consumers advanced to a six-month high, signalling that fuel demand will increase in the biggest oil-consuming country.
Oil rose $1.03 (Dh3.78) to $91.51 a barrel on the New York Mercantile Exchange on December 23, the highest settlement since October 2008. Prices are up 15 per cent this year.
"The stellar performance of oil so far has thoroughly justified the rally in industrials," Amro Halwani, a trader at Shuaa Capital PSC in Riyadh said in an emailed statement yesterday.
"Qatar banking statistics continue to impress, driven by a powerful public sector dynamo especially following the 2022 World Cup bid, which instilled further confidence into the market."
Infrastructure
The $81 billion Qatari economy will expand 16 per cent this year, the world's fastest-growing, from 8.6 per cent in 2009, the International Monetary Fund said in its World Economic Outlook report in October. Moody's Investors Service estimates Qatar will spend about $57 billion (Dh209.6 billion) over the next decade for infrastructure developments related to the World Cup.
