Mid-session report: EGX30 up 0.6% after heavy losses
Egyptian stock exchange in Cairo - YOUM7 (Archive)
By YASMINE SAMRA

CAIRO: Egyptian Exchange (EGX) indexes showed mixed performance during Tuesday’s mid-session, with the benchmark EGX30 edging up 0.61 percent to hit 7,852 points compared to 7,805 points yesterday.

In turn, small and mid-cap index EGX70 dropped 1.16 percent to close at 588 points, and the broader EGX100 index also fell 0.8 percent to 1,032 points.

The market showed a sharp decline with a total loss of 33 billion EGP ($4.74 billion) since Field Marshall Abdel Fatah al-Sisi resignation from position of Minister of Defense and the announcement of his bid for the presidency last Wednesday.

Market capitalization incurred 900 million EGP losses, reaching 468.6 billion EGP, compared to 469.5 billion EGP yesterday.

Head of technical analysis at Osool ESB for Securities’ Brokerage, Ihab el-Saeed attributed EGX30 limited rise to the shares reaching extreme oversold levels after the intensive profit taking wave followed Sisi’s announcement.

“EGX30 is greatly expected to offset its loss on Wednesday and Thursday,” Saeed told The Cairo Post.

A number of analysts and traders aroused suspicions about the strike which hit the market Thursday, and urged competent authorities to immediately investigate the matter.

“What the market has witnessed since Thursday is normal, with investors tending to profit taking after Sisi’s announcement. The market has been up since June 30 and it is normal to decline,” head of the Egyptian Exchange Mohamed Omran told The Cairo Post Monday.

Omran ruled out possible manipulation in the market, denying reports about investigating the sharp decline with certain investment funds.

Egyptians’ net sell-offs reached 8.7 million EGP, while Arabs and foreigners’ net purchases registered 6.3 million EGP and 2.3 million EGP respectively.

On Monday, EGX30 slipped 3.55 percent to close at 7,805 points, compared to 8,092 points on Sunday. The small and mid-cap index EGX70 dropped 3.64 percent to close at 595 points, and the broader EGX100 index also fell 3.3 percent to 1,041 points. Market capitalization incurred 12.1 billion EGP losses.

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