CAIRO: The Egyptian Exchange indexes ended on a low Tuesday, and market capitalization lost 1.9 billion EGP (U.S. $ 271.4 million), amid continued sideways movement and selling pressures on the leading shares from Egyptian investors.
The benchmark index EGX30 dropped 0.19 percent to hit 8,150 points, compared to 8,165 points on Monday. The small and mid-cap index EGX70 also fell 0.55 percent to close at 603 points, and the broader EGX100 index also edged down 0.48 percent to reach 1,055 points.
Market capitalization lost roughly 1.9 billion EGP, reaching 474.4 billion EGP, compared to 476.3 billion EGP on Monday.
Head of technical analysis at Osool ESB Securities Ehab Saeed attributed the decline to selling pressures on the blue chips, namely the bellwether CIB and telecom sector stocks headed by OTMT and Global Telecom.
“EXG is moving normally in sideways with a downward tendency, but the market is likely to witness a slight improvement Wednesday, expecting EGX30 to gain 30 to 50 points,” Saeed told The Cairo Post.
Further, Saeed said he expects EGX30 to rebound on Sunday. EXG has announced April 30 an official holiday to celebrate Labor Day.
Egyptians net sell-offs recorded 155.4 million EGP, while Arabs and foreigners’ net purchases registered 23.5 million EGP and 131.8 million EGP respectively on Tuesday.
On Monday, EGX indexes collectively declined, and market capitalization lost 3.4 billion EGP (U.S. $485.7 million), amid selling pressures from Egyptian and Arab investors, namely on blue chips topped by telecom and real estate’s stocks.
EGX30 fell 0.99 percent to end at 8,165 points, compared to 8,247 points on Sunday. EGX70 also lost 0.78 percent to close at 606 points, and the broader EGX100 index also dropped 0.63 percent to reach 1,060 points.