CAIRO: The Egyptian Exchange (EGX) rebounded amid weak liquidity during Sunday’s early and mid session, and market capitalization gained around 3 billion EGP ($419.43 million).
The benchmark index EGX30 rose by 0.43 percent to hit 9,516 points, compared to 9,475 points Thursday. The small and mid-cap index EGX70 jumped 1.72 percent, amounting to 622 points, up from 611 points last session, and the broader index EGX100 also increased by 1.1 percent to reach 1,131 points.
Market capitalization edged up to 519.5 billion EGP, compared to 516.5 billion EGP in its last session.
“The market rose today after most stocks had reached their first support level on Thursday, and thus the stocks lured some investors to purchase,” Amr el-Feky, portfolio and asset manager at Cairo Funds Management, told The Cairo Post.
The EGX30 is likely to sustain its downward sideways trading while some purchasing opportunities are expected to emerge near the support level of each share, Feky added.
“Meanwhile, if the benchmark maintained its downward movement and breached below 9,500 points, this may drag it to the support level of 9,280-9,340 points. This means the price level of the stocks will slip sharply and here the bulls will appear,” said the analyst.
Last week, the EGX plunged and market capitalization lost around 4.6 billion EGP ($643.1 million) hurt by selling pressures led by local institutions.