CAIRO: The Egyptian Exchange (EGX) rallied Wednesday, powered by an investor upbeat sentiment and positive performance of most blue chips.
The benchmark index EGX30 hiked 2.37 percent; registering 8,952 points, up from 8,744 points Tuesday. The small and mid-cap index EGX70 also went up by 1.20 percent, reaching 604 points compared to 596.9 points in the last session, and the broader index EGX100 also increased 1.49 percent to register 1,094 points.
Market capitalization gained around 5.7 billion EGP ($797 million,) totaling 500 billion EGP compared to 494.3 billion EGP yesterday. Turnover amounted to 1.2 billion EGP, up from 875 million EGP.
During Wednesday’s trading, 115 stocks went up, 36 declined and 25 remained stagnant. The big caps topped by the market bellwether CIB, Talaat Moustafa and Sodic led the market rally.
“The market rally was a normal upward rebound from its sharp dip on Monday,” Ahmed Abdel Rahman, chief technical analyst at Helwan Securities, told The Cairo Post Wednesday.
Foreign and Arab institutions’ purchases along with Arab traders’ strong bullish sentiment from the last session boosted the main index to breach above its target at 9,000 points, Abdel Rahman detailed.
Meanwhile, the analyst predicted that the EGX30 may face selling pressures again after breaching its next target at 9,160 points.