EGX dips further, equities shed 3.6B EGP
Egyptian Exchange - YOUM7

CAIRO: The Egyptian Exchange (EGX) sank for seven straight sessions by the close of Thursday, hammered by Arab and foreign institutions’ sales.

Market capitalization lost around 3.6 billion EGP ($459.92 million,) totaling 444 billion EGP, down from 447.6 billion EGP on Wednesday.

The benchmark index EGX30 fell 0.94 percent to end at 7,173 points, down from 7,241 points on Wednesday.

CIB, the market bellwether, retreated 1.41 percent to close at 47.68 EGP per share, down from 48.36 EGP per share.

“The EGX30 failed to hold above the support level of 7,525 points and breached below the vicinity of 7,350 points. This penetration may send it lower to 7,100 points,” Ibrahim El-Nemr, Technical Analysis Desk head at Naeem Brokerage told The Cairo Post.

Traders are recommended to sell the rally, said the analyst.

Similarly, the small and mid-cap index EGX70 decreased 0.76 percent to end at 410 points, compared to 412.8 points in the last session.

The broader index EGX100 also lost 0.29 percent to close at 862.8 points, after 865.36 points on Wednesday.

The EGX rode a sharp slip since last week after Egypt froze the assets of the chairman of Juhayna Food Industries, Safwan Thabet, on alleged ties to the Muslim Brotherhood (MB.)

The decision excluded the assets of Juhayna, as it is a joint stock company, according to the head of the committee formed to seize and manage the assets of the MB.

Meanwhile, Thabet has been barred from trading on the EGX and his shares have been frozen, Reuters quoted two informed stock market sources Thursday.

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