CAIRO: The Egyptian Exchange (EGX) showed a mixed performance this week, shading Gulf market dip, namely Saudi Arabia following a negative forecast from global credit rating agency Moody’s.
Egypt’s market was also hit dramatically by the deadly crash of the Russian airliner in Sharm el-Sheikh which killed more than 224 passengers and the crew on Saturday.
Thus, the market was unaffected by Moody’s Tuesday report on Egypt’s economy in which it forecasted a five percent growth during fiscal year 2015-2016 (to end June 30,) a projection matching the official target announced by the government.
During the course of the week, market capitalization lost around 800 million EGP ($103 million,) to hit 452.3 billion EGP, compared to 453.1 billion EGP last week.
The benchmark index EGX30 edged up 0.45 percent to end the week at 7,542 points, up from 7,508 points last week.
“The benchmark is projected to focus on its former support level near 7,400 points, which may push the index to rebound and re-test the 7,700-point level,’” said Ehab Saeed, Osool Securities Brokerage technical analysis head.
In turn, the small and mid-cap index EGX70 retreated 0.23 percent to close the week at 397.3 points, down from 397.8 a week earlier. The broader index EGX100 was almost flat with a slight 0.02 percent up to close at 852.52 points, after 852.35 points last week.
Saeed said the EGX70 is expected to target its support near 4393-395 points. “If the index holds steady above this level, it may resume its rally toward its resistance near 405 points,” he anticipated.