EGX 30 Hits 4-Month Low, Ends Below 4930 Pts
The Egyptian Exchange (EGX) has ended Wednesday’s session incurring remarkable losses of EGP 4.6 billion driven by the non-Arab foreigners’ selling pressures.
The capital market has reached to EGP 345.949 billion during Wednesday’s closing session.
The EGX indices closed in red notes.
Egypt’s benchmark index EGX30 sank by 2.21% to close at 4926.22 p signally 4-month low; while EGX20 pushed down by 2.08% to end at 5698.15 p.
Meanwhile, the mid- and small-cap index, the EGX70 tumbled by 1.32% to conclude at 431.67 p. Price index EGX100 dipped by 1.58% to finish at 719.07 p.
During Wednesday’s closing, the trading volume hit 106.447 million securities, less than Tuesday’s 117.872 million securities, representing a decline of 11.425 thousand securities. For the traded value, it reached EGP 253.670 million, exchanged 15.203 thousand transactions.
This was after trading in 171 listed securities; 131 declined, 14 advanced; while 26 keeping their previous levels.
The non-Arab foreigners’ selling pressures have driven EGX’s closing losses as they were net sellers seizing 24.18% of the total markets, with a net equity of EGP 20.573 million, excluding the deals.
Meanwhile, Egyptian and Arab investors were net buyers seizing 70.45% and 5.37% respectively, of the total markets, with a net equity of EGP 16.678 million and EGP 3.895 million excluding the deals.
The International Monetary Fund technical team arrived in Cairo Wednesday morning to resume negotiations with the government over the $4.8 billion loan sought by Egypt to stave off an economic crisis.
Egypt will have to convince the fund of its seriousness in applying reforms to the economy with the aim of boosting growth and narrowing the huge budget deficit. These reforms will include raising tax and cutting the generous subsidies on fuel and bread, which may entail political risks.
Finance Minister Al-Mursi Al-Sayed Hegazy said the government hopes to finalize the loan agreement during the IMF meetings scheduled between April 16-21. However, the IMF officials did not specify a timetable.
