Egypt stocks’ rally on currency float move reverses, EGX 30 slips 1.8%

Egypt’s stock market reversed the trend higher it had enjoyed since the central bank decided to float the Egyptian pounds three weeks ago.

Main index, EGX 30 slipped 1.82 percent, to 11145.95 points.

The pull-back suggested the market’s dramatic bounce in response to the November 3rd currency float, which boosted the index by as much as 37 percent to last week’s peak, might now be ending as investors took profits and focused on Egypt’s still-difficult economic environment.

Other indices; EGX50 EWI index also dropped 1.77 percent, to 1757.68 points; EGX20 dived 2.35 percent, to 10950.02 points.

Mid- and small-cap index EGX70 fell 0.63 percent, to 444.95 points. Price index, EGX100 retreated 0.92 percent, to 1052.09 points.

Market Cap

Market capitalisation incurred losses worth 6.7 billion Egyptian pounds (around $435 million), to record 552.033 billion pounds during the closing session of Sunday.

Turnovers

The bourse’s trading volume reached 314.916 million securities, with turnovers, closing at 1.353 billion pounds, exchanged through 30,070 transactions.

Also during the closing session, 187 listed securities have been traded in, 113 declined, 43 advanced; while 23 kept their previous levels.

Investors’ Activities

Foreigners remained net buyers of Egyptian stocks on Sunday, as they have been since the currency float, but only to the tune of a modest $2 million.

Non-Arab foreign investors were net buyers capturing 5.96 percent of the total market, with a net equity of 35.258 million pounds, excluding the deals.

On the contrary, local and Arab investors were net sellers controlling 88.91 and 5.12 percent respectively of the total markets, with a net equity of 2.743 million pounds and 32.514 million pounds, respectively, excluding the deals.