Stock market continues to decline, loses LE1.6 bn

The stock market today in Cairo continued to fall today as market capital lost LE1.6 billion, closing at LE352.1 billion.
 

Traders attributed the fall for the second day in a row to the absence of positive catalysts, which would cause the main index to fluctuate between a transverse direction and a tendency to decline.

Stock indices ended trading in the red zone, with the main EGX30 index slipping by 0.93 percent to close below the level of 5200 points, scoring 5195.7 points.
 
The small and medium shares index EGX70 went down by 0.6 percent to 441 points, and the broader EGX100 dropped by 0.56 percent to 744.3 points.
 
Total trading reached LE297.5 million through 18,500 transactions.
 
Arab investors turned towards buying, while foreign and Egyptian investors were more inclined to sell.
 
Egyptian stocks were influenced by sales pressures in the middle of the session, after a stable opening. News about Arab Stock Exchanges incurring collective losses pushed Egyptian investors to sell, especially shares targeted by Arabs, such as real estate and financial services. This led the stock market to a decline amid fears of intense sales by Arabs.
 
“Israel's missile test with the United States in the Mediterranean made the capital market take a sharp turn towards selling,” said financial analyst Ihab Saeed, expecting the administration to support the market with positive incentives.
 
The missile test dropped Dubai's index by 3.7 percent, Kuwait’s by 1.7 percent and Saudi Arabia’s by 1.2 percent.
 
Edited translation from Al-Masry Al-Youm